This study examines the influence of the number of financial analysts following a firm on market reaction around the announcement of stock splits. Results show that the raw as well as abnormal returns at the announcement of stock splits are negatively related to the level of analyst coverage....

In 1996, the first exchange-traded funds (ETFs) designed to track a subset of the Morgan Stanley Capital International country indices were approved under the name World Equity Benchmarks (acronym "WEBS"(TM)). We examine the impact of early WEBS-trading on the liquidity of corresponding...

We develop a new methodology that controls for both the timing of annual earnings news (Asquith et al., 1989) and the performance prior to split announcements (Barber and Lyon, 1996) to evaluate the information content of stock splits. In contrast to existing evidence, we find that stock splits...