Cardiff University | Prifysgol Caerdydd ORCA
Online Research @ Cardiff 
WelshClear Cookie - decide language by browser settings

ETF ownership and seasoned equity offerings

Evans, Kevin P. ORCID: https://orcid.org/0000-0001-8854-2629, Leung, Woon Sau, Li, Junqiu and Mazouz, Khelifa ORCID: https://orcid.org/0000-0001-6711-1715 2023. ETF ownership and seasoned equity offerings. Journal of Financial and Quantitative Analysis 10.1017/S002210902300042X

[thumbnail of etf-ownership-and-seasoned-equity-offerings.pdf]
Preview
PDF - Published Version
Available under License Creative Commons Attribution.

Download (462kB) | Preview

Abstract

This article investigates the impact of exchange-traded fund (ETF) ownership on seasoned equity offerings (SEOs). We find that increases to firms’ ETF ownership is positively related to their propensity to conduct an SEO. ETF ownership is also associated with less negative SEO announcement returns, smaller discounts, and better long-run stock returns. Our evidence is consistent with equity issuance following investor demand for stocks driven by greater participation in ETFs, suggesting a possible alternative source of market timing opportunity.

Item Type: Article
Date Type: Published Online
Status: In Press
Schools: Business (Including Economics)
Publisher: CUP
ISSN: 1756-6916
Date of First Compliant Deposit: 24 December 2022
Date of Acceptance: 21 December 2022
Last Modified: 06 Jan 2024 03:35
URI: https://orca.cardiff.ac.uk/id/eprint/155285

Actions (repository staff only)

Edit Item Edit Item

Downloads

Downloads per month over past year

View more statistics