Marilyn Wiley
University of North Texas, College of Business, Faculty Member
ABSTRACT Recent mortgage crisis has brought to the bankruptcies and the losses of many financial institutions. Yet many CEOs of US financial institutions enjoy a great deal of income and bonuses despite economy tumble. Their incomes are... more
ABSTRACT Recent mortgage crisis has brought to the bankruptcies and the losses of many financial institutions. Yet many CEOs of US financial institutions enjoy a great deal of income and bonuses despite economy tumble. Their incomes are not in conjunction with those of the shareholders, indicating a serious agency problem. This issue has raised my curiosity on whether stock option backdating, another example of agency problem, is as prevalent as slack lending policies among financial institutions. My paper attempts to compare the relative magnitude of executive option backdating between nonfinancial firms and financial firms. By using a sample of CEO stock option grants from 1995 through 2006 obtained from ExecuComp, I employ event study around the grant dates. The result shows that nonfinancial firms illustrate significant option backdating behavior while there is less occurrence of option backdating conducts among financial firms.
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This pap er ex amin es the v olum e-volatility-typ e of trad er relationsh ip by e mplo ying d aily volume of five futures contracts segregated into four types of traders. This breakdown of total volu me in to its com pon ents allo ws us... more
This pap er ex amin es the v olum e-volatility-typ e of trad er relationsh ip by e mplo ying d aily volume of five futures contracts segregated into four types of traders. This breakdown of total volu me in to its com pon ents allo ws us to test whether one or more groups can be simultaneously associated with the level of volatility on the conditional return. A bivariate GARCH model is employed to examine the relationships between the category volumes and to account for clustering of volatility. Overall, while both volume and volatility have ARCH effects, their relative importance in the return relationship depends on the type of futures
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Purpose Recent findings show that CEOs tend to backdate their stock option grants so that a past date on which the stock price was particularly low is picked to be the grant date. Using cases now settled concerning a group of firms that... more
Purpose Recent findings show that CEOs tend to backdate their stock option grants so that a past date on which the stock price was particularly low is picked to be the grant date. Using cases now settled concerning a group of firms that were caught backdating, this paper aims to examine further whether backdating firms have higher levels of operating efficiency and corporate governance, lower levels of bankruptcy risk, more ability to increase shareholder wealth, and lower levels of market price risk. This paper also compares the characteristics of backdating firms during the pre-Sarbanes-Oxley Act of 2002 (SOX) and post-SOX periods. Design/methodology/approach This sample of backdater firms comprises those caught backdating who have settled their cases, according to data provided by Risk Metrics Group, a non-profit organization that keeps track of most securities class actions. A matched sample of 28 non-backdating, comparison-group firms was constructed to perform univariate and m...
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We examine the volatility-volume relation in futures markets using volume data categorized by type of trader. We find that the positive volatility-volume relation is driven by the general public, a group of traders who are distant from... more
We examine the volatility-volume relation in futures markets using volume data categorized by type of trader. We find that the positive volatility-volume relation is driven by the general public, a group of traders who are distant from the trading floor and therefore without precise information on order flow. Clearing members and floor traders who observe order flow often decrease volatility.
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Abstract: Focuses on the operating cycle. Provides a conceptual and practical understanding of issues and relationships of importance to all managers, such as invested capital, flowing capital, return of and on capital, lost and idle... more
Abstract: Focuses on the operating cycle. Provides a conceptual and practical understanding of issues and relationships of importance to all managers, such as invested capital, flowing capital, return of and on capital, lost and idle capital, risk-return-value ...
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Provides the conceptual structure and practical framework for analysing the effects which changes in operating cycle variables will have on economic value. Focuses on important issues and techniques in analysing and managing raw... more
Provides the conceptual structure and practical framework for analysing the effects which changes in operating cycle variables will have on economic value. Focuses on important issues and techniques in analysing and managing raw materials, work in process, finished goods and accounts receivable. Addresses single and joint effects of changes in the operating cycle on additions to value. Illustrates the amplification
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Mortgage interest rates have become more integrated with other capital-market interest rates over recent decades, apparently as a result of the deregulation of financial markets. The link is both imperfect and time-varying. Mortgage rates... more
Mortgage interest rates have become more integrated with other capital-market interest rates over recent decades, apparently as a result of the deregulation of financial markets. The link is both imperfect and time-varying. Mortgage rates during some time periods appear to be “sticky” with respect to their adjustment to changes in capital-market rates. We examine the relationship between weekly conventional mortgage