Browsing by Author "Gurgun, Gozde"

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    Debt maturity structure and stock price crash risk: The case of Turkiye
    (2022) Canbaloglu, Bilge; Alp, Ozge Sezgin; Gurgun, Gozde; AAG-3428-2021
    This study explores the relationship between the debt maturity structure and the stock price crash risk for nonfinancial firms on the Borsa Istanbul from 2009 to 2019. Family ownership is added to the analyses to provide a new perspective on the literature examining the link between stock price crash risk and debt structure. The results show that an increase in long-term debt reduces the risk of a stock price crash, as efficient corporate management practices not only result in favorable debt issuance at a longer term but also reduces information asymmetry that leads to crash risk at firms. Furthermore, the mitigating effect of long-term debt on crash risk is more pronounced at family-controlled firms because active monitoring by family members causes lower agency conflicts in obtaining longer-term debt as well as in maintaining family status, which in turn also diminishes future stock price crashes. Copyright (c) 2022 Borsa Istanbul Anonim S, irketi. Published by Elsevier B.V. This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).
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    Stock Liquidity, Stock Price Crash Risk, And Foreign Ownership
    (2022) Alp, Ozge Sezgin; Canbaloglu, Bilge; Gurgun, Gozde
    This study examines the impact of stock market liquidity on a stock price crash, using firm data from Borsa Istanbul for the period 2009-2019. The results show that higher stock liquidity increases the likelihood of stock price crashes, but this positive link is not driven by blockholder ownership. The study also investigates the effects of foreign investors, divided between institutional and individual investors, on the relation between liquidity and crash risk. The findings indicate that higher stock liquidity increases the crash risk as the share of foreign institutional investor rises, but this impact is not present with foreign individual participation. Furthermore, the study explores the effects of highfrequency trading and the removal of short-sale restrictions. The results of these analyses suggest that high-frequency trading increases liquidity, which in turn raises the likelihood of a stock price crash, and the removal of short-sale restrictions generally increases the stock price crash risk. Copyright (c) 2021, Borsa _Istanbul Anonim S,irketi. Production and hosting by Elsevier B.V. This is an open access article under the CC BY-NCND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).