Professor Werner has an MBA and an Ekon. Lic. from Stockholm School of Economics, a PhD from the University of Rochester (1990), and an Honorary Doctorate in Economics from Stockholm School of Economics (2013). She joined the Finance group at Fisher College of Business, The Ohio State University, in 1998.  Professor Werner holds the Martin and Andrew Murrer Endowed Professorship in Finance and serves as Finance Department Chair. She held a National Fellowship at the Hoover Institution (Stanford University) during 1995-1996.  She was the 1996-1997 Visiting Research Economist at the New York Stock Exchange, and the 2001-2002 Nasdaq Visiting Academic Fellow.

Professor Werner served on the Economic Advisory Board of the NASD 1998-2000 and is currently on the Economic Advisory Board of the Swedish Finance Research Institute (SIFR) in Stockholm.  She also served on the Scientific Advisory Board of the Swedish Financial Regulatory Committee 2008-2011.

She currently serves on the Editorial Board of the The Review of Asset Pricing Studies, the Journal of International Financial Markets, Institutions & Money, the Emerging Markets Finance Journal, the International Review of Economics & Finance, and the European Financial Management, and she was an associate editor for the Journal of Finance 2001-2003, and the Review of Financial Studies from 1998-2001. Moreover, she has served as an ad hoc referee for more than twenty other journals in Economics and Finance.

Professor Werner’s research interests range from international finance to market microstructure. Her research has been published in top-tier economics and finance journals such as Journal of Finance, the Review of Financial Studies, and Journal of Economic Theory. In the international finance area, her work on home bias and cross-border securities trading is highly cited. In the market microstructure area, she has studied: trading of British cross-listed securities both in London and in the U.S.; interdealer trading on the London Stock Exchange; the trades of NYSE floor brokers; Nasdaq institutional trading; the effect of Nasdaq delistings on firm value and liquidity; short-sale trading strategies; and the effect of suspending short-sale price tests on market quality. Current research projects include Dark Pool trading and market quality, OTC market disclosure and market efficiency, Liquidity and asset pricing, and APR violations in Chapter 11 Bankruptcy.

Professor Werner currently teaches International Finance and Trading and Markets to Fisher graduate and undergraduate students.  She has taught at the graduate level at Stanford Graduate School of Business, University of Michigan’s Ross School of Business, University of Toronto’s Rotman School of Management, Bocconi University, and the University of Bologna.

Areas of Expertise

• International Finance
• Market Microstructure
• Cross-border Securities Trading
• Stock Exchange Trading and Market Efficiency
• Firm Value and Liquidity
• Bankruptcy

Education

• PhD from the University of Rochester
• MBA and an Ekon. Lic. from Stockholm School of Economics

FIN 730/830 - Trading and Markets

The course provides an overview of today’s fragmented market for financial securities and how today’s financial markets work; how governments and exchanges regulate them; and how traders create liquidity, volatility, informative prices, trading profits, and transaction costs.

