Corporate Financing Decisions and Efficient Capital Markets参考.ppt

Chapter Outline 13.1 Can Financing Decisions Create Value? 13.2 A Description of Efficient Capital Markets 13.3 The Different Types of Efficiency 13.4 The Evidence 13.5 Implications for Corporate Finance 13.6 Summary and Conclusions 13.1 Can Financing Decisions Create Value? Earlier parts of the book show how to evaluate investment projects according the NPV criterion. The next five chapters concern financing decisions. What Sort of Financing Decisions? Typical financing decisions include: How much debt and equity to sell When (or if) to pay dividends When to sell debt and equity Just as we can use NPV criteria to evaluate investment decisions, we can use NPV to evaluate financing decisions. How to Create Value through Financing Fool Investors Empirical evidence suggests that it is hard to fool investors consistently. Reduce Costs or Increase Subsidies Certain forms of financing have tax advantages or carry other subsidies. Create a New Security Sometimes a firm can find a previously-unsatisfied clientele and issue new securities at favorable prices. In the long-run, this value creation is relatively small, however. 13.2 A Description of Efficient Capital Markets An efficient capital market is one in which stock prices fully reflect available information. Example 1: F-stop Camera New project with a new Technology A new Scientist Information disclosure timing The EMH has implications for investors and firms. Since information is reflected in security prices quickly, knowing information when it is released does an investor no good. Firms should expect to receive the fair value (公允价值）for securities that they sell. Firms cannot profit from fooling investors in an efficient market. Investors seek favorable information, and the way of their seeking and processing information is just what drive the market into an efficient market. Reaction of Stock Price to New Information in Efficient and Inefficient Markets Reaction of Stock Price to New Information in Efficient and Ine