Forward‐Looking Statements and Investor Trading
通过分析10-K和10-Q文件中的前瞻性陈述，发现其能降低投资者交易成本，增加市场深度和交易活动，尤其对散户投资者影响更大。
ABSTRACT We conduct textual analysis on 10‐K and 10‐Q filings and find that forward‐looking statements (FLS) associate with reductions in investor trading costs, driven largely by reductions in market‐maker inventory costs. FLS also associate with increases in market depth on both sides of the bid–ask spread and increases in both retail and institutional investor trading activity. Importantly, retail investors are more responsive to FLS than institutional investors. Cross‐sectional tests provide additional evidence with the associations being more pronounced during market downturns and in the absence of earnings guidance. The results are robust to instrumental variable regressions using managerial ability as an instrument. Overall, our results suggest that FLS reduce trading frictions mainly by reducing market‐maker inventory costs, increasing market‐maker competition via increased market depth and increasing investor trading activity, particularly from retail investors. Our results thus highlight the important role FLS play in trading activity, especially for retail investors.