What happens when there is active pre-IPO analyst research? In China, more coverage and rosier forecasts lift IPO offer prices. Yet underwriter-linked analysts are not more bullish. Paper suggests pre-IPO information production by analysts. #IPO #Analyst jfqa.org/wp-content/uploads/…

Can textual information from firm disclosures help to identify M&A targets? Analyzing 102,987 U.S. annual reports, transformer models significantly improve out-of-sample M&A target predictions. We use explainable AI to examine what drives the predictions.jfqa.org/wp-content/uploads/…

Can giving feel like insurance? Higher income uncertainty predicts more religious donations, which are linked to lower insurance spending. In a field experiment with 4 million users, a message invoking spiritual insurance makes people more likely to donate.jfqa.org/wp-content/uploads/…

Deductible choices in 10 million Chinese auto insurance contracts show that the same individuals become more risk averse when GDP growth slows. This is unlikely to reflect cyclical losses or premium changes and holds for other macro indicators. #JFQA jfqa.org/wp-content/uploads/…

We build a novel, high-frequency, local climate attention measure from 5,000+ US newspapers. Higher attention boosts green ETF investing & flood insurance purchase by households, and improves local firms' climate risk disclosure & environmental performance.jfqa.org/wp-content/uploads/…

How does #ClimateChange affect firm sales through supply-side channels? Comparing suppliers that serve the same customers, we find that a 1°C temperature increase cuts sales by ~2.5%, especially for heat-sensitive and financially constrained firms. jfqa.org/wp-content/uploads/…

Greener hedge funds deliver higher returns and lower risk, notably during market stress. Their managers show skill in selecting green investments and timing green factors, while investors reward greener funds primarily when paired with strong performance. jfqa.org/2026/08/21/are-the-…

California's 2007 wildfire re-zoning cut prices of newly designated homes by 5.7%, yet prices moved smoothly across the zone boundary. Homebuyers responded to the underlying risk, not the salient label. #ClimateRisk #RealEstate #HousingMarkets jfqa.org/wp-content/uploads/…

AML enforcement reshaped banking sector composition by shifting activity from small to large banks. Agca, Slutzky, and Zeume find that despite this reallocation, local credit did not decline, while small-business growth and local economic outcomes improved.jfqa.org/wp-content/uploads/…

The momentum effect in corporate bonds is shaped by more sustained price trends in winner than loser portfolios, consistent with asymmetric information diffusion linked to bonds’ nonlinear payoff structure and revealed by formation-period outlier treatment.jfqa.org/wp-content/uploads/…

Tiago Loncan and Philip Valta show that stronger competition at home pushes firms abroad: U.S. firms expand foreign sales when domestic competitive pressure rises, especially those with strong organizational/brand capital and high profitability. jfqa.org/wp-content/uploads/…

The level of a state’s tax-adjusted municipal-Treasury spread is a leading indicator of local economic risk. Notably, firms located in states with higher municipal-Treasury spreads earning higher average returns and are more exposed to systematic risk. jfqa.org/wp-content/uploads/…

Do macro fundamentals price sovereign default risk? Yes, but nonlinearly. Across 25 OECD economies and 4 CDS maturities, activity, inflation, and financial conditions drive credit spreads via interactions linear methods miss. #machinelearning #creditrisk" cambridge.org/core/journals/…

Connected social media outlets help firms counter negative traditional media coverage. Evidence from Chinese listed firms shows connected outlets publish more favorable, forward-looking narratives and help mitigate adverse market reactions. #JFQA jfqa.org/wp-content/uploads/…

Inflation raises corporate credit risk—but not uniformly. Qiu, To, and Zhang find the relation is convex: weak or negative at low inflation, but strongly positive at high inflation, especially for firms with refinancing needs and sticky cash flows. cambridge.org/core/journals/…

Can comply-or-explain regulation change corporate behavior? Canada’s board diversity reform shows that a principles-based disclosure regime led to a 38% increase in female board representation, accompanied by greater investor engagement and voting pressure.cambridge.org/core/journals/…

Why do some cryptocurrencies underperform? We construct a machine-learning measure of investor disagreement & find that cryptocurrencies with the greatest disagreement earn the lowest future returns, especially with limited arbitrage and severe mispricing. jfqa.org/wp-content/uploads/…

Momentum is strongest when past returns follow a clear, persistent trend. Trended Momentum shows that price-path clarity helps identify winners with stronger continuation across markets and asset classes. #JFQA #AssetPricing #Momentum #BehavioralFinance jfqa.org/wp-content/uploads/…