Insider trading around open-market share repurchases

被引：1

作者：

Leng F. ^{[1
]}

Zhao K.M. ^{[2
]}

机构：

[1] Milgard School of Business, University of Washington Tacoma, Tacoma, WA

[2] Department of Economics and Finance, Middle Tennessee State University, Murfreesboro, TN

来源：

Journal of Economics and Finance | 2014年 / 38卷 / 3期

关键词：

Insider Trading; Long-Term Stock Performance; Open Market Share Repurchase;

D O I：

10.1007/s12197-012-9227-x

中图分类号：

学科分类号：

摘要：

We examine insider trading around open-market share repurchases and find that insiders trade passively in 3 months prior to repurchase announcements and in up to 12 months following the announcements. Furthermore, both pre-announcement and post-announcement abnormal insider trading is unrelated to short-term announcement returns but correlated with long-term post-announcement returns. Our results indicate that corporate insiders trade passively around repurchase announcements in accordance with their perceived undervaluation to exploit the long-run abnormal stock returns related to the events. © 2012 Springer Science+Business Media, LLC.

引用

页码：461 / 491

页数：30

共 60 条

[1]

Banyi M., Dyl E., Kahle K., Errors in estimating share repurchases, J Corp Finance, 14, 4, pp. 460-474, (2008)

[2]

Barber B., Lyon J., Detecting abnormal operating performance: the empirical power and specification of test statistics, J Financ Econ, 41, 3, pp. 359-399, (1996)

[3]

Barber B., Lyon J., Detecting long-run abnormal stock returns: The empirical power and specification of test statistics, J Financ Econ, 43, pp. 341-372, (1997)

[4]

Bartov E., Open-market stock repurchases as signals for earnings and risk changes, J Account Econ, 14, pp. 275-294, (1991)

[5]

Beneish E.D., Press E., Vargus M.E., Insider trading and earnings management in distressed firms, Contemp Account Res, (2011)

[6]

Bettis J.C., Coles J.L., Lemmon M.L., Corporate policies restricting trading by insiders, J Financ Econ, 57, pp. 191-220, (2000)

[7]

Billet M., Xue H., The takeover deterrent effect of open market share repurchases, J Finance, 62, pp. 1827-1850, (2007)

[8]

Brav A., Graham J.R., Harvey C.R., Michaely R., Payout policy in the 21st century, J Financ Econ, 77, pp. 483-528, (2005)

[9]

Bris A., Do insider trading laws work?, Eur Financ Manag, 11, 3, pp. 267-312, (2005)

[10]

Brockman P., Khurana I., Martin X., Voluntary disclosures around actual share repurchases, J Financ Econ, 89, pp. 175-191, (2008)

← 1 2 3 4 5 6 →