Faculty
Jimmy Yang
Professor
Finance

Jimmy Yang

541-737-6005

jimmy.yang@bus.oregonstate.edu

Faculty
Jimmy Yang
Overview
Overview
Background
Publications

Overview

Career Interests

Jimmy Yang is a Professor of Finance in the College of Business. He currently teaches courses in Corporate Finance and International Financial Management. His research has focused on market stabilization mechanisms, international financial markets, and equity offerings.

Background

Education

Ph.D. University of Cincinnati (2003)
Finance                            

MBA Saint Louis University (1997)               
Finance  

BA National Chung Hsing University (1993)
Public Finance  

Experience

  • Professor, College of Business, Oregon State University (2015 - present)
  • Associate Professor, College of Business, Oregon State University (2009 - 2015)
  • Assistant Professor, College of Business, Oregon State University (2003 - 2009)
  • Instructor, College of Business Administration, University of Cincinnati (2001 - 2002)

 

Professional Affiliations

  • American Finance Association
  • Financial Management Association
  • Western Finance Association

Honors & Awards

  • Toomey Faculty Fellow, COB, Oregon State University (2012-2014)
  • Faculty International Grant, International Programs, Oregon State University (2013)
  • International Programs Faculty Grant, Oregon State University (2011, 2012)
  • Newcomb Fellowship, COB, Oregon State University (2009)
  • Gazette-Times Faculty Leadership Award, COB, Oregon State University (2009)
  • Outstanding Faculty Service Award, COB, Oregon State University (2007, 2008)
  • Summer Research Fellowships, COB, Oregon State University (2004, 2005, 2006, 2008, 2009, 2010, 2013)
  • University Distinguished Dissertation Fellowship for Behavioral & Social Sciences, University of Cincinnati (2002-2003)
  • University Graduate Scholarships, University of Cincinnati (1998-2002)
  • Summer Research Fellowships, University of Cincinnati (2000)

Publications

Academic Journal
Finance

“Share Pledging, Payout Policy, and the Value of Cash Holdings”

Share pledging for insiders’ personal bank loans is associated with the agency problems of insider risk aversion and stock price crash risk. We examine the relation between insider share pledging and the value of cash holdings using the pledging data of listed firms in Taiwan. We find that the value of cash holdings is lower for pledging firms, especially for those that are relatively more risk averse. Pledging firms that repurchase shares have a higher marginal value of cash than those with other payout methods, likely due to the role of repurchases in reducing the stock price crash risk. Our results show how insiders’ personal financing incentives arising from share pledging would affect the value of cash holdings from the perspective of agency problems and payout policy.
Details

18-33 pages 2021 Robin Chou Yu-Chun Wang Jimmy Yang View on: Google Scholar

Academic Journal
Finance

“Trader Positions in VIX Futures”

We investigate the dynamic changes in trader positions of market participants in the VIX futures markets. We find that in a low-VIX period, below the 23.81 threshold determined by our model, changes in VIX futures affect the trading decisions of dealers and leveraged fund managers, but in an opposite direction. During a high-VIX period, dealers and leveraged fund managers would then alter their trading strategies. We highlight the important role of exchange-traded products trading in hedging demand of dealers and show the impact on VIX futures. Trader positions are determinants of VIX futures prices, basis, and VIX premium.
Details

1-17 pages 2021 Yu-Lun Chen Jimmy Yang View on: Google Scholar

Academic Journal
Finance

“A rare move: the effects of switching from a closing call auction to a continuous trading”

This study investigates the effects of switching to a closing continuous trading (CCT) on market quality, while considering the trading behaviors of different types of traders. Investors become more patient in the period preceding the last trading phase, which reduces the bid–ask spread (BAS) in that period. We find an increase in the BAS and volatility during the last trading phase, due to diminishing investor patience. Market volatility and the closing pricing errors relate positively to the trading activities of foreign institutional investors. Overall, the introduction of the CCT worsens the market quality before the closing.
Details

308-328 pages 2020 Wiley Ya-Kai Chang Robin Chou Jimmy Yang View on: Google Scholar

Academic Journal
Finance

“The MAX Effect: Lottery Stocks with Price Limits and Limits to Arbitrage”

We modify the Bali et al.’s (2011) MAX measure (maximum daily return over the prior month) when the observed returns are capped at the daily price limit to address the issue of homogeneous MAX across stocks. Our results indicate that the modified MAX measure can be a significant predictor of future stock returns. The modified MAX effect is not a manifestation of the idiosyncratic volatility effect. We also find that the modified MAX measure could be an alternative proxy for arbitrage risk.
Details

77-91 pages 2018 Elsevier Weifeng Hung Jimmy Yang View on: Google Scholar

Academic Journal
Finance

“Chinese Lunar New Year Effect, Investor Sentiment, and Market Deregulation”

This paper provides empirical evidence and a behavioral explanation for the Chinese Lunar New Year (CLNY) effect and investigates whether the holiday effect weakens after market deregulation. Using emotion proxies from literature, we find that positive emotion plays an important role in contributing to higher returns surrounding the CLNY. We also show that the CLNY effect weakens when foreign investors’ participation increases, suggesting that the market deregulation may have contributed to this diminishing calendar anomaly.
Details

175-184 pages 2018 Science Direct Chia-Chen Teng Jimmy Yang View on: Google Scholar

Academic Journal
Finance

“What makes when-issued trading attractive to financial markets?”

When-issued trading is the trading of securities prior to the actual issue of the security. When-issued trading is active around the world and in a variety of equity and bond markets. In this survey, we provide a general description of when-issued trading, analyze benefits and costs in various financial markets, present existing theoretical models and predictions, and synthesize empirical findings. We find that when-issued trading promotes price discovery, mitigates information asymmetry, provides convenience for trading ahead of the actual issue of the security, and in some markets reduces volatility. In addition, we offer policy implications and suggest directions for further research in this area.
Details

245-271 pages 2014 Ray Brooks Yong Kim Jimmy Yang View on: Google Scholar

Academic Journal
Finance

“Reconsidering Price Limit Effectiveness”

Most stock exchanges around the world impose daily price limits on stock prices. However, China is the only market that has experienced trading with and without price limits. We study China’s experience with price limits by comparing a subperiod with price limits to a subperiod without price limits. We provide three major sets of findings. First, we find price limits moderate transitory volatility and mitigates abnormal trading activity. Second, for poor performing stocks, a tighter price limit also appears helpful in moderating volatility and not hurtful. Finally, we find some evidence that price limits can facilitate market recovery following crashes. Many prior studies criticize price limits. Our study shows benefits of price limits.
Details

493-518 pages 2013 Kenneth Kim Haixiao Liu Jimmy Yang View on: Google Scholar