Can managers forecast aggregate market returns?

被引:60
作者
Butler, AW [1 ]
Grullon, G
Weston, JP
机构
[1] Univ S Florida, Tampa, FL 33620 USA
[2] Rice Univ, Houston, TX 77251 USA
关键词
D O I
10.1111/j.1540-6261.2005.00752.x
中图分类号
F8 [财政、金融];
学科分类号
0202 ;
摘要
Previous studies have found that the proportion of equity in total new debt and equity issues is negatively correlated with future equity market returns. Researchers have interpreted this finding as evidence that corporate managers are able to predict the systematic component of their stock returns and to issue equity when the market is overvalued. In this article we show that the predictive power of the share of equity in total new issues stems from pseudo-market timing and not from any abnormal ability of managers to time the equity markets.
引用
收藏
页码:963 / 986
页数:24
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