We estimate the structural links between IPO allocations, pre-market information production, and initial underpricing and find that 1) allocation policies favor institutional investors, both in the U.S. and worldwide; 2) increasing institutional allocations results in offer prices that deviate...

We provide a direct estimate of the magnitude of agency costs in publicly-held corporations. We compute an explicit performance benchmark that compares a firm's actual Tobin's Q to the Q* of a hypothetical value-maximizing firm having the same inputs and characteristics as the original firm. The...

This paper uses clinical evidence to show how the German system of corporate control and governance is both more active and more hostile than has previously been suggested. It provides a complete breakdown of ownership and takeover defence patterns in German listed companies and finds highly...

Many financial markets are characterized by strong relationships and networks, rather than arm's-length, spot-market transactions. We examine the performance consequences of this organizational choice in the context of relationships established when VCs syndicate portfolio company investments....

We analyze the determinants of buyout funds' investment decisions. We argue that when the supply of capital is lsquo;sticky' in the short run, the timing of funds' investment decisions, their risk-taking behavior, and their subsequent returns depend on changes in the demand for private equity,...

We analyze the determinants of buyout funds' investment decisions. We argue that when the supply of capital is lsquo;sticky' in the short run, the timing of funds' investment decisions, their risk-taking behavior, and their subsequent returns depend on changes in the demand for private equity,...

We analyze the determinants of buyout funds' investment decisions. We argue that when the supply of capital is lsquo;sticky' in the short run, the timing of funds' investment decisions, their risk-taking behavior, and their subsequent returns depend on changes in the demand for private equity,...