Limited Attention and the Allocation of Effort in Securities Trading

By Shane A. Corwin, Jay F. Coughenour. 2008

243 citations recorded by the source corpus.

Subfields: Economics and Econometrics, Finance, General Decision Sciences

View Paper: https://www.semanticscholar.org/paper/557dee23941eaf26ff0143f218ce2a6fc751e84e

How researchers see this paper

The researchers whose trusted networks rank it highest, strongest advocate first. Every researcher gets a different order.

In Economics and Econometrics

1. Yi Tang
2. Turan G. Bali
3. Yannan Shen
4. Lin Peng
5. Ohad Kadan
6. Thierry Foucault
7. Eugene Kandel
8. Marco Rocco

In Finance

1. Yi Tang
2. Turan G. Bali
3. Yannan Shen
4. Lin Peng
5. Ohad Kadan
6. Thierry Foucault
7. Eugene Kandel
8. Marco Rocco

In General Decision Sciences

1. Lin Peng
2. Ohad Kadan
3. Turan G. Bali
4. Thierry Foucault
5. Eugene Kandel

Citations in the corpus

• Does Media Coverage of Stocks Affect Mutual Funds' Trading and Performance? (2014, unknown): “2 Besides our paper, that by Corwin and Coughenour (2008) is the only other, to our knowledge, that documents limited attention among professionals.”
• Predictable Behavior, Profits, and Attention (2007, unknown): “For more information on calendar-time portfolios, see Barber and Lyon (1997) and Lyon and Barber (1999). 600 M.”
• Liquidity Shocks and Stock Market Reactions (2014, background): “Corwin and Coughenour (2008) show that NYSE specialists’ attention constraints affect execution quality in terms of price improvement and transaction costs for securities for which they are market makers, and as a result, stocks that receives less specialist attention exhibit less frequent price…”
• News-Driven Return Reversals: Liquidity Provision Ahead of Earnings Announcements (2014, unknown): “To the extent that market makers tend to provide liquidity in peer firms, these results complement findings in Corwin and Coughenour (2008) that specialists focus their attention and resources on stocks with information events by shifting liquidity away from remaining assigned stocks.”
• Liquidity Cycles and Make/Take Fees in Electronic Markets (2013, methodology): “Thus, using equations (3) and (5), we can rewrite the objective function of market-maker i (equation (6)) as im = pi m D = i 2 cm + 1 2 (2)i = i 2 cm + 1 2 (2)i : (7) Similarly, the objective function of market-taker j is to maximize his expected payo¤ per cycle divided by the expected length of a c”
• Behavioural Finance: A Review and Synthesis (2007, unknown): “What is the effect of cognitive biases of market makers on price formation? A start on the study of this subject is the paper by Corwin and Coughenour (2005) who argue that limited attention influences transaction costs.”
• Investor Attention and Time-Varying Comovements (2007, unknown): “In a related context, Corwin and Coughenour (2006) find that on days when NYSE specialists are fully occupied by trading activities of a subset of securities”
• WSJ Category Kings - the impact of media attention on consumer and mutual fund investment decisions (2017, unknown): “Consistent with theoretical predictions by Basak, Pavlova, and Shapiro (2007) and Cuoco and Kaniel (2011), we show that funds ranked near the rank = 10 cutoff at the beginning of the last ranking month, and only these funds, “diverge from the herd” by increasing tracking error volatility relative to”