Bernard J. Hank Professor
BiographyK.J. Martijn Cremers joined the University of Notre Dame as Professor of Finance in 2012. Prior to that, he was a faculty at Yale School of Management from 2002 – 2012 after obtaining his PhD in finance from the Stern School of Business at New York University. Hailing from the Netherlands, his undergraduate degree in Econometrics is from the VU University Amsterdam (1993-1997). Professor Cremers' research focuses on empirical issues in investments and corporate governance. His academic work has been published in top academic journals such as the Journal of Finance, the Review of Financial Studies, the Journal of Financial Economics, Stanford Law Review and Northwestern Law Review. His research has also been covered in newspapers like the Wall Street Journal, the Financial Times and numerous others. He is an Associate Editor at the Review of Finance (2010-) and previously was an Associate Editor of the Review of Financial Studies and of European Financial Management. At Notre Dame, he teaches courses on investments and corporate governance to MBA and undergraduate students. His paper “How active is your fund manager? A new measure that predicts performance” (published in 2009 in the Review of Financial Studies) introduced a measure of active management named ‘Active Share’, which is based on a comparison of the holdings of a fund with those of its benchmark. The ‘Active Share’ measure has become widely used in the financial industry and was e.g. incorporated in Morningstar Direct and FactSet.
Areas of Expertise
Ph D, Stern School of Business, New York University
MS, Vrije Universiteit Amsterdam, The Netherlands
Corporate Governance & Catholic Social Teaching
Fixed Income Securities I
Fixed Income Securities II
"Active Share and the Three Pillars of Active Management: Skill, Conviction and Opportunity", to appear in Financial Analysts Journal, forthcoming, 2017.
"Pension Fund Asset Allocation and Liability Discount Rates", (with Aleksandar Andonov, Rob Bauer), to appear in Review of Financial Studies, forthcoming, 2017.
"Staggered Boards and Long-Term Firm Value, Revisited", (with Lubomir Litov, Simone Sepe), to appear in Journal of Financial Economics, forthcoming, 2017.
"Commitment and Entrenchment in Corporate Governance", (with Saura Masconale, Simone Sepe), Northwestern Law Review, 110, 2016.
"Do Mutual Fund Investors Get What They Pay For? The Legal Consequences of Closet Index Funds", (with Quinn Curtis), Virginia Law & Business Review, 11, 2016.
"Indexing and Active Fund Management: International Evidence", (with Miguel Ferreira, Pedro Matos, Laura Starks), Journal of Financial Economics, 120, 2016.
"Patient Capital Outperformance: The Investment Skill of High Active Share Managers Who Trade Infrequently", (with Ankur Pareek), Journal of Financial Economics, 122, 2016.
"The Shareholder Value of Empowered Boards", (with Simone Sepe), Stanford Law Review, 68, 2016.
"Uncertainty and Valuations", (with Hongjun Yan), Critical Finance Review, 5, 2016.
"Aggregate Jump and Volatility Risk in the Cross-Section of Stock Returns", (with Michael Halling, David Weinbaum), Journal of Finance, 70, 2015.
"Short-Term Trading and Stock Return Anomalies: Momentum, Reversal and Share Issuance", (with Ankur Pareek), Review of Finance, 19, 2015.
"Does the Market for CEO Talent Explain Controversial CEO Pay Practices?", (with Yaniv Grinstein), Review of Finance, 18, 2014.
"Thirty Years of Shareholder Rights and Firm Valuation", (with Allen Ferrell), Journal of Finance, 69, 2014.
"Should Benchmark Indices Have Alpha? Revisiting Performance Evaluation", (with Antti Petajisto, Eric Zitzewitz), Critical Finance Review, 2, 2013.
"Tiebreaker: Certification and Multiple Ratings", (with Dion Bongaerts, William Goetzmann), Journal of Finance, 67, 2012.
"CEO Pay Slice and Firm Performance", (with Lucian Bebchuk, Urs Peyer), Journal of Financial Economics, 102, 2011.
"Institutional Investors and Proxy Voting: The Impact of the 2003 Mutual Fund Voting Disclosure Regulation", (with Roberta Romano), American Law and Economics Review, 13, 2011.
"Internal Capital Markets and Corporate Politics in a Banking Group", (with Rocco Huang, Zacharias Sautner), Review of Financial Studies, 24, 2011.
"Deviations from Put-Call Parity and Stock Return Predictability", (with David Weinbaum), Journal of Financial and Quantitative Analysis, 45, 2010.
"Does skin in the game matter? Director incentives and governance in the mutual fund industry", (with Joost Driessen, Pascal Maenhout, David Weinbaum), Journal of Financial and Quantitative Analysis, 44, 2009.
"How active is your fund manager? A new measure that predicts performance", (with Antti Petajisto), Review of Financial Studies, 22, 2009.
"Takeovers and the cross-section of returns", (with Vinay Nair, Kose John), Review of Financial Studies, 22, 2009.
"Explaining the level of credit spreads: option-implied jump risk premia in a firm value model", (with Joost Driessen, Pascal Maenhout), Review of Financial Studies, 21, 2008.
"Individual stock-price implied volatility and credit spreads", (with Joost Driessen, Pascal Maenhout, David Weinbaum), Journal of Banking and Finance, 32, 2008.
"Takeover Defenses and Competition: the Role of Stakeholders", (with Vinay Nair, Urs Peyer), Journal of Empirical Legal Studies, 5, 2008.
"Governance mechanisms and bond prices", (with Vinay Nair, Jason Wei), Review of Financial Studies, 20, 2007.
"Turning over turnover", (with Jianping Mei), Review of Financial Studies, 20, 2007.
"Multifactor efficiency, state variables and Bayesian inference", Journal of Business, 79, 2006.
"Governance mechanisms and equity prices", (with Vinay Nair), Journal of Finance, 60, 2005.
"Stock return predictability: A Bayesian model selection perspective", Review of Financial Studies, 15, 2002.