CCFin research


How do we begin to understand the impact of crucial economic events on the financial markets? By funding critical areas of research. We, at the Cambridge Centre for Finance, see this as being fundamental to understanding the operation of modern economies.

Together with the Cambridge Endowment for Research in Finance (CERF), we promote theoretical, quantitative and historical studies, crossing conventional disciplinary boundaries, as we bring together research groups consisting of economists, mathematicians, lawyers, historians, computer scientists and market practitioners. 

By providing support for research that explores these areas, particularly as it relates to corporate finance, we make it easier for financial experts, scholars and thought leaders to make a difference in the world at large.  

Close-up of young businessman pointing on the data presented in the chart on a computer screen.


Find out how investment issues are developing as the global business landscape evolves. Read our latest publications, brought to you by our researchers, collaborators and external partners.  

Explore our publications

Research themes

By expanding the field of thought in a variety of important areas pertaining to finance, we add value to the research community. Here you can find all the most important theoretical and empirical studies in one place, with our expert researchers delineating key ideas for financial leaders and academics world-wide. 

Behavioural finance

Behavioural finance is a growing field of study in both corporate finance and asset pricing. Our researchers investigate seemingly irrational decisions made by corporate managers and investors, applying findings from psychology literature on cognitive bias in decision making.

Corporate capital structure, investment & payout

Within the corporate capital structure, we look at investment and payout within a managerial agency framework.

Corporate governance & agency

Mitigating the conflicts that arise from the opposing interests of a firm’s principals and agents in order to maximise the firm’s value is the central aim of corporate governance. However, while most economists and legal scholars agree on this general aim, there remains an ongoing debate on what mechanisms should be classified as “good” (ie value-increasing) versus “bad” (ie value-decreasing) corporate governance. We explore this topic here.

Executive compensation

We make use of corporate governance reforms implemented in many countries around the world since the early 2000’s and investigate their effects on CEO compensation.

Finance & growth

Research work that helps us understand the role of financial markets on economic growth will have a great deal of policy implications. They will also influence policy makers when they deal with financial sector policies, especially when it comes to prioritisation. We look at the question of whether, and if so how, stock market development promotes economic growth.

The investment CAPM

Understanding anomalies documented in finance literature is one of the most important challenges for researchers in the field of asset pricing. Recently, a new path – the investment CAPM – has emerged to explain these anomalies. Our researchers dive deep into this topic to explain how and why these anomalies occur.

Macroeconomic risk & asset prices

In asset pricing, a macroeconomic risk is an event that can influence most financial assets. Many studies have explored the role of these macro-variables in explaining a firm or a country’s financial decisions and on the pricing of stocks, corporate and sovereign bonds. We derive and study in models that combine both sources of risk, how long-run risk can improve our understanding of various phenomena in finance.

Mergers & acquisitions

Mergers and acquisitions (M&A) are important forms of investment made by firms and also transactions in the market of corporate control. Researchers have discussed various potential drivers, like market overvaluation and managerial timing. We show that economies of scale can lead to merger waves during economic booms. We also model how the returns from merging are shared between the acquirer and the acquiree.

Real options

This research considers the valuation of investments under uncertainty. We value options embedded in investments (‘real options’) such as entry, growth, disinvestment and abandonment options. Our research expands on this topic area, as well as incorporating strategic behaviour between firms into the valuation framework.

The role of asymmetric information for corporations & financial markets

The role of information has always been an active research area of corporate finance. In particular, asymmetric information between managers and outside investors has received a great deal of attention. We delve deep into this topic, finessing theories building on the body of thought that currently exists.