Australian National Univ., Univ. of New South Wales
| January 13, 2015
The authors investigate whether the media plays a role in corporate governance by disseminating news.
Using a comprehensive data set of corporate and insider news coverage for the 2001–2012 period, the authors show that the media reduces
insiders’ future trading
profits by disseminating news on prior insiders’ trades available from regulatory filings.
They find support for three economic mechanisms underlying the disciplining effect of news dissemination:
Their findings provide new insights into the real effect of news dissemination.
Please use your business email. If you don't have one, please email us at firstname.lastname@example.org.
We will process your personal data with the purpose of managing your personal account on
RavenPack and offering our services. You can exercise your rights of access, rectification,
erasure, restriction of processing, data portability and objection by emailing us at email@example.com. For more information, you can
Your request has been recorded and a team member will be in touch soon.
We consider incorporating sentiment signals from news, earnings call transcripts, and insider transactions to
boost the risk-adjusted returns, and revive factor performance.
We find stronger, more predictable market reactions when the words of company executives agree with their actions.
We have gathered 12 insights from 2021 research that can be leveraged in 2022.