Hou, Xue and Zhang's (2015) q-factor model outperforms other factor models in capturing the PTH (the ratio of current price to 52-week high price) anomaly: High-PTH stocks earn high future returns. PTH's relations with future profitability and future investment growth are both significantly...

The paper explores how institutional ownership and ownership heterogeneity affect the firm's CVC launch, duration, portfolio decisions, and outcomes. Our finding shows an inverse U-shape relationship between institutional ownership and CVC investments. The increase in institutional ownership can...

Contrary to the theoretical foundations of the asset-growth factor in both the Fama and French (2015) five-factor model and the q-factor model of Hou, Xue, and Zhang (2015), this study finds that investment level per se is not the reason asset growth is negatively associated with future stock...

We investigate the relationship between corporate venture capital (CVC) and market manipulation for NASDAQ and NYSE listed companies. The data indicate stock market manipulation significantly drops on average over a two-year period prior to a company forming a CVC. CVC investments in...

Previous assessments of nominal exchange rate determination, following Meese and Rogoff (1983) have focused upon a narrow set of models. Cheung et al. (2005) augmented the usual suspects with productivity based models, and “behavioral equilibrium exchange rate” models, and assessed...

We empirically investigate the factors that drive the uneven regional distribution of foreign direct investment (FDI) across Chinese provinces from 1995 to 2006. We first perform a factor analysis to summarize information embodied in around 40 variables and derive four FDI determinants:...