On Dec. 25, Heng An, an associate professor from University of North Carolina in the USA delivered a lecture entitled “The Impact of Hedge Fund Activism on Corporate Cost Behavior” in No.1 Conference Room of the Conference Building in our university. The lecture was attended by the backbone teachers of Research Center for Accounting Auditing and Informatics as well as the representatives of postgraduate students majoring in auditing.
The lecture centered on the issue of the influence of hedge fund activities on the management of target company and general and administrative cost. Heng An briefly introduced the basic concept of hedge fund and compared it with mutual fund. Then, starting from the perspective of cost management, he made a detailed explanation of the following issues such as the reduction of stickiness resulting from the interference in hedge fund and more prominent influence caused by finding the companies whose agent problem is rather serious. According to the final research, it is found that the replacement of senior executives can be used as a strategy for hedge fund to change the cost behavior of target company.
After the lecture was over, Heng An offered detailed explanations to the related questions raised by the teachers and students. In addition, he discussed with the teachers and students on issues such as the writing of scientific research papers and choice of research orientation.
Heng An is a lifelong associate professor of finance research from The University of North Carolina at Greensboro. He is a naming scholar of Kathleen Price Bryan. His main research fields include corporate finance, institutional investor and real estate finance. Besides, he has published many high-level papers in famous academic periodicals covering finance, accounting and real estate.