Sun, H. and Yin, S. (2017) Information leakage in family firms: Evidence from short selling around insider sales. Journal of Corporate Finance, 47. pp. 72-87. ISSN 0929-1199
Abstract
Using a novel insider trading and short selling dataset from the Hong Kong Stock Exchange (HKEx), we investigate potential information leakage from corporate insiders to short sellers, particularly in family firms. Even without the presence of market makers in the HKEx, we document a significant increase in short selling volume before insider trades are released to the public. The non-monotonic relationship between the short selling intensity and family control contributes to the debate on whether family presence facilitates or limits information leakage. In addition, trading by non-family insiders is more likely to convey private information, as compared to family insiders.
Metadata
Item Type: | Article |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © 2017 Elsevier. This is an author produced version of a paper subsequently published in Journal of Corporate Finance. Uploaded in accordance with the publisher's self-archiving policy. Article available under the terms of the CC-BY-NC-ND licence (https://creativecommons.org/licenses/by-nc-nd/4.0/) |
Keywords: | Information leakage; Insider trading; Short selling; Family firms |
Dates: |
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Institution: | The University of Sheffield |
Academic Units: | The University of Sheffield > Faculty of Social Sciences (Sheffield) > Management School (Sheffield) |
Depositing User: | Symplectic Sheffield |
Date Deposited: | 24 Oct 2017 13:26 |
Last Modified: | 08 Sep 2019 00:38 |
Published Version: | https://doi.org/10.1016/j.jcorpfin.2017.09.005 |
Status: | Published |
Publisher: | Elsevier |
Refereed: | Yes |
Identification Number: | 10.1016/j.jcorpfin.2017.09.005 |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:123008 |
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