haku: @author Perignon, C. / yhteensä: 5
viite: 2 / 5
| Tekijä: | Chung, D.Y. Isakov, D. Perignon, C. |
| Otsikko: | Repurchasing shares on a second trading line |
| Lehti: | Review of finance
2007 : JUN, VOL. 11:2, p. 253-285 |
| Asiasana: | stock markets stock repurchases stock exchanges liquidity prices information disclosure Switzerland |
| Kieli: | eng |
| Tiivistelmä: | This paper explores a unique buy-back method allowing firms to reacquire their own shares on a separate trading line where only the firm is allowed to buy shares. This share repurchase method is called the Second Trading Line, extensively used by Swiss companies since 1997. The Second Trading Line is unique for two reasons: 1. the repurchasing company does not trade anonymously 2. all transactions are publicly available in real time to every market participant. This is a case of instantaneous disclosure, contrasting sharply with other markets characterized by delayed or no disclosure. It is found that the daily repurchase decision is statistically associated with short-term price changes and the release of firm-specific news. Furthermore, it is also found that repurchases have a beneficial impact on the liquidity of repurchasing firms. |
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