主题：Learning about Discount Rates

主讲人：Olivier Dessaint，欧洲工商管理学院‌副教授

时间：4月29日（周三）上午10:00-11:30

地点：4-101教室

语言：英文

摘要：

Using valuation reports disclosing managers’ expectations of cashflow growth (g) and discount rates (k) in M&A transactions, we examine what they learn from target stock prices. Before correcting for endogeneity, both appear sensitive to prices—positively for g, negatively for k, and with equal magnitude—suggesting managers learn about both. However, using noise in prices as an instrument, only k reacts—with corrected estimates indicating that 89% of managers’ information about k comes from prices. Therefore, stock markets inform managers about risk and the compensation it requires, but not cashflows, which they already understand well. Cross-sectional tests reinforce this conclusion.

主讲人简介：

Olivier DESSAINT is an associate professor of finance at INSEAD. His research interests include corporate finance and behavioral finance. His work has been published in leading academic journals such as the Journal of Financial Economics, the Review of Financial Studies, and the Review of Finance. He currently teaches in the MBA and PhD programs.

Olivier holds a PhD in finance from HEC Paris. Prior to joining INSEAD, he was a faculty member at the Rotman School of Management from the University of Toronto in Canada. Before joining academia, he was also an investment banker at BNP Paribas. He was a part of the M&A advisory teams in Paris and Madrid.