Fjesme, Sturla, Hannah, Leslie 
ORCID: 0000-0003-0839-7412 and Moore, Lyndon
(2023)
Informed investors, screening, and sorting on the London capital market, 1891-1913.
Explorations in Economic History.
ISSN 0014-4983
Abstract
Thousands of prospectuses offered shares to British investors at the turn of the twentieth century. We find evidence that there were informed investors who participated in the market at this time. Firms that attracted additional investor demand were more likely to be listed on the London Stock Exchange, survive longer, and achieve better long-run equity returns. We find that the exchange screened lower quality firms away from the main board. The lowest quality firms sorted themselves and did not apply to either the London Stock Exchange main or second board.
| Item Type: | Article |
|---|---|
| Official URL: | https://www.sciencedirect.com/journal/explorations... |
| Additional Information: | © 2023 Elsevier Inc. |
| Divisions: | Economic History |
| Subjects: | H Social Sciences > HC Economic History and Conditions H Social Sciences > HB Economic Theory |
| JEL classification: | G - Financial Economics > G3 - Corporate Finance and Governance > G30 - General N - Economic History > N2 - Financial Markets and Institutions > N20 - General, International, or Comparative |
| Date Deposited: | 31 Mar 2023 10:00 |
| Last Modified: | 18 Nov 2024 18:48 |
| URI: | http://eprints.lse.ac.uk/id/eprint/118564 |
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