Article history: Received 24 April 2012 Received in revised form 8 September 2012 Accepted 17 September 2012 Available online 25 September 2012 We extend the market timing literature to show that SEO timing can be characterized by the dynamics of liquidity risk. That is, firms tend to issue SEOs when liquidity risk declines to the point where investors have least concern of the risk. In the abs...

Investigating various corporate announcements and abnormal return days, I observe that around 2% of daily trading volume decreases only before scheduled earnings announcements. This empirical pattern is robust across different specifications and periods. Also, proxies of ex ante information asymmetry are consistently related to the trading volume only before scheduled earnings announcements. Th...

This paper empirically investigates the performance of market-timing strategies effectively used by investors in Emerging Markets (EMs). We identify short-term determinants mutual fund flows into EM equity and fixed income, finding a well-established flow-performance relation. Hence, we verify whether make good timing decisions with statistic hereafter referred to as “performance gap”. find tha...