004

Lessons from Banking History
Thursday, October 13, 8:00 - 9:30

Historical approaches to financial research can provide perspectives on the impacts of financial institution laws and regulations and financial system development similar to those derived from comparative international approaches. The panelists on this session offer an overview of recent and forthcoming research based on the analysis of historical data and events and its relevance to contemporary bank management and bank regulatory policy.

Mark Flannery, University of Florida

Panelists

Joe Mason, Drexel University

Gary Richardson, University of California Irvine

Berry K Wilson, Pace University

006

Sarbanes-Oxley
Thursday, October 13, 8:00 - 9:30

Coffee sponsored by Andrew Kalotay Associates, Inc.

The impact of Sarbanes-Oxley, costs and benefits, implementation challenges, and its impact on capital formation will be addressed.

Kathleen Weiss Hanley, US SEC

Panelists

E David Coolidge III, Vice Chairman
Wm. Blair & Company

David Mullen, Executive Vice President & CFO
NAVTEQ

Patrick McGurn, Executive Vice President
Institutional Shareholder Services

028

Chicago's Future as a Financial Center
Thursday, October 13, 9:45 - 11:15

Bob DeYoung, Federal Reserve Bank Chicago

Panelists

Bryan Durkin, Exec Vice President & COO
Chicago Board of Trade

Kim Taylor, Managing Director & President, MERC Clearing House
Chicago Mercantile Exchange

Bill Testa, Vice President for Regional Studies
Federal Reserve Bank Chicago

Charles Hohman, Sr Vice President & Market Executive
Harris Nesbitt

Michael Cahill, Chief Operating Officer
The Options Clearing Corporation

029

Money Laundering
Thursday, October 13, 9:45 - 11:15

Crime pays and money laundering is the proof of it. Financial institutions are required to have anti-money laundering and anti-terrorism compliance programs. Failure to do so has led to large fines ($100 million UBS, $96 million Riggs Bank), and jail time for some offenders.

This panel presents the views of a bank regulator, and a bank compliance officer, and an academic about money laundering, financing terrorism, and suspicious activities.

Benton Gup, Univ. of Alabama

Panelists

John Trapani, Team Leader, Bank Secrecy Act/Anti-Money Laundering Risk Specialist Unit
Federal Reserve Bank Chicago

Carl Spradlin, Compliance Officer
Comerica

030

Bias in Discounted Cash Flow Valuation
Thursday, October 13, 9:45 am – 11:15 am

Moderator
Thomas Copeland, MIT

Presentations
“DCF Biases Related to Growth and Volatility”
Thomas Copeland, Senior Lecturer
Massachusetts Institute of Technology

“Does the Market Recognize the Impact of Off-Balance Sheet Items? The Case of Operating Leases”
David Wessels, Adjunct Professor of Finance
Director of Executive Education
The Wharton School, University of Pennsylvania

“Does Illiquidity Bias Stock Prices?”
Justin Pettit, Executive Director, Head Strategic Advisory
Union Bank of Switzerland

031

Penalties for Corporate Misconduct
Thursday, October 13, 9:45 - 11:15

What are the actual penalties for securities law violations by corporations? How do penalties affect shareholders and directors? The panel will discuss new evidence and evaluate its practical relevance.

Research by academic participants will serve as a basis for discussion among panelists who represent the perspectives of a board member, a legal advisor, and an economic advisor to public companies.

Presentations
"A Secondary Market Test of the Merits of Class Action Securities Litigation: Evidence from the Reputation of Corporate Directors"
Eric Helland, Claremont College

Discussion by: Renee Birgit Adams, Stockholm School of Economics

"The Cost of Cooking the Books"
Jonathan M Karpoff, University of Washington
D Scott Lee, Texas A&M University
Gerald Martin, Texas A&M University

Discussion by: Craig Lewis, Vanderbilt University

Panelists
Pastora Cafferty, Professor and Board Member
University of Chicago and private companies

David Bohan, Head of Securities Litigation and Regulation Practice Group
Sachnoff & Weaver, Ltd.

