Recent Submissions

  • Asymmetry and the cost of capital. 

    Sarria Allende, Virginia; García Sánchez, Javier; Preve, Lorenzo (2nd World Finance Conference, Rhodes., 2011)
    The expected cost of capital is a crucial component for most of the topics in corporate finance. Unfortunately in the presence of risky debt, it is systematically overestimated. This bias is increasing in leverage and the ...
  • Working Capital Management: An Exploratory Study 

    Preve, Lorenzo (Journal of Applied Finance, 2012)
    Working capital management is an issue in which finance research is scarce. One possible reason behind this fact might relate to the relative ease with which efficient financial markets correct deviations from optimal ...
  • An empirical analysis of the effect of financial distress on trade credit 

    Preve, Lorenzo (Financial Management Association Annual Meeting, Denver., 2003)
    This paper studies the use of supplier's trade credit by firms in financial distress. Trade credit represents a large portion of firms’ short-term financing and plays an important role in financial distress. We find that ...