Embedded Files
Published Papers
Published Papers
How Does Human Capital Affect Investing? Evidence from University Endowments
with Gregory W. Brown, Robert S. Harris, and Christian T. Lundblad
Review of Finance, 2023, 27(1), 143-188.
2023 IQAM Prize in Financial Economics, Review of Finance
2019 WFA Two Sigma Award for Best Paper on Investment Management
Paying Managers of Complex Portfolios: Evidence on Compensation and Performance from Endowments
with Robert S. Harris
Journal of Financial and Quantitative Analysis, 2024, 1-35.
Presentations: 33rd Australasian Finance and Banking Conference (AFBC, 2020) ; Financial Management Association (FMA, 2020); Southern Finance Association (SFA, 2020);
Media Mentions: Financial Times - FundFire, Institutional Investor, With Intelligence by Leanna Orr, St. Louis Business Journal
A New Lease on Firm Behavior
with Robert Connolly, Fotis Grigoris, and Crocker Liu
See the ASC842 Leasing Data here
Forthcoming at the Journal of Corporate Finance
Presentations: Financial Management Association (FMA, 2021); Eastern Finance Association (EFA, 2021) ; Financial Markets and Corporate Governance (2020); Midwest Finance Association (MFA, 2021) ; University of Miami (2021)University of Missouri (2020); 15th Annual Conference on Asia-Pacific Financial Markets (CAFM, 2020); 33rd Australasian Finance and Banking Conference (AFBC, 2020) ;
Runner Up Award, 2021 Financial Markets and Corporate Governance Conference
Working Papers
Working Papers
Investing With Purpose: Evidence From Private Foundations
with Kyle E. Zimmerschied
R&R (2nd Round) at The Journal of Finance
Presentations: Financial Management Association (FMA, 2022), American Finance Association (AFA 2021, Poster Session); Southern Finance Association (SFA, 2021); Easter Finance Association (EFA, 2022); Ryerson University; University of Florida
Abstract: We study the asset allocation and investment performance of U.S. private foundations that support the charitable sector. Large foundations generated positive risk-adjusted returns before 2008, driven by early access to private equity and venture capital funds, but have underperformed since. The median foundation underperforms by more than 100 basis points. Foundations with concentrated stock holdings achieve higher returns but assume more risk. Due to the constraints imposed by the 5% minimum spending rule and accommodating monetary policy, foundations increase risk-taking and reach for yield. Over time, a conservative asset allocation decreases real wealth, reducing charitable giving.
Benchmarking Private Equity Portfolios: Evidence from Pension Funds
with Nik Augustin and Elyas Fermand
Presentations: 15th Annual Private Equity Research Symposium (PERC); UNC Inaugural Alumni Conference; 2024 VSB Mid-Atlantic Research Conference in Finance (MARC); 2024 Eastern Finance Association (EFA); 2024 Silicon Prairie Finance Conference; 2024 Midwest Finance Association (MFA)
Media Mentions: Institutional Investors, CFA Institute
Abstract: We document significant heterogeneity in benchmarks used for US public pension fund private equity (PE) portfolios. Benchmark type (e.g., public vs. private, domestic vs. global), spread, and complexity vary predictably with PE allocations and specialty consultant use. General consultant turnover predicts PE benchmark changes, and leads to broader operational shifts; after a general consultant change, there is a 7% higher probability of PE consultant turnover. Public pension funds beat their PE benchmarks about half the time, but over the last 20 years, benchmarks consistently became easier to beat. We attribute benchmark changes to consultants' labor market incentives to expand their client portfolio, rather than changing private equity return expectations.
The Real Effects of Operational Risk: Evidence from Data Breaches
Presentations: EFA (2020, cancelled); SWFA (2020, cancelled); NFA (2019)
Abstract: Operational risk poses unique challenges to corporations around the world. However, little is known about the consequences of risk management vulnerabilities on financing costs and firm outcomes. In this paper, I document substantial and persistent effects on financing costs and debt contracting caused by operational risk management vulnerabilities following data breaches of public firms. Exploiting data breach events between 2005 and 2015, I find that lenders charge breached firms 15 to 20 percent larger spreads, and tighten covenant intensity, consistent with a shift in control rights over cash flows. The effect is larger for breaches of financial information or malicious cyber-attacks, and for firms with lower attention to risk management. Moreover, financial and operating leverage increases, profitability drops, and firms face a higher probability of default. Lastly, ex-ante mispricing by banks does not explain these findings.
Work in Progress
Work in Progress
Running Digital Asset Funds
Debt Financing in Higher Education
Book Chapters
Book Chapters
The Palgrave Encyclopedia of Private Equity. In: Cumming, D., Hammer, B. (eds) Palgrave Macmillan
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