Niels Gormsen

About

I am a professor of finance at Copenhagen Business School (on leave from University of Chicago). My research focuses on corporate finance, asset pricing, and financial economics. I have worked on topics such as the cost of capital, equity valuations, and the impact of financial crises on stock prices and growth expectations.

Research topics

• Economics
• Monetary economics
• Financial economics
• Finance
• Econometrics
• Geography
• International economics
• Business

Selected publications

• Coronavirus: Impact on Stock Prices and Growth Expectations

  The Review of Asset Pricing Studies · 2020 · 471 citations

  1st authorCorresponding

  Abstract We use data from aggregate stock and dividend futures markets to quantify how investors’ expectations about economic growth evolved across horizons following the outbreak of the novel coronavirus (COVID-19) and subsequent policy responses until July 2020. Dividend futures, which are claims to dividends on the aggregate stock market in a particular year, can be used to directly compute a lower bound on growth expectations across maturities or to estimate expected growth using a forecasti…

  DOI

• Coronavirus: Impact on Stock Prices and Growth Expectations

  2020 · 201 citations

  1st authorCorresponding

  We use data from the aggregate stock market and dividend futures to quantify how investors' expectations about economic growth evolve across horizons in response to the coronavirus outbreak and subsequent policy responses until June 2020.Dividend futures, which are claims to dividends on the aggregate stock market in a particular year, can be used to directly compute a lower bound on growth expectations across maturities or to estimate expected growth using a forecasting model.We show how the ac…

  DOI

• Financial Markets and the COVID-19 Pandemic

  Annual Review of Financial Economics · 2023-08-22 · 28 citations

  articleOpen access1st authorCorresponding

  We review the literature on the impact of the COVID-19 pandemic on financial markets. We first document several key facts about equity and fixed-income markets during this period. We then discuss various literatures that analyze broad movements in prices, market dislocations, and the impact of fiscal and monetary policy interventions. We conclude by discussing potential directions for future research.

  PublisherOA PDFDOI

• Corporate Discount Rates

  National Bureau of Economic Research · 2023-06-01 · 23 citations

  reportOpen access1st authorCorresponding

  Standard theory implies that the discount rates used by firms in investment decisions (i.e., their required returns to capital) determine investment and transmit financial shocks to the real economy.However, there exists little evidence on how firms' discount rates change over time and affect investment.We construct a new global database based on manual entry from conference calls.We show that, on average, firms move their discount rates with the cost of capital, but the relation is far below th…

  PublisherDOI

• Selfish Corporations

  The Review of Economic Studies · 2023-05-26 · 21 citations

  article

  Abstract We study how perceptions of corporate responsibility influence policy preferences and the effectiveness of corporate communication when agents have imperfect memory recall. Using a new large-scale survey of U.S. citizens on their support for corporate bailouts, we first establish that the public demands corporations to behave better within society, a sentiment we label “big business discontent.” Using random variation in the order of survey sections and in the exposure to animated video…

  PublisherDOI

Frequent coauthors

• Ralph S. J. Koijen

  17 shared

• Lasse Heje Pedersen

  New York University

  8 shared

• Kilian Huber

  7 shared

• Eben Lazarus

  University College London

  7 shared

• Kilian Huber

  University of Luxembourg

  5 shared

• Emanuele Colonnelli

  5 shared

• Mihir Gandhi

  3 shared

• Andrea Frazzini

  Capital University

  3 shared

Education

• Ph.D., Finance

  University of Chicago

• B.A.

  Copenhagen Business School

Awards & honors

• 2024 Moskowitz Prize
• 2025 De La Vega Prize
• Fama-DFA Prize 2020 (second prize)
• Roger F Murray Price 2018

Similar researchers at University of Chicago

• Raghu Rajanh-130
• Douglas Skinnerh-61
• Jack Mountjoyh-15