Managerial Ability, Compensation, and the Closed‐End Fund Discount

By Jonathan B. Berk, Richard Stanton. 2007

199 citations recorded by the source corpus.

Subfields: Accounting, Finance, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/7bea15cf3447f2c7a408bc577346e791efd0be1a

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Citations in the corpus

Activist arbitrage: A study of open-ending attempts of closed-end funds (2010, background): “Studies by Barclay, Holderness, and Pontiff (1993), Ross (2002), Berk and Stanton (2007), and Cherkes, Sagi, and Stanton (2009) emphasize the agency problem between outside shareholders and managers and insiders as the source of CEF discounts. Studies by Lee, Shleifer, and Thaler (1991), Pontiff (19”
A Liquidity-Based Theory of Closed-End Funds (2009, background): “The closest is Berk and Stanton (2007), in which the behavior of the discount results from a tradeoff between managerial ability and fees, rather than our tradeoff between liquidity and fees.(3) Unlike ability-based models, our model can explain the patterns observed in CEF IPO behavior, and why dis”
It Pays to Write Well (2017, unknown): “Some theories cite unrealized capital gains and tax overhang to explain the discrepancy (Malkiel, 1977); others cite leverage (Cherkes, Sagi, and Stanton 2009), liquidity (Cherkes, Sagi, and Stanton, 2009), fees (Ross, 2005), and managerial skill (Berk and Stanton, 2007); still others follow a behav”
Managerial Ability, Investment Efficiency and Stock Price Crash Risk (2017, unknown): “Managers intending to maximize their personal welfares are sometimes inclined to make investments that are not in the best interests of shareholders (Berle & Means 1932; Jensen and Meckling 1976; Jensen, 1986).”
Does managerial ability facilitate corporate innovative success (2015, unknown): “Berk and Stanton (2007) demonstrate that managerial skill is essential in determining the close-end fund discount, while Holcombet al. (2009) demonstrate the importance of managerial ability in value creation through better utilization of resources.”
Quantifying Managerial Ability: A New Measure and Validity Tests (2012, methodology): “…have used DEA to measure firm efficiency (e.g., Thore et al. 1994; Murthi et al. 1996; Murthi et al. 1997; Barr and Siems 1997; Berk and Green 2004; Berk and Stanton 2007; Leverty and Grace 2011), we are the first to measure efficiency for a large cross-section of firms, spanning most industries,…”
Arbitrage Crashes and the Speed of Capital (2012, background): “A host of papers provide various rational market and behavioral explanations for the CEF discount (among others, see the work by Malkiel,1977; Lee, Shleifer, and Thaler, 1991; Pontiff, 1996; Gemmill and Thomas, 2002; Ross, 2002; and Berk and Stanton, 2007).”
Bank liquidity creation and risk-taking: : Does managerial ability matter? (2016, unknown): “(Berk and Stanton, 2007).”
Managerial ability and real earnings management (2017, background): “Berk and Green (2004) and Berk and Stanton (2007) find that managerial ability plays an important role in the performance of both open-end and close-end funds.”