Yilun Shi publishes article in Global Finance Journal

Assistant Professor Yilun Shi’s research examines the domestic stock price response to foreign capital issuance by Indian firms.

<p>Assistant Professor of Finance Yilun Shi</p>
<p>Assistant Professor of Finance Yilun Shi</p>
[/caption]Yilun Shi, assistant professor of finance in the Martha and Spencer Love School of Business, co-authored the article “Foreign Capital Raising by Indian Firms: An Examination of Domestic Stock Price Response,” which appears in the Global Finance Journal.

Shi’s co-authors are Alex Meisami of Indiana University South Bend; Jamshid Mehran of Indiana University South Bend; and Lalatendu Misra of the University of Texas at San Antonio.

The article’s abstract reads:

“We examine the domestic stock prices reponse to foregin capital issuance by Indian firms. Firms have extensively used foreign equity and convertible foregin debt sources since 1994. The role of foreign investment bankers, size of the issue, firm’s growth opportunities, and other factors are examined in the cross-sectional analysis of domestic stock price response. We find that firms experience positive stock price response to both equity and debt issues abroad, with greater response to issuance of American Depositary Receipts (ADRs), and financing high corporate growth.”

Global Finance Journal provides a forum for the exchange of ideas and techniques among academicians and practitioners and advances applied research in global financial management.