Christopher James, William H Dial Sun Bank Eminent Scholar
University of Florida and Cornerstone Research

054

Housing GSEs: The Public Policy Debate
Thursday, October 13, 11:30 - 1:00

W Scott Frame, Federal Reserve Bank Atlanta

Panelists

Lawrence J White, Professor of Economics
New York University

Larry D Wall, Financial Economist & Policy Advisor
Federal Reserve Bank Atlanta

Wayne Passmore, Assistant Director, Research & Statistics Division
Federal Reserve Board

Edward Golding, Senior Vice President, Economic & Strategic Analysis
Freddie Mac

055

Emerging Trends in Fixed Income
Thursday, 11:30 am - 1:00 pm

Andy Kalotay, Andy Kalotay Associates

Panelists

Todd J Youngberg, Senior Managing Director, Global Head of High Yield
ABN AMRO Asset Management

Jack Malvey, MD & Chief Global Fixed Income Strategist
Lehman Brothers

Diane Vazza, MD & Head of Global Fixed Income Research
Standard & Poors

079

The Role of Government-Sponsored Enterprises in Financial Markets: The Case of Fannie Mae and Freddie Mac
Thursday, October 13, 2:00 - 3:30

Fannie Mae and Freddie Mac dominate the secondary mortgage markets. This session analyzes Fannie Mae's and Freddie Mac's influence on debt, mortgage, and mortgage-backed securities markets.

Randy Kroszner, University of Chicago

Presentations

GSEs, Mortgage Rates, and Secondary Market Activities

Andreas Lehnert, Federal Reserve Board
Wayne Passmore, Federal Reserve Board
Shane Sherlund, Federal Reserve Board

Discussion by: Lars Peter Hansen, University of Chicago

The Competitive Effects of US Bank Capital Regulations: An Example from US Mortgage Markets

Diana Hancock, Federal Reserve Board
Andreas Lehnert, Federal Reserve Board
Wayne Passmore, Federal Reserve Board
Shane Sherlund, Federal Reserve Board

Discussion by: Scott Frame , Federal Reserve Bank Atlanta

Information Asymmetries in the Mortgage-backed Securities Market

Chris Downing, Rice University
Dwight Jaffe, University of California Berkeley
Nancy Wallace, University of California Berkeley

Sheridan Titman, Walter W. McAllister Centennial Chair in Financial Services
University of Texas

Project valuation is one of the most important issues we think about in finance, but because it is more of a normative topic, it has attracted less research. Perhaps, because of this lack of research, with a few notable exceptions, we tend to teach valuation in much the same way that we did 20 years ago, and the gap between what we teach and what practitioners actually do has narrowed very little. Indeed, recent survey evidence indicates that the majority of firms continue to use the same discount rate for all investment projects they evaluate, and very few consider the value of flexibility and strategic options. This session will describe the project selection and evaluation procedures that are used at a typical US corporation and will discuss how organizational issues affect their valuation procedures in general, and more specifically, the selection of discount rates.

081

Shareholder Activism
Thursday, October 13, 2:00 - 3:30

Whether shareholders have, or even should have, enough power to influence management is hotly debated. Each panelist will present his or her perspective on the current state of shareholder activism and discuss ways activists might best focus their efforts in the future. Time will be allotted for questions from the audience.

Tracie Woidtke, University of Tennessee

Panelists

Jamie Heard, Vice Chairman
Institutional Shareholder Services

Laura Starks, Charles E and Sarah M Seay Regents Chair in Finance and Chairman
University of Texas Austin

Ted White, Deputy Director
Council of Institutional Investors and Former Director of Corporate Governance, CalPERS

C Warren Neel, Director of the Corporate Governance Center, University of Tennessee
Board Member, Saks and Healthway Systems

104

Hedge Funds
Thursday, October 13, 3:45 pm - 5:15 pm

This session will address:

• Hedge fund research developments
• Hedge fund investing versus long only investing
• Designing futures trading strategies that generate hedge fund like returns
• Return management by hedge funds

Mahmoud Haddad, University of Tennessee

Panelists

Majed Muhtaseb, Professor
Cal Poly Pomona University

Replicating and Evaluating Hedge Fund Returns

Harry Kat, Professor
City University

Helder Palaro, PhD Candidate
City University

Naveen D Daniel, Assistant Professor
Georgia State University

Narayan Y Naik, Associate Professor
London Business School

105

A Roundtable Discussion on Valuation
Thursday, October 13, 3:45 pm - 5:15 pm

A roundtable discussion of valuation methods and issues. The conversation is being recorded for Morgan Stanley's Journal of Applied Corporate Finance.

Moderator

John Martin, Baylor Univ.

