Publications of Michela Verardo

Competitive challenges and regulatory uncertainty associated with the green transition should incentivize firms to innovate and to sway regulatory...

Journal of Finance, 73 (5), 2229-2269.

This paper finds that fund herding, defined as the tendency of a mutual fund to follow past aggregate institutional trades, is an important predictor...

The Journal of Finance, 66 (2). pp. 635-653. 

Review of Financial Studies, 24 (3), 892-925 

In this paper we develop a simple theoretical model to analyze the impact of institutional herding on asset prices. A growing empirical literature has...

Recent studies show that single-quarter institutional herding positively predicts short-term returns. Motivated by the theoretical herding literature...

In this paper we develop a simple theoretical model to analyze the impact of institutional herding on asset prices. A growing empirical literature has...

This paper shows that the systematic risk (or "beta") of individual stocks increases by an economically and statistically significant amount on days...