【光华讲坛】The value of institutional brokerage relationships: evidence from the collapse of Lehman Brothers
主题：The value of institutional brokerage relationships: evidence from the collapse of Lehman Brothers
Dr Jianfeng Shen is a Senior Lecturer of Finance at the University of New South Wales (UNSW). His research focuses on information, investor behaviors, and asset prices. His articles have appeared in the Review of Financial Studies,Journal of Corporate Finance, andJournal of Banking and Finance,among others. He earned his doctoral degree in Finance from NUS Business School, National University of Singapore and bachelor degree in Economics from School of Economics, Zhejiang University.
Using the sudden collapse of Lehman Brothers as a natural experiment, we examine whether mutual funds derive value from their institutional brokerage relationships. We find the impact of a damaged institutional brokerage relationship is greatest among mutual fund clients with concentrated brokerage networks and funds that specialize in small-cap stocks. Based on a difference-in-difference analysis, we find a drop in monthly fund alphas ranging from 34.2 and 70.9 basis points per month in risk-adjusted returns arising from a weakening brokerage relationship. Collectively, our results support the view that mutual funds significantly leverage their relationship capital with brokers.