Executive overconfidence and securities class actions

• Main Authors: BANERJEE, Suman, HUMPHERY-JENNER, Mark, NANDA, Vikram, THAM, T. Mandy
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2018
• Subjects: CEO Overconfidence; Team Overconfidence; Securities Class Actions; Governance; Finance; Finance and Financial Management
• Online Access: https://ink.library.smu.edu.sg/lkcsb_research/5979; https://ink.library.smu.edu.sg/context/lkcsb_research/article/6978/viewcontent/SSRN_id2436264.pdf
• Institution: Singapore Management University

Overconfident CEOs/senior executives tend to have excessively positive views of their own skills and their company’s future performance. We hypothesize that overconfident managers are more likely to engage in reckless or intentional actions/disclosures that give rise to securities class actions (SCA...