Waseda Organizational and Financial Economics Seminar:
“Private Company Valuations by Mutual Funds” (June 18)
講演者 / Speaker
YASUDA, Ayako （Associate Professor, University of California, Davis）
日 時 / Date & Time
Monday, 18 June 2018, 13:00 – 14:30
会 場 / Venue
Rm. #1112 on the 11th floor, Building #11, Waseda University
主 旨 / Outline
“Private Company Valuations by Mutual Funds”
We study the effect of private start-up holdings on mutual fund NAVs and daily returns using the quarterly disclosures of mutual fund holdings. We find that the reported prices of private securities are frequently stale: nearly half of prices are not updated between quarters. We conjecture and find evidence that funds update private security prices when startups close a new funding round, which establishes a new valuation for the company. Followon funding round events generate large valuation changes for private holdings, which affect fund NAVs and lead to predictably strong fund returns in the days after the followon round, which is often anticipated by industry observers. Consistent with this interpretation, the fund returns after follow-on funding events are positively related to the economic significance of the private security valuation change for the fund (the product of the private security weight in the fund portfolio and the security’s deal-over-deal valuation change).
*Presentation in English
プログラム / Schedule
13:00～13:05 Opening Remarks （MIYAJIMA, Hideaki (Director, WIAS / Professor, Waseda University)）
13:05～14:05 Presentation
14:05～14:25 Question-and-answer session
14:25～14:30 Concluding Remarks（MIYAJIMA, Hideaki ）
対 象 / Prospected Audience
Faculty and staff members of a university, grad students, undergraduates, the general public
主 催 / Organizer
Research Institute of Business Administration,Waseda University
Waseda Institute for Advanced Study,Waseda University
申込み / Registration
Free of charge. Please come to the event venue directly.
