Repurchasing Shares on a Second Trading Line

This paper studies a unique buyback method allowing firms to reacquire their own shares on a separate trading line where only the firm is allowed to buy shares. This temporary trading platform is opened concurrently with the original trading line on the stock exchange. This share repurchase method is called the Second Trading Line and has been extensively used by Swiss companies since 1997. This type of repurchase is unique for two reasons. First, unlike open market programs, the repurchasing company does not trade under the cover of anonymity. Second, all transactions made by the repurchasing firm are publicly available in real time to every market participant. This is a case of instantaneous disclosure which contrasts sharply with other markets characterized by delayed or no disclosure. Using actual repurchase data from all buybacks implemented through second trading lines, we find that managers exhibit timing ability for the majority of programs. We also document that the daily repurchase decision is statistically associated with short-term price changes. However, we reject the opportunistic repurchase hypothesis and find no evidence that managers exploit their information advantage when reacquiring shares. We also find that repurchases on the second trading line have a beneficial impact on the liquidity of repurchasing firms (i.e., higher trading volumes, smaller bid-ask spreads, and thicker total depths). Exchanges and regulators may consider the second trading line an attractive share reacquisition mechanism because of its transparency and positive liquidity effects.Share Repurchases;Disclosure Environment;Information Asymmetry;Liquidity

The Effect of Monetary Policy on Bank Wholesale Funding

We study how monetary policy affects the funding composition of the banking sector. When monetary tightening reduces the retail deposit supply owing to, for example, a decrease in bank reserves or in money demand, banks try to substitute the deposit outflows with more wholesale funding in order to mitigate the policy impact on their lending. Banks have varying degrees of accessibility to wholesale funding sources because of financial frictions, and those banks that are large or that have a greater reliance on wholesale funding increase their wholesale funding more. As a result, monetary tightening increases both the reliance on and the concentration of wholesale funding within the banking sector, indicating that monetary tightening could increase systemic risk. Our findings also suggest that introducing liquidity requirements can bolster monetary policy transmission through the bank lending channel by limiting the funding substitution of large banks

Wind forcing and dissipation in a High Order Spectral deterministic wave model

International audienc

"Introduction de termes de croissance par le Vent et de dissipation dans un modèle HOS d'états de mer "

National audienc

Non-Linear Initialization in Three-Dimensional Higher Order Spectral Deterministic Sea State Modelling

International audienc

Extreme Sea Conditions in Shallow Water: Estimations Based on In-Situ Measurements

International audienc

Présentation du flotteur PICCOLO (Profiling Instrument to Check if the wind Curvature is Only Logarithmic on the Ocean)

International audienc

About the Use of 3rd Generation Wave Prediction Models for Estimating the Performance of Wave Energy Converters in Coastal Regions

International audienceThis paper addresses the common uncertainties introduced into the long-term performance estimation of wave energy converters in coastal regions by using 3 rd -generation model wave data as input of the simulator. Indeed, the variability observed in hindcast results induces variability in the energy converted by devices, with implications on the long-term power figures. A comparison with estimates based on three different wave model data sources (produced from the WAM, Wave Watch III and SWAN wind-wave models) and buoy measurement data in the nearshore region of the French marine energy test site SEM-REV is made. The paper raises the fact that, in general, a non-negligible error is obtained – even when the wind-wave model has been appropriately designed to the local wave physics – with respect to real converted power values, which in turn results in significantly biased long-term averaged power numbers

A real-time wave prediction in directional wave fields: Strategies for accurate continuous prediction in time

International audienc