Panelists

Tom Copeland, Managing Partner
Monitor Company Group

Justin Pettit, Executive Director & Head of Strategic Advisory
UBS Warburg

Sheridan Titman, Walter W McAllister Centennial Chair in Financial Services
University of Texas

Bennett Stewart III, Senior Partner
Stern, Stewart & Co

Stephen O'Byrne, Founder
ValueAdvisors, Inc

129

Entrepreneurial Finance: A Dialogue Between Academicians and Venture Capitalists
Friday, October 14, 8:30 am - 10:00 am

The panel will provide an interesting dialogue between (1) academicians conducting research relating to the growth and financing of entrepreneurial firms, and (2) leading venture capitalists who live and die by their investment decisions and their effectiveness inn monitoring these ventures. Recent research conducted by the academic participants will serve as the basis of the discussion between the academic researchers and the venture capitalists.

J William Petty, Baylor University

John Martin, Baylor University

Presentations
Whom you Know Matters: Venture Capital Networks and Investment Performance
Yael Hochberg, Northwestern University

Do Firms go Public to Raise Capital?
Woojin Kim and Michael Weisbach, University of Illinois Urbana/Champaign

What are Firms? Evolution from Birth to Public Companies
Steven N Kaplan, Berk A Sensoy, and Per Stromberg, University of Chicago

Venture Capital Participants
Bon French, Partner, Adam Street Partners
Mark Koulogeorge, Partner, MK Capital
Connie Capone, Partner, JK&B Capital

130

Global Competiveness of Korea's Finance
Friday, October 14, 8:30 - 10:00

The session will discuss the strengths and weaknesses of Korea’s finance in relation to corporate governance, securities markets, banking structure, derivatives market, government policy-making and supervision, financial human resources, foreign currency policy, and finance research and education.

S J Chang, Illinois State University

Panelists

Heungsik Choe, President
Korea Institute of Finance

Young Jin Kim, Professor
Seoul National University

Hyoung-Tae Kim, Vice President
Korea Securities Research Institute

Taeho Bark, Professor
Seoul National University

Daehong Jaang,
Hallym University

131

Technology in Financial Education
Friday, 8:30 am - 10:00 am

Computers have become integrated into every facet of our lives, both personal and professional. Developments in distance learning, web applications, and software have also kept pace with this rapidly advancing technology. This panel will bring together experts on web/distance learning and financial software to explore new applications and uses of technology in financial education.

Session objectives include:

1. Present an overview of recent innovations.
2. Provide a description and demonstration of new technologies and web-based resources.
3. Discuss publishers' future plans for integrating technology.
4. Discuss faculty involvement and suggestions for implementing technology.
5. Identify the role of technology with a view towards the future in education.

Stuart Michelson, Stetson Univ.

Panelists

Donna Battista, Senior Acquisitions Editor
Addison Wesley

Rhonda Seelinger, Executive Marketing Manager
McGraw-Hill/Irwin

Mark Sunderman, Professor
University of Wyoming

Heather MacMaster, Marketing Manager
Thomson Publishing

Debbie Clare, Senior Acquisitions Editor
Prentice Hall

132

Mutual Fund Governance
Friday, October 14, 8:30 - 10:00

This session will discuss current issues on mutual fund governance from a variety of perspectives.

Jeffrey Coles, Arizona State University

Panelists

John Bogle, Founder of The Vanguard Group, Inc. and President of the Bogle Financial Research Center

Jonathan Sokobin, Deputy Chief Economist, US Securities and Exchange Commission

Laura Starks , Charles E and Sarah M Seay Regents Chair in Finance and Chairman, University of Texas Austin

Brian Reid, Chief Economist, Investment Company Institute

154

Current Topics in Credit Ratings and Investor Perspectives
Friday, October 14, 10:15 - 11:45

This session will discuss:

• Default and Stability Behavior of Global Corporate Ratings
• Credit Impact of High Oil Prices on Oil-Importing EMBIG Countries
• ABS Market's Efficiency, Timeliness of ABS Rating Changes & Relations With Corporate Ratings
• Relationship between ratings and benchmark indices for total return investors

Erkan Erturk, Standard & Poor's

Panelists

Devi Aurora, Director
S&P Global Fixed Income Research

John Chambers, Managing Director
S&P Sovereign Ratings

Mark Carlson, CFA, Director
Northern Trust Global Investments

Marjorie Anderson, CFA, Senior Portfolio Manager
Allstate

Bong Soo Lee, Univ. of Houston

Panelists

Kazunori Suzuki
Chuo University

Jia He, Professor
Chinese University of Hong Kong

Cheol S Eun,
Georgia Tech

156

Practitioners' and Academics' Views on Exchange Listings
Friday, October 14, 10:15 am - 11:45 am

Why do firms change their trading location from the NASDAQ to the NYSE? Why do firms, eligible to obtain listing status at the NYSE firms, choose to continue to trade at NADAQ? This session will discuss a host of questions surrounding exchange listings, including but not limited to, value, liquidity, risk, and change in market microstructure associated with the change in trading location.

