1、 3100 单词， 1.9万英文字符， 5300 汉字 出处： Huang G, Liano K, Manakyan H, et al. Open Market Stock Repurchases by Insurance Companies and SignalingJ. Risk Management & Insurance Review, 2013, 16(1):4769. OPEN-MARKET STOCK REPURCHASES BY INSURANCE COMPANIES AND SIGNALING G Huang， K Liano， H Manakyan， M Pan ABSTR
2、ACT The signaling hypothesis of share repurchases implies that management uses repurchases to signal either that their firms future operating performance will improve or that shares of their stock are simply underpriced by the market. This study examines which of the two interpretations can better e
3、xplain open- market share repurchase programs announced by insurance companies. We find no evidence that future-operating performance of insurers improves following the repurchase announcement. In addition, changes in future operating perfor- mance cannot explain the announcement-period abnormal ret
4、urn. Instead, the stock undervaluation prior to the repurchase announcement can significantly explain the announcement-period abnormal return, particularly for life insur- ers. Overall, our results suggest that the positive market reaction to insurers open-market share repurchase announcements is du
5、e to the stock undervalu- ation by the market, but not due to positive information content about future operating performance conveyed in the repurchase announcement. The finance literature has documented significantly positive market reactions around announcements of open-market stock repurchase pr
6、ograms. The most prominent expla- nation for this finding is the signaling hypothesis (Vermaelen, 1981).1 However, there are two interpretations for the positive market reaction under the signaling hypothesis. The first interpretation is that the stock is fairly priced based on publicly available infor- mation, but is undervalued if private information is considered. Under this hypothesis, share repurchases are associated with positive announcement excess returns because managers use sha
