We analyze the factors that affect security issuance and its impacts on the volatility of stock returns before and after the issuance under heterogeneous beliefs and short sale constraints using the issuing sample of convertible bonds, corporate bonds and stocks in China’s security market during 2007 to 2012. The empirical tests identify that abnormal turnover can portray heterogeneous beliefs ...

Undeniable signatures, introduced by Chaum and van Antwerpen, require a verifier to interact with the signer to verify a signature, and hence allow the signer to control the verifiability of his signatures. Convertible undeniable signatures, introduced by Boyar, Chaum, Damg̊ard, and Pedersen, furthermore allow the signer to convert signatures to publicly verifiable ones by publicizing a verifica...

Unlike textbook arbitrageurs who instantaneously trade when prices deviate from fundamental values, real world arbitrageurs must overcome various frictions. For example, they often invest other people’s money, resulting in a principal/agent problem that is exacerbated in market downturns. Rather than increasing investment levels when prices dip below fundamental values, arbitrageurs may, in the...

We introduce a new concept called convertible undeniable signature schemes. In these schemes, release of a single bit string by the signer turns all of his signatures, which were originally undeniable signatures, into ordinary digital signatures. We prove that the existence of such schemes is implied by the existence of digital signature schemes. Then, looking at the problem more practically, w...

A convertible undeniable signature is issued as an undeniable signature which can provide good privacy service in its early lifecycle. Later when necessary, it can be converted into an ordinary signature by a designated party and thereafter assures good accountability just as an ordinary digital signature does. We propose an RSA-based convertible undeniable signature where, in the stage of unde...