Francois Brochet
There are 4 articles for this faculty member.
About Faculty in this Article:
Francois Brochet is an assistant professor in the Accounting and Management unit at Harvard Business School.
The High Risks of Short-Term Management
| Published: | April 11, 2012 |
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| Feature: | Research & Ideas |
| Forum: | open for comment; 3 Comments posted |
A new study looks at the risks for companies and investors who are attracted to short-term results. Research by Harvard Business School's Francois Brochet, Maria Loumioti, and George Serafeim.
Short-Termism, Investor Clientele, and Firm Risk
| Authors: | Francois Brochet, Maria Loumioti, and George Serafeim |
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| Published: | March 2, 2012 |
| Paper Release Date: | February 2012 |
| Feature: | Working Papers |
In recent decades, commentators have argued that many corporations exhibit short-termism, a tendency to take actions that maximize short-term earnings and stock prices rather than the long-term value of the corporation. The authors develop a proxy for short-termism at the company level using conference call transcripts and then examine whether companies with more short-term horizons have (i) an investor base that is more short-term oriented, (ii) higher stock return volatility, and (iii) higher equity beta. The authors find that short-term oriented firms have more short-term oriented investors and higher risk. This paper contributes to the literature on the capital market effects of managerial and investor horizons.
Published in 2011
Mandatory IFRS Adoption and Financial Statement Comparability
| Authors: | Francois Brochet, Alan Jagolinzer, and and Edward J. Riedl |
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| Published: | May 19, 2011 |
| Paper Release Date: | April 2011 |
| Feature: | Working Papers |
In the past decade, many countries have adopted International Financial Reporting Standards (IFRS) developed by the International Accounting Standards Board, which has impelled economists to examine the benefits of the standards. This paper discusses how IFRS adoption affects financial reporting comparability—that is, the properties of financial statements that allow users to identify similarities or differences between the economics of different reporting entities over any given period of time. Research was conducted by Francois Brochet and Edward J. Riedl of Harvard Business School, and Alan Jagolinzer of the University of Colorado at Boulder.
Top Executive Background and Financial Reporting Choice: The Case of Goodwill Impairment
| Authors: | Francois Brochet and Kyle Welch |
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| Published: | April 19, 2011 |
| Paper Release Date: | February 2011 |
| Feature: | Working Papers |
In the management literature, some theories hold that corporate actions and strategic choices can be partially predicted by knowing the functional background of executives. The authors provide evidence on how CEOs and CFOs who were former investment bankers, auditors, and private equity/venture capital executives managed decisions around goodwill impairments (essentially goodwill charge-offs)—a complex accounting choice involving a high degree of managerial discretion. Research by HBS professor Francois Brochet and doctoral candidate Kyle Welch.
