Presenter: Lukas Grahl, AU

Title: Ambiguity and earnings announcements

Abstract: We show that the pricing of earnings information differs when market ambiguity is high. Using a sample of 615 S\&P 500 firms, spanning from 2004 throughout 2023, we find ambiguity induced pricing asymmetries between positive and negative news. In line with theory, this asymmetry extends to trading volume, which spikes as ambiguity-induced inertia is resolved. Lastly, we find that idiosyncratic risk is priced when ambiguity is high. This supports theoretical results of Multiple Priors Utility. Ambiguity aversion impedes full diversification of idiosyncratic risk as portfolios are priced at their worst case realization.

Presenter: Stefan Hirth, AU

Title: Maturity Choice, Debt Rollover, and Information Asymmetry

Abstract: TBA

Organizers: Stefan Hirth and Anders Merrild Posselt

PhD presentation as part of mandatory 1st or 3rd year presentation. The time is extended to one hour; the presenter has 40 minutes for the presentation, 5-10 minutes for the discussant, and 5-10 minutes for questions.

Organizers: Stefan Hirth and Anders Merrild Posselt