Working Paper

Corporate Governance in the Presence of Active and Passive Delegated Investment

We examine the governance role of delegated portfolio managers. In our model, investors decide how to allocate their wealth between passive funds, active funds, and private savings, and asset management fees are endogenously determined. Funds’...Read more

Adrian Aycan Corum
Andrey Malenko
Nadya Malenko
26 August 2020

The Costs and Benefits of Shareholder Democracy: Gadflies and Low-Cost Activism

We show that there is cross-sectional variation in the quality of shareholder proposals. On average, the proposals submitted by the most active individual sponsors are less likely to be supported by a majority of votes, but they occasionally pass...Read more

Nickolay Gantchev
Mariassunta Giannetti
20 December 2018

The Effect of Institutional Investors' Voice on the Terms and Outcome of Freeze-out Tender Offers

We study the impact of institutional investors' “voice” on 201 going private tender offers by controlling shareholders ("freeze-out" offers) in Israel. Israeli regulatory intervention in freeze-out tender offers is relatively mild, thus...Read more

Beni Lauterbach
21 September 2018

The Neglected Role of Justification under Uncertainty in Corporate Governance and Finance

The big corporate governance debates nowadays concern the corporation’s time horizons, and the balance of power between shareholders and managers. In response to actual and anticipated pressure from shareholder activists – typically, activist...Read more

Claire A. Hill
Alessio Pacces
14 January 2019