Efficient investment and financial intermediation
Article Abstract:
Uninformed agents can make suboptimal investment as a result of insider trading. However, financial intermediation can mitigate this problem. The intermediary offers the uninformed agents the informationally less sensitive demand debt, thus extricating their payoffs from its investments. With the investment decisions left to the agent who is most capable of making them, more viable investments can be pursued by the intermediary and can achieve allocations better than those of the market.
Publication Name: Journal of Banking & Finance
Subject: Business
ISSN: 0378-4266
Year: 1996
User Contributions:
Comment about this article or add new information about this topic:
Return predictability following large price changes and information releases
Article Abstract:
Research describing investment return behavior following price changes is presented. Particular attention is given to different criteria conditioning the returns, including news, volume, earnings and analyst recommendations. Models for returns predictability are presented.
Publication Name: Journal of Banking & Finance
Subject: Business
ISSN: 0378-4266
Year: 2001
User Contributions:
Comment about this article or add new information about this topic:
Money and Credit in liquidity provision
Article Abstract:
A research theory is given to explain the observed empirical regularities on default probabilities, recovery rates, and credit spreads. The model generated can generate various shapes of yield spread curves and marginal default rate curves.
Publication Name: Journal of Banking & Finance
Subject: Business
ISSN: 0378-4266
Year: 2001
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: Contingent transfers and the marital deduction - an area of continuing controversy. An earful on QTIPs from the IRS
- Abstracts: Economic growth, investment, and exchange rate changes in a poor-capital economy. Investment under profit-sharing contracts: the adverse selection case
- Abstracts: Differences of opinion and selection bias in the credit rating industry. Financial regulation and financial system architecture in Central Europe
- Abstracts: Value investing: the use of historical financial statement information to separate winners from losers. Confirming management earnings forecasts, earning uncertainty, and stock returns
- Abstracts: Liberec waits for an investment worth several billions of Czech crowns. The state writes off payment arrears worth several billions of Czech crowns