Publications:
Mao, Zheng, 2024, "Fintech mergers and acquisitions" Journal of International Money and Finance.
Fintech M&As add little value to acquirers. Fintech acquirers, particularly acquiring banks, potentially overestimate the benefits of such deals.
Li, Mao, Zhang, Zheng, 2023, "Banks' investments in fintech ventures" Journal of Banking and Finance.
Banks perform better than independent venture capital in fintech investments measured by IPO exit rates.
Mao, Wong, 2022, “Managerial commitment and heterogeneity in target-date funds” Journal of Empirical Finance.
How a TDF fund manager invests in TDFs is associated with the fund's idiosyncratic risk-taking.
Mao, Wong, 2022, “Why have target-date funds performed better in the COVID-19 selloff than the 2008 selloff?” Journal of Banking and Finance.
Target-date funds shifted to more conservative investment strategies after the 2008 GFC.
Liu, Mao, Nini, 2018, “Customer risk and corporate financial policy: Evidence from receivables securitization,” Journal of Corporate Finance.
Customer risk limits firms' ability to finance using receivables securitization.
Mao, Wei, 2016, “Cash flow news and the investment effect in the cross-section of stock returns,” Management Science.
Cash flow news quantitatively explains the high firm investment and lower future returns phenomenon, in line with investors' expectational errors hypothesis.
Mao, Yu, 2015, “Analysts’ cash flow forecasts, audit effort, and audit opinions on internal control,” Journal of Business Finance & Accounting.
The provision of analysts' cash flow forecasts leads to lower audit risk and control risk, showing that cash flow forecasts help improve management accounting behavior and firm internal control.
Mao, Wei, 2014, “Price and earnings momentum: An explanation using return decomposition,” Journal of Empirical Finance.
Price moment strategy longs both cash flow news and discount rate news winners while earnings momentum strategy longs only cash flow news winners. The persistent cash flow news demonstrates investor underreaction which drives the moment anomalies.
Lemmon, Liu, Mao, Nini, 2014, “Securitization and capital structure in nonfinancial firms: An empirical investigation,” Journal of Finance.
Securitization creates value for nonfinancial firms by reducing bankruptcy costs and providing access to segmented credit markets.