The Fourteenth Annual Conference of the Paul Woolley Centre for the Study of Capital Market Dysfunctionality took place on 7th-8th June 2022, in person.
Research at the Centre aims at understanding the workings of capital markets and the social efficiency of allocations these markets achieve. The research departs from the Arrow-Debreu view of frictionless markets, and emphasises the role of financial intermediaries (e.g. investment banks, mutual, hedge, and pension funds) in influencing prices and allocations. The main themes are (i) contracts between financial intermediaries and end-investors as well as within intermediaries, (ii) effects of frictions such as asymmetric information and agency on prices, (iii) effects of frictions on the allocation of capital in the economy, and (iv) policy responses to alleviate adverse effects of frictions.
The Paul Woolley Centre holds a conference each year based on these broad themes as well as related research questions. The goal is to bring together researchers working on such questions, disseminate their research, and stimulate the development of new ideas. Both empirical and theoretical papers are welcome.
This year’s conference focuses on the theme of “Institutional Investors, Corporate Governance, and Capital Markets”. Institutional investors can affect decisions in the firms where they invest, through their equity or debt stakes in the firms. Is their governance role beneficial, and how does it depend on the type of institutional investor, e.g., mutual fund vs hedge fund, or active fund vs passive fund? How do different types of institutional investors interact in their governance activities? How does the change in the composition of institutional investors, e.g., the shift from active to passive, affect corporate governance and market prices?
The conference will consist of invited papers and a panel. It is co-sponsored by the ESRC, as part of the grant “Intermediated Corporate Governance” held by Amil Dasgupta. It is co-organized by Amil Dasgupta and Dimitri Vayanos.
Title | Presented by (click presentation title to access)
- Corporate Governance in the Presence of Active and Passive Delegated Investment | Nadya Malenko
- Block Diversity and Governance | Miriam Schwartz-Ziv
- Nest's Approach | Diandra Soobiah
- Passive Investing and the Rise of Mega-Firms | Dimitri Vayanos
- Discussion of Passive Investing and the Rise of Mega-Firms | Lorenzo Pandolfi