סמינר במימון חשבונאות

Speaker:  Prof. Daniel Bradley, University of South Florida

Abstract

Using hand-collected biographical information on financial analysts from 1983 to 2011, we exploit their employment history and find that analysts with pre-analyst industry experience have significantly better forecast accuracy resulting in stronger market reactions when they forecast firms in industries similar to their previous industry experience. We also document that previous industry experience is positively related to favorable career outcomes—analysts possessing such experience are more likely to be named as Institutional Investor all-stars. This result is persistent pre- and post-Reg FD suggesting that industry expertise as opposed to social connections from previous employment is a more likely channel to explain our findings.

The article can be downloaded from the Finance-Accounting seminar website:

http://en-recanati.tau.ac.il/Finance-Accounting-Seminars2014b