The interaction between household finance and corporate finance may be particularly strong in private firms. First, private firms often face...Read more
Over the past 20 years, hedge fund activism has become a powerful mechanism for influencing companies. Regulators, the business community, and the...Read more
Many investors and governance experts believe that “skin in the game” of managers, i.e. substantial stock and option ownership of top management,...Read more
Zacharias Sautner (Frankfurt School of Finance & Management) who spoke at the "New Research on Executive Compensation and on Sustainability" conference that took place on the 16-17/12/19 at Bar-Ilan University. The full paper and slides from this presentation can be downloaded here: https://ecgi.global/content/new-research-executive-compensation-and-sust...
David Tsui (USC Marshall School of Business) who spoke at the "New Research on Executive Compensation and on Sustainability" conference that took place on the 16-17/12/19 at Bar-Ilan University. The full paper and slides from this presentation can be downloaded here: https://ecgi.global/content/new-research-executive-compensation-and-sust...
We examine the relation between team turnover and firm performance studying the private equity industry. Using a unique data set that tracks over time teams in 138 PE managers and their performance, we uncover a positive relation between turnover and fund performance. We propose and confirm in the data two channels that explain our findings: i) in the short-run, perfor- mance improves when bad performers are fired, ii) in the long-run, turnover helps teams to adapt and replenish their skills in response to shifting exter- nal demand.