讲座内容：Asset Redeployability and Future Stock Price Crashes
讲座教师：YangYangChen,Assistant Professor
School of Accounting and Finance,Hong Kong Polytechnic University
讲座时间：2017年6月27日（周二）下午2点30分
讲座地点：文泉楼南401大会议室
Abstract: Asset redeployability refers to the salability of the corporate capital assets of the firm. On the
one hand, greater asset redeployability comes with the liquidity benefits which shouldenhance financial stability and reduce future stock price crash risk. On the other hand, assetredeployability facilitates managers’ opportunistic use of asset sales to engage in upward realearnings management to hide bad news, which, in turn, increases future stock crash risk. Wefind that on average, asset redeployability is positively associated with stock price crash risk,suggesting that the use of redeployable assets to engage upward real earnings management isan important issue that adversely affects shareholders. Consistent with real earningsmanagement being a channel that explains the positive association between assetredeployability and stock price crash risk, we find that this association is stronger for firmsthat have greater internal and external pressure to engage in earnings management. In furtheranalyses that support the real earnings management channel, we find that assetredeployability is associated with a higher likelihood of just meeting or beating analystforecasts and recording of gains from asset sales. Our paper contributes to the literature byproviding evidence of a possible dark side of asset redeployability driven by the pressure onmanagers to hide bad news.
Keywords: Asset redeployability; Stock price crash risk; Bad news hoarding; Asset sales
附简历
Employment
2015-present Assistant Professor, The Hong Kong Polytechnic University,Hong Kong, China
2011-2015 Lecturer and Senior Lecturer, Monash University, Australia
Education
2011,Ph.D. in Finance, University of Melbourne, Australia
2006,Master of Commerce in Finance, University of Melbourne,Australia
2005,Master of Applied Commerce in Accounting, University ofMelbourne, Australia
2003,Bachelor of Economics, Beijing Technology and BusinessUniversity, China
Publications
"Stock liquidity and corporate tax avoidance", with Rui Ge, Henock Louis andLeon Zolotoy.Review of Accounting Studies, Forthcoming.
"Does high quality auditing mitigate or encourage private informationcollection?", with ShibleySadique, Bin Srinidhi, and MadhuVeeraraghavan.Contemporary Accounting Research, Forthcoming.
"Stock liquidity and stock price crash risk", with Xin Chang and Leon Zolotoy.Journal of Financial and Quantitative Analysis, Forthcoming.
"Executive equity risk-taking incentives and audit pricing", with Ferdinand Gul,MadhuVeeraraghavan, and Leon Zolotoy. The Accounting Review, 2015, Volume 90,Issue 6, 2205-2234.
"Local gambling preferences and corporate innovative success", with EdwardPodolski, Ghon Rhee, and MadhuVeeraraghavan. Journal of Financial andQuantitative Analysis, 2014, Volume 49, Issue 1, 77-106.
"Board independence and internal control weakness: Evidence from SOX 404disclosures", with W. Robert Knechel, Vijaya B Marisetty, Cameron Truong, andMadhuVeeraraghavan. Auditing: A Journal of Practice and Theory, 2017, Volume 36,45-62.
"National culture and corporate innovation", with Edward Podolski and MadhuVeeraraghavan. Pacific-Basin Finance Journal, 2017, Volume 43, 173-187.
"Do progressive social norms affect economic outcomes? Evidence fromcorporate takeovers", with Edward Podolski, Ghon Rhee, and MadhuVeeraraghavan.Journal of Empirical Finance, 2017, Volume 41, 76-95.
"Religious beliefs and local government financing, investment, and cash holdingdecisions", with Zoltan Murgulov, Ghon Rhee, and MadhuVeeraraghavan. Journal ofEmpirical Finance, 2016, Volume 38, 258-271.
"Be nice to your innovators: Employee treatment and corporate innovationperformance", with Chen Chen, Po-Hsuan Hsu, and Edward Podolski. Journal ofCorporate Finance, 2016, Volume 39, 78-98.
"Auditor client specific knowledge and internal control weakness: Some evidenceon the role of auditor tenure and geographic distance", with Ferdinand Gul,Cameron Truong, and MadhuVeeraraghavan. Journal of Contemporary Accountingand Economics, 2016, Volume 12, 121-140.
"Does managerial ability facilitate corporate innovative success?", with EdwardPodolski and MadhuVeeraraghavan. Journal of Empirical Finance, 2015, Volume 34,313-326.
"CEO risk-taking incentives and the cost of equity capital", with Cameron Truongand MadhuVeeraraghavan. Journal of Business Finance and Accounting, 2015,Volume 42, Issue 7-8, 915-946.
"Stock liquidity and managerial short-termism", with Ghon Rhee, MadhuVeeraraghavan, and Leon Zolotoy. Journal of Banking and Finance, 2015, Volume 60,November Issue, 44-59.
"Funding status of defined benefit pension plans and idiosyncratic returnvolatility", solo author. Journal of Financial Research, 2015, Volume 38, Issue 1,35-57.
"National culture and corporate cash holdings around the world", with Paul Dou,Ghon Rhee, Cameron Truong, and MadhuVeeraraghavan. Journal of Banking andFinance, 2015, Volume 50, January Issue, 1-18. (Lead article).
"Stock price response to S&P 500 index inclusions: Do options listings andtrading volume matter?", with Constantine Koutsantony, Cameron Truong, andMadhuVeeraraghavan. Journal of International Financial Markets, Institutions andMoney, 2013, Volume 23, Issue 3, 379-401.
"The option market response to accounting earnings announcements", withCharles Corrado and Cameron Truong. Journal of International Financial Markets,Institutions and