Walayet Khan, Univ. of Evansville

Panelists

Frank Hatheway, Chief Economist & Vice President
NASDAQ

Paul Bennett, Chief Economist & Senior Vice President
New York Stock Exchange

Maureen O'Hara
Cornell University

John McConnell
Purdue University

157

Challenges of the Undergraduate Corporate Finance Course
Friday, October 14, 10:15 - 11:45

Teaching the Core Finance course has always been a challenge but is proving to be more so today for several reasons:

• the astounding amount of finance subject matter that has accumulated over time
• the large number of textbook offerings for the core course
• the increasing availability of on-line material and advent of web-based technologies

This panel discussion is expected to address the following issues:

• What are the learning objectives of this course?
• Is there an ideal set, and sequencing of topics to be covered?
• Relevance and use of multi-media technologies

Nik Varaiya, San Diego State University

Panelists

Mac Clouse
University of Denver

James Gentry
University of Illinois, Champaign

Tim Gallagher
Colorado State University

Mark Sunderman
University of Wyoming

179

Sustainability and Finance
Friday, October 14, 2:00 pm - 3:30 pm

This session will examine leading edge financial valuation models for determining the effect of environmental risks and opportunities on publicly traded firms. Panelists include some of the leading researchers and practitioners in this field. Among the questions being addressed are:

• How do firms incorporate future environmental risks and opportunities (including climate change) in their strategic decision processes?
What role does corporate governance play in this process? What role do insurance companies play?
• Does the market currently factor in the risks associated with global climate change and if not, how should they be accounted for?
• What information do investors have at their disposal about material environmental risks and opportunities?
• What valuation methods can be used to incorporate current and future environmental issues into firm valuation?
• Can mainstream investors profit by picking companies that are environmental leaders?
• Should pension funds use environmental criteria in choosing their investments?

Mark Cohen, Justin Potter Professor of American Competitive Enterprise
Vanderbilt University

Panelists
Douglas G Cogan, Deputy Director, Social Issues
Investor Responsibility Research Center

Jonathan Naimon, President
Light Green Advisors

Robert Repetto, Senior Advisor
Stratus Consulting

Bill Page, Principal
State Street Global Advisors

180

Duration Studies: Tribute to Gerry Bierwag
Friday, October 14, 2:00 pm - 3:30 pm

All papers presented in this session deal with interest rate risk. The session is organized as a tribute to Gerald O. Bierwag, a brilliant financial economist who was the Dean of researchers in duration analysis and a friend of Financial Management Association. George Kaufman, the moderator, will also speak about Gerry Bierwag’s professional work.

George G Kaufman, John F Smith Professor of Finance and Economics
Loyola University Chicago

Presentations

Gerald O. Bierwag’s Professional Work
George Kaufman, Loyola University Chicago

Duration Analysis: An Historical Perspective

Gerald O. Bierwag

The Domestic Elasticity of Default-Free Foreign Bonds
Iraj J. Fooladi, Dalhousie University
Gady Jacoby, The University of Manitoba
Gordon S. Roberts, York University
Zvi Wiener, The Hebrew University of Jerusalem

181

Improving Governance in the 21st Century
Friday, October 14, 2:00 pm - 3:30 pm

Moderator
Panelists
Robert Abrams, OF Counsel
Wolf Haldenstein Adler Freeman & Herz LLP

Craig T Callahan, Founder and President
Icon Advisors, Inc

Angelita Jackson, Trustee
City of Shreveport Pension Fund

Joyce Haboucha, Senior Portfolio Manager & Director of SRI
Rockefeller & Co

Barry C McAmarney, Executive Director
Central Labors Pension Fund

Richard W Shepro, Partner
Mayer, Brown, Rowe & Maw

Investment Advisor Certifications in Derivative Markets
Friday, October 14, 2:00 pm - 3:30 pm

The session will focus on certification differences across countries for investment advisors, as they pertain to trading in derivatives markets. In particular we are looking at two questions: a) to what extent do observed cross-country differences in derivative market liquidity relate to differential certification requirements across regulatory jurisdictions; b) to what extent regulators set accreditation standards that evolve with the growth and complexity of product markets, and the changing environment for risk management.

