| Article ID | Journal | Published Year | Pages | File Type |
|---|---|---|---|---|
| 5100687 | Journal of Financial Markets | 2017 | 22 Pages |
Abstract
Announcements related to the drug development process can have a profound impact on the market value of firms operating in the pharmaceutical and healthcare industries. We examine a large number of these events and document a strong negative relation between short selling during the days leading up to an event's announcement and the announcement return. Several additional tests indicate that insider information is a likely source for at least part of this profitable trading activity.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Henk Berkman, Marco Eugster,