We propose a method for decomposing private fund portfolio performance into effects from timing, strategy selection, geographic focus, sizing of fund allocation, and fund selection attributes.
The idea that new ventures are simple mimetic reflections of the organizational practices of existing organizations contradicts the recognized importance of organizational diversity for innovation. There is an inherent contradiction in the literature between the persistence implied by the inheritance of practices from prior employment, and the experimentation prevalent in the organizational practices contributed by new organizations. This paper first accounts for mechanisms that may drive heritage of practices from parent organizations to their spawns.
Using a comprehensive and proprietary dataset on international private equity activity, we study the determinants of buyout investments across 61 countries and 19 industries over the period of 1990-2017. We find evidence that macroeconomic conditions, development of stock and credit markets, and the regulatory environment in a country are important drivers of international buyout capital flows.
While the gender pay gap has received significant attention in recent years, little progress has been made to close it; in fact, in 2019, women still earned only 82 cents for every dollar received by their male counterparts for equal work. Policymakers in recent years have developed creative solutions aiming to close the gap, including bans prohibiting employers from asking for a job applicant’s salary history. However, in this week’s Kenan Insight, new research from our experts examines whether such well-intentioned bans are inadvertently lowering wages for all employees.
As of 2019, salary history bans were enacted by 17 states and Puerto Rico with the stated purpose of reducing the gender pay gap. We argue that salary history bans may negatively affect wages as employers lose an informative signal of worker productivity. We empirically evaluate these laws using a large panel dataset of disaggregated wages covering all public-sector employees in 36 states and find, on average, that salary history bans lead to a 3% decrease in new-hire wages.
High levels of inflation have dominated global headlines for a good part of the last year, but what’s the connection between high global inflation and a strong dollar?
We find that Exchange-Traded Funds (ETFs) are more expensive to borrow than stocks, and we provide an explanation for this difference. This phenomenon is due to features specific to the ETF lending market rather than due to the stocks the ETFs hold, as ETF loan fees tend to be higher than the average of their constituent stocks. We find that for most indices, one ETF tends to capture the majority of the short interest. This "short favorite" ETF tends to have low loan fees, while the "non-favorite" ETFs tend to be much more expensive to short and are less liquid.
We present a classical enhancement to improve the accuracy of the Hybrid variant (Hybrid HHL) of the quantum algorithm for solving linear systems of equations proposed by Harrow, Hassidim, and Lloyd (HHL). We achieve this by using higher precision quantum estimates of the eigenvalues relevant to the linear system, and a new classical step to guide the eigenvalue inversion part of Hybrid HHL.
Increased corporation regulation in recent decades has raised the likelihood of regulatory oversight spillovers-the extent to which one agency's interactions with a regulated firm affects firm behaviors under the purview of another agency. We study how such spillovers can affect the mission of a specific regulator-the tax authority-using a measure of firm-specific exposure to fragmented regulation.
Twenty-five sophomore students from UNC Kenan-Flagler Business School have been selected as members of the fifth class of undergraduate Kenan Scholars, the largest class ever. This five-semester program, sponsored by the Frank Hawkins Kenan Institute of Private Enterprise, brings together UNC business majors and minors that exhibit leadership and a passion for serving on campus and in the community.
Last Friday, the Kenan Scholars program kicked off the first event of its 2021 Research Workshop series. Titled Generating Business Research Questions and Topics and led by Nancy Lovas of the Entrepreneurship and Business Library, the workshop gave students a thorough introduction to the world of business research.
The Fed tried to show its inflation-fighting mettle by raising the federal funds rate, the short-term interest rate it directly controls, by 0.75 of a percentage point. This is the largest increase since 1994, though the funds rate remains at a quite low 1.625%, especially relative to the 8.6% inflation reading last week. The Fed seemed to be spooked by the inflation print — which, rather than declining as many forecasters (including myself) expected, rose to its highest level since 1981. More important, in my opinion, longer-term measures of consumer inflation expectations and uncertainty increased.
It is probably not a mystery to even the most casual observer of political affairs why the historic climate, health care and tax bill signed earlier this month was dubbed the Inflation Reduction Act. Inflation is high and causing real problems for many households, and so if only Congress could legislate it away by enacting … This is not to say that the package does not deserve any enthusiasm; it is an impressive legislative feat, making significant, though imperfect, advances on health care and climate change. On the other hand, the effect it will have on inflation, its raison d’être in name, will be modest at best and occur only over time.
The new report from the Kenan Institute's American Growth Project takes a look under the hood at productivity - and which U.S. cities have been climbing up the productivity rankings.
Chief Economist Gerald Cohen discussed whether the job growth shown in the new employment report would influence the inflation-fighting work of the Fed and why excess savings may cushion the blow of a recession he predicts will come later in the year.
...the risk brought on by this era of uncertainty, how do businesses develop the agility and adaptability to make themselves more resilient? Learn More 2023: Workforce Disrupted From quiet quitting...
Wednesday, May 17, 2023 • 4:30pm – 6:30pm CHATHAM LEADS The Plant • 192 Lorax Lane, Pittsboro, NC 27312 HuthPhoto-CAH_6593 HuthPhoto-CAH_6605 HuthPhoto-CAH_6730 HuthPhoto-CAH_6755 HuthPhoto-CAH_6759 HuthPhoto-CAH_6855 HuthPhoto-CAH_6900 HuthPhoto-CAH_7137 HuthPhoto-CAH_7156 HuthPhoto-CAHF5527 Chatham Leads...
A panel recap from last month's Future of Digital Assets Symposium analyzed how fintech may be able to help create a more inclusive financial system.
While failure and success have important implications for individual and organizational performance, not all failure and success are equally significant in influencing performance. A key, but unexamined, element is one's expectation of the outcome.
As businesses increasingly rely on technology, cities with a strong tech workforce gain a competitive edge, experiencing greater economic growth. This shift can be seen in both urban centers and rural areas.