Lorne Switzer, Concordia University

Panelists

Patrick Fay, Managing Director
CBOE Futures Exchange

Greg Prusik, Vice President, Registration
National Futures Association

Brian Gelfand, Vice President, Business Development Financial Markets
Montreal Derivatives Institute, Bourse de Montreal

Lawrence J Bresnahan, VP, Member Firm Regulation
CBOE

Larry Boyce, Vice President, Sales, Compliance, and Registrations
Investment Dealer's Association of Canada

204

Controversial Financial Issues in the Courtroom: The Role of the Expert Witness
Friday, October 14, 3:45 - 5:15

Allen Michel
Managing Director, Michel-Shaked Group
Professor, Boston University

Panelists

Israel Shaked
Managing Director, The Michel-Shaked Group
Professor, Boston University

Nathan Levin, Managing Director, CFA
Standard & Poors Corporate Value Consulting

Lynda Schwartz, Partner, CPA
Ernst & Young LLP

157 (B)

Friday, October 14, 10:15 am - 11:45 am

Moderator

Ralph Walkling, Drexel University

Panelists

To Be Announced

206

Social Security Reform
Friday, October 14, 3:45 pm - 5:15 pm

Moderator

James Bicksler, Rutgers University

Panelists

Thomas Giblin, Business Manager
International Union of Operating Engineer

John Prestbo
Editor, Dow Jones Global Indexes
Markets Editor, Wall Street Journal

Jeffrey Smith, Partner
Wolf Haldenstein Adler Freeman & Herz

207

Behavioral Finance
Friday, October 14, 3:45 - 5:15

The session revolves around three papers in behavioral finance, with an emphasis on how investor and managerial psychology can influence both capital market pricing and corporate financial decision making.

Malcolm Baker, Harvard Business School

Presentations

Superstar CEOs

Ulrike Malmendier, Assistant Professor
Stanford University

Geoff Tate, Assistant Professor
University of Pennsylvania, Wharton

Andrea Frazzini, Assistant Professor
University of Chicago

Owen Lamont, Associate Professor
University of Chicago

Malcolm Baker
Harvard Business School

Richard Ruback, Willard Prescott Smith Professor of Corporate Finance
Harvard University

Jeffrey Wurgler, Associate Professor
New York University

229

AACSB Assessment Challenges
Saturday, October 15, 8:30 - 10:00

Ken Kopecky, Temple Univ.

Presentations

Assessment of Student Learning and Accreditors' Expectations

Thomas G Calderon, University of Akron

Diane Hamilton, Rowan University

Thomas Kopp, Siena College
Joseph Rosetti, Siena College

230

China's A and B Shares: Do We Know What's Going on Yet?
Saturday, October 15, 8:30 - 10:00

China's capital markets have revealed interesting and puzzling capital market effects, both in the pricing of common stocks and the behavior of investors. In this session, we explore and link several facets of these behaviors

Lilian Ng, University of Wisconsin Milwaukee

Peer Effects in the Trading Decisions of Chinese Individual Investors: A Natural Experiment

Panelists

Wei Xiong
Princeton University

John Nofsinger
Washington State University

Zhiwu Chen
Yale University

254

Helping Students Achieve Professional Certification
Saturday, October 15, 10:15 - 11:45

Some AACSB member schools provide educational experiences that lead to students achieving some form of professional certification. There are many different templates for providing this education. This panel will serve as an overview of some professional certification issues and how universities are dealing with them.

Jerry Stevens, University of Richmond

Panelists

Ann Kern, Director of External Relations, CFP Board
Certified Financial Planner Board of Standards

Dennis Whitney, AVP-Examinations
Institute of Management Accountants (CMA, CFM)

Jan Squires, University Relations
CFA Institute

David Koenig, Chair
PRMIA (The Professional Risk Managers International Association)

255

Corporate Governance
Saturday, October 15, 10:15 am - 11:45 am

Charles Elson, Univ. of Delaware

Panelists

To be announced