... Licensed re-use rights only Extreme returns Lottery-like payoffs Gambling Overreaction Reversal G11 G17 G12 Perhaps the most interesting technical stock trading anomaly since Jegadeesh and Titman’s (1993) momentum effect is Bali et al.’s (2011) (henceforth BCW) MAX effect...

... also had lower post-acquisition accounting returns. An acquiring-firm CEO fixed effect in the data suggests CEO preferences play a role, which we can trace to several proxies for gambling propensity. We would like to thank Malcolm Baker, Nick Barberis, Jess Cornaggia, Marco Da Rin, Gang Dong...