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Insider trading as a vehicle to appropriate rent from R&D
While most insider trading is routine and legal, investors still treat it as new information about the firm's prospects - they assume that trades reflect managers' attempts to profit from their private information. This article explores insider trading as a mechanism to appropriate rent from R&D advances. Stock price reactions to over 134,000 insider-trading events were analyzed and it was found that insider purchases generate larger positive stock price reactions from R&D-intensive firms. Investors seem to assume that managers use insider trading to appropriate rent from R&D breakthroughs. This paper discusses how shareholders may prefer this rent appropriation mechanism over other forms of compensation that directly reduce the firm's income..Printed Journal
Ketersediaan
| Call Number | Location | Available |
|---|---|---|
| PSB lt.dasar - Pascasarjana | 1 |
| Penerbit | : John Wiley & Sons |
|---|---|
| Edisi | - |
| Subjek | Statistical analysis Stock prices Insider trading Research & development R&D studies |
| ISBN/ISSN | 1432095 |
| Klasifikasi | - |
| Deskripsi Fisik | - |
| Info Detail Spesifik | - |
| Other Version/Related | Tidak tersedia versi lain |
| Lampiran Berkas | Tidak Ada Data |