Out of Balance: Do Analysts Issue Sell Recommendations to Manage their Recommendation Distributions?

Courtesy of Charles Chao Kang, Kenneth J. Merkley, Roni Michaely, and Joseph Pacelli The Global Analyst Research Settlement (“Global Settlement”) was a historic 2003 enforcement agreement between the SEC, NASD, NYSE and ten of America’s largest investment firms, aimed at addressing problems of conflict of interest within investment firms. In our recent article, we use […]