Faculty Directory

Professor of Accounting

Kermit O. Hanson Professor in Accounting

Professional Certification

Chartered Accountant, Province of Ontario, Canada (1981)

Education

PhD Cornell University (1990)

MBA Cornell University (1989)

BMath University of Waterloo (1981)

Academic Expertise

Current Research

Broadly speaking, I am interested in the effect of human cognitive constraints on market participants and other factors that impact the way information is incorporated into prices. My publications have spanned behavioral finance, market microstructure, equity valuation, financial analysis, quantitative investing, and security market regulation.

Positions Held

Academic Appointments

• Hanson Professor of Accounting, Foster School of Business, University of Washington, 2022 – present

• Moghadam Family Professor, Emeritus, Stanford GSB, 2022 – present

• Moghadam Family Professor and Professor of Accounting, Stanford GSB, 2015 – 2021

• Joseph McDonald Professor of Accounting, Stanford GSB, 2009-2015

• Visiting Professor of Accounting, Stanford GSB, 2008-2009

• Henrietta Johnson Louis Professor of Management, Cornell Johnson Graduate School of Management, 1998-2007

• Associate Professor of Accounting, Cornell Johnson Graduate School of Management, 1996-1997

• Associate Professor of Accounting, University of Michigan, 1994-1996

• Assistant Professor of Accounting, University of Michigan, 1990-1994

Professional Experience

• Co-founder and General Partner, Nipun Capital LP, 2011-2017

• Global Head of Equity Research, Barclays Global Investors (now Blackrock), 2006-2008

• Head of U.S. Equity Research, Barclays Global Investors (now Blackrock), 2005-2006

• Director of Accounting Research, Barclays Global Investors (now Blackrock), 2004-2004

• Visiting Research Economist, New York Stock Exchange, 1995-1996

• Senior Manager (last position held), National Research Department of KPMG Peat Marwick Thorne, Toronto, Canada, 1982-1985

Selected Publications

1. “Production Complementarity and Information Transmission Across Industries“

   Journal Article:Lee, C., Shi, T., Sun, S., and Zhang, R., (forthcoming). Journal of Financial Economics,
2. “ELPR: A New Measure of Capital Adequacy for Commercial Banks“

   Journal Article:Lee, C., Wang, Y., and Zhong, Q., (forthcoming). The Accounting Review,
3. “Gate Fees: The Pervasive Effect of IPO Restrictions on Chinese Equity Markets“

   Journal Article:Lee, C., Qu Y., and Shen, T., (2023). Review of Finance,
4. “Why do Predicted Stock Issuers earn low returns?“

   Journal Article:Lee, C. and Li, K., (2023). Review of Asset Pricing Studies,
5. “Shall We Talk? The Role of Interactive Investor Platforms in Corporate Communication“

   Journal Article:Lee, C. and Zhong, Q., (2022). Journal of Accounting and Economics,
6. “Active Funds and Bundled News“

   Journal Article:Lee, C. and Zhu, C., (2022). The Accounting Review, Vol. 97(1), pp. 315-339.
7. “A Frog in Every Pan: Information Discreteness and the Lead-lag Returns Puzzle“

   Journal Article:Huang, S., Lee, C., Xiang, H., and Song, Y., (2022). Journal of Financial Economics, Vol. 145, pp. 83-102.
8. “Tick Size Tolls: Can a Trading Slowdown Improve Price Discovery of Earnings News?“

   Journal Article:Lee, C. and Watts, E., (2021). The Accounting Review, Vol. 96(3), pp. 373-401.
9. “Evaluating Firm-Level Expected Return Proxies: Implications for Estimating Treatment Effects“

   Journal Article:Lee, C., So, E., and Wang, C., (2021). Review of Financial Studies, Vol. 34(4), pp. 1907-1951.
10. “Technological Links and Return Predictability“

    Journal Article:Lee, C., Sun, S., Wang, R., and Zhang, R., (2019). Journal of Financial Economics, Vol. 132, pp. 76-96.
11. “Is there a Dark-Side to Exchange Traded Funds (ETFs)? An Information Perspective“

    Journal Article:Israeli, D., Lee, C., and Sridharan, S., (2017). Review of Accounting Studies, Vol. 22, pp. 1048-1083.
12. “Uncovering Expected Returns: Information in Analyst Coverage Proxies“

    Journal Article:Lee, C., and So. E, (2017). Journal of Financial Economics, Vol. 124, pp. 331-348.
13. “In Short Supply: Short-Sellers and Stock Returns“

    Journal Article:Beneish, D. Lee, C., and Nichols, C., (2015). Journal of Accounting and Economics, Vol. 60, pp. 33-57.
14. “Shell Games: The Long-term Performance of Chinese Reverse Merger Firms“

    Journal Article:Lee, C., Li, K., and Zhang R., (2015). The Accounting Review, Vol. 90(4), pp. 1547-1589.
15. “Search-Based Peer Firms: Aggregating Investor Perception through Internet Co-searches“

    Journal Article:Lee, C., Ma, P., and Wang, C., (2015). Journal of Financial Economics, Vol. 116(2), pp. 410-431.

Honors and Awards

Best Paper Award, AAA Spark Conference, Western Regional, 2021

Teaching Excellence Award in all three Stanford GSB degree programs (the MBA Program, 2017; the PHD program, 2013; the MSx Program, 2011 and 2012)

First place, Q Group’s Roger F. Murray Prize research competition, 2018

AAA Innovation in Financial Accounting Education Award, 2017

AAA Presidential Scholar (Keynote Speaker at the AAA Annual Meeting), 2015

Faculty of Mathematics Alumni Achievement Medal, University of Waterloo, 2014

Notable Contribution to Accounting Literature Award, AAA, 2003

Cornell Johnson School The Apple Award for Teaching Excellence in MBA Program: 1997, 2000, 2003

Cornell Johnson School Stephen Russell Distinguished Teaching Award, 2002

Michigan Business School Award for Teaching Excellence (PhD Program, 1995; MBA Program 1994)

Academic Service

American Accounting Association (AAA)

AAA New Faculty Consortium: Distinguished Lecturer (1998, 1999, 2003, 2004, 2005, 2006, 2009, 2016, 2020, 2021, 2022); Team Leader (1995, 1996); Planning Committee (1998-1999)

AAA Doctoral Consortium: Distinguished Visiting Faculty (1999, 2003, 2012, 2017, 2018)

Stanford University

University Advisory Board; one of seven faculty members responsible for advising the Provost on Campus-wide A&P and other academic-related matters (2018-2021); GSB Deans’ Advisory Group (2012-2015)

Editorial Boards

•Review of Accounting Studies, Co-Editor (1996-2006)

•Journal of Finance, Associate Editor (2000-2003)

•The Accounting Review, Co-Editor (2011-2014)

•Journal of Accounting and Economics, Associate Editor (2000-2006)

•Management Science (Finance), Associate Editor (2009-2011)

•Journal of Accounting Research, Editorial Board (2001-2003)

•Financial Analysts Journal, Associate Editor (1999-2008)

Courses Taught

ACCT 596 Market Efficiency and Informational Arbitrage (PhD Seminar)

ACCT 579 Alphanomics: Active Investing in Equity Markets

External Service and Assignments

NASD Economic Advisory Board (2001-2003); AIMR Council for Education and Research (1999-2001); WFA & AFA Program Selection Committee; Accounting Area External Review Committee – Stanford (2003); Berkeley (2003)