Essec\Faculty\Model\Contribution {#2216
  #_index: "academ_contributions"
  #_id: "13350"
  #_source: array:26 [
    "id" => "13350"
    "slug" => "local-ownership-as-private-information-evidence-on-the-monitoring-liquidity-trade-off"
    "yearMonth" => "2007-03"
    "year" => "2007"
    "title" => "Local ownership as private information: Evidence on the monitoring-liquidity trade-off"
    "description" => "GASPAR, J.M. et MASSA, M. (2007). Local ownership as private information: Evidence on the monitoring-liquidity trade-off. <i>Journal of Financial Economics</i>, 83(3), pp. 751-792."
    "authors" => array:2 [
      0 => array:3 [
        "name" => "GASPAR José-Miguel"
        "bid" => "B00015852"
        "slug" => "gaspar-jose-miguel"
      ]
      1 => array:1 [
        "name" => "MASSA M."
      ]
    ]
    "ouvrage" => ""
    "keywords" => array:6 [
      0 => "Local ownership"
      1 => "Corporate governance"
      2 => "Liquidity"
      3 => "Monitoring"
      4 => "Mutual funds"
      5 => "Private information"
    ]
    "updatedAt" => "2022-11-07 15:13:28"
    "publicationUrl" => "https://doi.org/10.1016/j.jfineco.2005.10.010"
    "publicationInfo" => array:3 [
      "pages" => "751-792"
      "volume" => "83"
      "number" => "3"
    ]
    "type" => array:2 [
      "fr" => "Articles"
      "en" => "Journal articles"
    ]
    "support_type" => array:2 [
      "fr" => "Revue scientifique"
      "en" => "Scientific journal"
    ]
    "countries" => array:2 [
      "fr" => null
      "en" => null
    ]
    "abstract" => array:2 [
      "fr" => "We investigate how ownership patterns affect the way the firm is monitored, the liquidity of its shares, and its stock price. We show that informed ownership improves governance and induces value-enhancing decisions (less over-investment and fewer but better acquisitions). At the same time, it increases the adverse selection discount required by less informed investors to trade, reducing the firm’s liquidity. Both effects are impounded in the stock price. This explains why ownership seems to be unrelated to performance. Informed investors affect prices in opposite directions: monitoring would raise prices, but the lower liquidity induced by their presence would reduce them."
      "en" => "We investigate how ownership patterns affect the way the firm is monitored, the liquidity of its shares, and its stock price. We show that informed ownership improves governance and induces value-enhancing decisions (less over-investment and fewer but better acquisitions). At the same time, it increases the adverse selection discount required by less informed investors to trade, reducing the firm’s liquidity. Both effects are impounded in the stock price. This explains why ownership seems to be unrelated to performance. Informed investors affect prices in opposite directions: monitoring would raise prices, but the lower liquidity induced by their presence would reduce them."
    ]
    "authors_fields" => array:2 [
      "fr" => "Finance"
      "en" => "Finance"
    ]
    "indexedAt" => "2024-12-22T13:21:55.000Z"
    "docTitle" => "Local ownership as private information: Evidence on the monitoring-liquidity trade-off"
    "docSurtitle" => "Journal articles"
    "authorNames" => "<a href="/cv/gaspar-jose-miguel">GASPAR José-Miguel</a>, MASSA M."
    "docDescription" => "<span class="document-property-authors">GASPAR José-Miguel, MASSA M.</span><br><span class="document-property-authors_fields">Finance</span> | <span class="document-property-year">2007</span>"
    "keywordList" => "<a href="#">Local ownership</a>, <a href="#">Corporate governance</a>, <a href="#">Liquidity</a>, <a href="#">Monitoring</a>, <a href="#">Mutual funds</a>, <a href="#">Private information</a>"
    "docPreview" => "<b>Local ownership as private information: Evidence on the monitoring-liquidity trade-off</b><br><span>2007-03 | Journal articles </span>"
    "docType" => "research"
    "publicationLink" => "<a href="https://doi.org/10.1016/j.jfineco.2005.10.010" target="_blank">Local ownership as private information: Evidence on the monitoring-liquidity trade-off</a>"
  ]
  +lang: "en"
  +"_type": "_doc"
  +"_score": 8.986613
  +"parent": null
}