I want you to imagine for a minute a new form of shares that security companies can issue. The security offering would be one that disincentivises speculative trading. Imagine that day jobbers and speculators are punished for not holding shares for a set minimum time. The existing form of institutional investors, including those in hedge funds that rely on arbitrage-based trading, leads to significant changes in how management operates (Cao et al., 2020). Using the same idea, value investors would be rewarded. It is known that long-term investments end up producing higher returns than short-term investments. For any ... (full story)