Loriano Mancini

Loriano Mancini is Professor of Finance at the Università della Svizzera italiana. Prior to joining the Università, Professor Mancini held positions at Princeton University and at the Ecole Polytechnique Fédérale de Lausanne. He has published papers in the top academic journals in finance and is a regular speaker at leading conferences and workshops worldwide.

Expertise

Professor Mancini is studying how cash flow shocks impact corporate behavior. His innovation is to decompose such shocks into two groups: permanent ones and transitory ones. Decades of US data covering publicly traded firms reveals that the majority of firms' cash flows are subject to permanent shocks, that the correlation between both long-lived and short-lived shocks is variable, and finally that a firm's exposure to cash flow risks is largely determined by its degree of corporate liquidity as well as its financing choices. Considering that both permanent and temporary shocks follow a factor model, further attention from investors could prove valuable.