Footnote:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments April 14, 2022 erstellt
Description:
We document that African-American executives, on average, earn zero abnormal profits frominsider trades, in contrast to Asian-American and Caucasian executives who earn significantlypositive abnormal profits. We also find that these differences cannot be attributed to differencesin industry, firm or insider characteristics. These race differences are less profound in firms thatemphasize diversity and employee equity. Our results imply that African-American executives aredisadvantaged relative to non-African-American executives in access to insider information. Ourfindings suggest that executives who make corporate decisions based on a subset of all availableinformation are likely to make suboptimal decisions