Equity-based Compensation and Corporate Acquisition Decisions

Dr D. Henry, with Dr. A. Vafaei and Dr K. Ahmed from Department of Accounting

This project combines issues relating to behavioural finance and corporate finance, and investigates whether CEO and executive director compensation, in terms of both magnitude and structure, impacts for firm-level investment decision-making, and particularly in relation to mergers and acquisitions. Specific research questions are related to the how the likelihood and degree of acquisition activity may be related to modification of the size and risk profiles of firms, and the use of certain types of acquisition types and characteristics to indirectly influence their compensation outcomes by influencing firm risk and share price levels.

The Effects of Accounting Conservatism on Executive Compensation

Dr D. Henry and Dr. H. Li

This project focuses on the relationship between firm-level accounting conservatism and the nature of executive compensation for firm executives. This will firstly involve determination of the sources or conservative accounting practice, and whether the degree of conditional accounting conservatism, derived from either managerial and/or external governance origins, influences the structure and content of executive remuneration packages.

Predicting Takeover Targets for the 21st Century

Dr D. Henry, Dr. L. Nguyen, and Dr. T. Nguyen

This project is based on revisiting takeover likelihood prediction modeling, incorporating modern concepts that have emerged in the recent finance literature, such as corporate governance, new aspects of market trading (informed trading, algorithmic trading), behavioural finance, overconfidence, culture, that are hypothesised to influence the likelihood that a company may become an acquisition target.

Capital Structures of Listed and Unlisted Companies: The Role of Market and Country Development

Dr D. Henry with Dr. I. Tsalavoutas, University of Stirling

This project extends the capital structure literature by evaluating capital structure decision-making, and the determinants of capital structure choice, of both public and private firms in developed and developed countries. Emphasis is place on supply-side aspects of financing availability and choice, which are expected to be increasingly important for private firms and firms operating in developing countries.

Does Accounting and Corporate Governance Quality Influence the International Cross-listing Decision?

Dr D. Henry, with Dr. K. Ahmed, Department of Accounting

This project examines cross-listing activity on international stock markets by Australian firms, and whether attributes of firms discriminate if they choose to internationally cross-list or not. The focus is on accounting and corporate governance quality attributes as signaling or reputation aspects which aid in facilitating cross-listing capacity and the outcomes from cross-listing.

The Role of Accounting and Governance Quality in Determining Cross-listing Destination

Dr D. Henry, Dr. H. Chou, with Dr. K. Ahmed, Department of Accounting

This project is motivated by the increasing trend of Australian companies to cross-list on international stock exchanges in continental Europe or Asia, rather than the traditional cross-listing destinations such as the US and UK. A range of potential determinants of cross-listing destination choice are examined, using a range of assessment techniques.

Executive Compensation and Pension Allocations in US Banks

Dr D. Henry, with Y. Li, Kings College London.

This project focuses on pension plans and allocations of US firms and whether this impacts on the nature of executive-level  compensation. Specific interest is devoted to the global financial crisis (GFC) period, as an experimental time-frame when executive compensation decisions reached heightened levels of shareholder and market-wide interest.