Taking a firm's competitive position into account benefits investors who are better at evaluating this qualitative information. I find that fund managers overweight companies with market power outperform their peers. Placebo exercises and an exogenous shock to product competition around the 9/11 terrorist attacks support finding. Managers larger bets on more experienced long-term oriented. They...

The European Union (EU) market integration is leading to increasingly monopolistic electricity market infrastructures, which has opened a debate on the regulation of these socalled power exchanges. In this paper, we start by stating that there are two types of power exchanges in Europe, i.e. “merchant” and “cost-of-service regulated” power exchanges. We then discuss how regulation can be used t...