Nejat Seyhun

Nejat Seyhun

  • The Jerome B. & Eilene M. York Professor of Business Administration
  • Professor of Finance
Education
  • PhD University Of Rochester 1984
  • MS University Of Rochester 1981
  • BSEE Northwestern University 1976

Contact Information

Phone
(734) 763-5463
Email
Room
R6356
Research

Nejat’s research activity focuses on backdating of executive options, risk-return trade-off in asset prices, intra-day impact of insider trading, long-run performance of IPOs, managerial overconfidence, Chinese walls and conflicts of interest in securities firms, option pricing, and conflict between information efficiency and rewards to information gathering.  His backdating work with M.P. Narayanan has helped uncover one of the biggest corporate scandals of recent years, bringing to light a business practice with numerous legal, ethical and corporate governance implications.

Executive Leadership
H. Nejat Seyhun is Professor of Finance and Jerome B. and Eilene M. York Professor of Business Administration at the University of Michigan, where he has twice served as the chairman of the finance department. He holds a Ph.D. in finance (1984) and a master's degree in applied economics (1981) from University of Rochester, Rochester NY; and a bachelor's degree in electrical engineering (1976) from Northwestern University, Evanston, IL. Professor Seyhun has taught in MBA and Ph.D. programs, as well as executive education seminars at the University of Michigan since 1983.  Professor Seyhun also served as the academic director of the Financial Engineering program at the University of Michigan from 2005-2014.

Professor Seyhun worked briefly as an electrical engineering prior to receiving his Ph.D. His previous academic appointments as a visiting professor include University of Rochester (lecturer), University of Chicago, Koc University (Istanbul, Turkey), and Wissenschaftliche Hochschule fur Unternehmensfuhrung (WHU) (Koblenz, Germany). He has also given executive education lectures in Bangalore, Bangkok, Brussels, Dubai, Hong Kong, Istanbul, Jakarta, London, Moscow, Paris, Riyadh, San Paolo, Singapore, Taipei among other places.

Professor Seyhun's current teaching interests are in the area of commercial and investment banking, corporate finance, and investments. He has published a book about the investment implications of insider trading, entitled “Investment Intelligence from Insider Trading” (MIT Press, 1998, 2000). His current research projects include market efficiency, conflicts of interest in securities firms, pricing of index options and stock price momentum, intra-day stock price reaction to insider trading. Professor Seyhun's academic articles have been published in Journal of Finance, Journal of Business, Journal of Financial Economics, Quarterly Journal of Economics, Journal of Law and Economics, and Journal of Financial and Quantitative Analysis, among others.

Professor Seyhun's research has been quoted frequently in the financial press including the Wall Street Journal, New York Times, Washington Post, Newsweek, Business Week, Bloomberg Business News, and Los Angeles Times. Among his consulting clients are Citigroup, Towneley Capital, Tweedy, Browne, and Vanguard. Professor Seyhun has also worked as an expert witness and consultant to the Federal Bureau of Investigation (FBI) and U.S. Justice Department in insider trading cases.

Should Size Matter When Regulating Firms? Implications from Backdating of Executive Options

Authors
H. Nejat Seyhun, Deniz Anginer, Cindy Schipani, MP Narayanan
Published Date
2012

Source

New York University Journal of Legislation and Public Policy
Volume: 
15
Issue: 
1
Pages: 
1-44

Fraud on the Market: Analysis of the Efficiency of the Corporate Bond Market

Authors
H. Nejat Seyhun, Michael Hartzmark, Cindy Schipani
Published Date
2011

Source

Columbia Business Law Review
Volume: 
3
Pages: 
654-716

How Do Quotes and Prices Evolve Around Isolated Informed Trades?

Authors
H. Nejat Seyhun, Ahmet Can Inci
Published Date
2010

Source

Journal of Economics and Finance
Volume: 
10

Intraday Behavior of Stock Prices and Trades around Insider Trading

Authors
H. Nejat Seyhun, Ahmet Can Inci, Biao Lu
Published Date
2010

Source

Financial Management (FM)
Volume: 
39
Pages: 
323-363
Ross Thought In Action
Professors Cindy Schipani and Nejat Seyhun find independent directors aren’t as effective as advertised and suggest needed reforms.

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