Research

Annual Financial Market Symposium

The finance department sponsors an annual financial market symposium. The conferences highlight UAlbany as a research center, promote the research activities of School of Business faculty and involve finance researchers from across the U.S. Our alumni and students benefit from access to the most advanced research finance and interactions with these scholars.

2017 The University at Albany's 4th Financial Market Symposium: Alternative Investments and Corporate Governance

2016 The University at Albany's 3rd Financial Market Symposium: Hedge Funds

2015 The University at Albany's 2nd Financial Market Symposium: Private Equity

2014 The University at Albany's Inaugural Financial Market Symposium: Hedge Funds and Regulation

Faculty Research Highlights

Dodd-Franking the Hedge Funds
Na Dai, Journal of Banking and Finance
This paper analyzes hedge fund performance, risk, and fund flows before and after the implementation of the Dodd-Frank Act. The data indicates that, relative to non-US hedge funds, US hedge funds that are regulated under Dodd-Frank have lower fund alphas in the post-DoddFrank implementation period, both statistically and economically significant, while the evidence on its effect on risk (standard deviations and idiosyncratic risk) is mixed. The paper finds evidence that there is more fund outflow (or less fund inflow) for certain US hedge fund strategies after the implementation of Dodd-Frank. The findings are robust to difference-in-differences analyses comparing US to non-US funds.

Jumps, Cojumps, and Efficiency in the Spot Foreign Exchange Market
Louis Piccotti, Journal of Banking and Finance
This paper identifies intraday jumps and cojumps in exchange rates controlling for volatility patterns and relate these events to pre-scheduled macroeconomic news and market conditions. Event study results show that preceding jump and cojump events, exchange rate quote volume, illiquidity, signed order flow, and informed trades are at heightened levels revealing that jump events are consistent with rational dealer quoting behavior. Following jump and cojump events, quote volume and return variance remain at heightened levels while illiquidity, informed trade, and signed order flow remain at depressed levels providing evidence that order flow following jump events is largely uninformed liquidity provision.

Does Local Religiosity Affect Organizational Risk-Taking? Evidence from the Hedge Fund Industry
Ying Wang, Journal of Corporate Finance
The paper examines the impact of local religious beliefs on organizational risk-taking behaviors using hedge funds as a new and unique setting. The paper finds robust evidence that local religiosity is significantly negatively related to both total and idiosyncratic volatilities of hedge funds during 1996–2013. This relation is primarily driven by semi-directional funds, reversed for directional funds, and nonexistent for non-directional funds. Consistent with the local preference channel, the impact of local religiosity on risk-taking is only pronounced among funds for which local managers and investors are economically more important, namely young and small funds. Further, hedge funds located in more religious counties tend to hold less risky stocks and diversify their stock portfolios across industries, thus contributing to lower hedge fund risk-taking. Overall, the evidence suggests that local culture, in particular religiosity, may motivate hedge fund managers to reduce

Awards and Grants
• Professor Rita Biswas is granted with $25,000 by the International Monetary Fund for her research project “Linkages Between Financial Indicators and Economic Growth in Africa.”
• Professor Ying Wang’s paper “Does local religiosity affect organizational risktaking? Evidence from hedge fund industry” won the 2016 Eastern Finance Association Annual Meeting Best Paper Award.