... probability of being acquired because the acquisition reduces risk and investors' required return. Conversely, the agency conflicts explanation predicts lower returns when acquisition is unlikely. Design/methodology/approach The likelihood of receiving a takeover bid is estimated, and portfolio tests...

... to informational advantages that are believed to reduce agency conflicts of interest (Eisenhardt, 1989 ; Fama, 1980). Coval and Moskowitz (1999) find that fund managers invest in securities that are, on average, 160 km closer to them than the average security in their target portfolios. As the authors explain...

...Monzurul Hoque; Qian Wang Purpose The purpose of this paper is to empirically test information asymmetry and agency conflicts hypotheses, as to firm's choices in selling preferred stock in public and private markets. Design/methodology/approach Using firm‐level preferred stock issue data...