Publications in Refereed Journals 

• International Investment Barriers in General Equilibrium, with Peter Sellin, The Journal of International Economics, vol. 34, no. 1/2, 1993, 137-152.
• Nontraded Assets in Incomplete Markets: Pricing and Portfolio Choice, with Lars E. O. Svensson, The European Economic Review - Special Issue on Finance, vol. 37, no. 5, 1993, 1149-1168.
• Capital Income Taxation and International Portfolio Choice, The Journal of Public Economics, vol. 53, no. 2., 1994, 205-222.
• U.S. Equity Investment and Emerging Stock Markets, with Linda L. Tesar, The World Bank Economic Review - Special Issue on Portfolio Investment in Developing Countries, vol. 9, no.1, 1995, 109-129.
• Home Bias and High Turnover, with Linda L. Tesar, The Journal of International Money and Finance, vol. 14, 1995, 467-492.
• Information, Liquidity and Asset Trading in a Random Matching Game, with Hugo A. Hopenhayn, The Journal of Economic Theory, vol. 68, no. 2, 1996, 349-379.
• U.K. and U.S. Trading of British Cross-Listed Stocks: An Intraday Analysis of Market Integration, with Allan W. Kleidon, The Review of Financial Studies, vol. 9, no. 2, 1996, 615-659.
• Does Risk Sharing Motivate Interdealer Trading? with Peter C. Reiss, The Journal of Finance, vol. 53, no. 5, 1998, 1657-1703.
• The Trades of NYSE Floor Brokers, with George Sofianos, The Journal of Financial Markets, 2003, 139-176.
• NYSE Order Flow, Spreads, and Information, The Journal of Financial Markets 6, 2003, 309-335.
• Anonymity, Adverse Selection, and the Sorting of Interdealer Trades, with Peter C. Reiss, The Review of Financial Studies vol. 18, no. 2, 2005, 599-636.
• Why Do Larger Orders Receive Discounts on the London Stock Exchange?  with Dan Bernhardt, Vladimir Dvoracek, and Eric Hughson, The Review of Financial Studies vol. 18, no. 4, 2005, 1343-1368.
• Short-Sale Strategies and Return Predictability, with Karl B. Diether and Kuan-Hui Lee, The Review of Financial Studies vol. 22, no. 2, 2009, 575-607.
• It’s SHO Time! Short-sale Price-tests and Market Quality, with Karl B. Diether and Kuan-Hui Lee, The Journal of Finance vol. 64, no. 1, 2009, 37-73.

 Publications in Books

• International Equity Transactions and U.S. Portfolio Choice, with Linda L. Tesar, in Jeffrey Frankel Ed, Internationalization of Equity Markets, NBER Project Report, University of Chicago Press, 1994, 185-216.
• Transaction Costs in Dealer Markets: Evidence from The London Stock Exchange, with Peter C. Reiss, in Andrew Lo ed., The Industrial Organization and Regulation of the Securities Industry, University of Chicago Press, 1996, 125-176.
• The Internationalization of Global Securities Markets Since the 1987 Crash, with Linda L. Tesar, in R.E. Litan and A.M. Santomero Eds, Brookings-Wharton Papers on Financial Services, vol. 1, 1998, 281-372.

 Other Materials

• International Capital Markets: Controls, Taxes and Resource Allocation, Institute for International Economics Studies, University of Stockholm, Monograph Series No. 18, 1990
• How Much International Investment is Enough?, with Linda L. Tesar, Canadian Investment Review, Summer, 1995, 51-54.
• Scania AB, 1996, Case Study of a Global IPO, 1996.
• Discussion of “The competitive effects of US decimalization: Evidence from the US-listed Canadian stocks” by Henry Oppenheimer and Sanjiv Sabherwal, 2003, The Journal of Banking & Finance, 27 (9), 1911-1916.
• Comment on “Some Evidence that a Tobin Tax on Foreign Exchange Transactions may Increase Volatility” by Robert Z. Aliber, Bhagwan Chowdhry, and Shu Yan, 2003, European Finance Review, 7(3), 511-514.

You can access my papers on the Social Science Research Network (SSRN) at: http://ssrn.com/author=497674

• Dark Trading under Blue Skies:  Regulatory Regimes in the OTC Markets, with Ulf Bruggeman, Aditya Kaul, and Christian Leuz, April 2013. 
• Microstructure Bias, Illiquidity, and the Cross-Section of Expected Returns, with Kewei Hou and Peter Wong, March 2013.
• Tick Size Regulation, Intermarket Competition and Sub-Penny Trading, with Sabrina Buti, Barbara Rindi, and Yuanji Wen, August 2011.
• Dark Pool Trading Strategies, with Sabrina Buti and Barbara Rindi, October 2011, (Available on SSRN: http://papers.ssrn.com/abstract_id=1571416 ).
• Diving into Dark Pools, with Sabrina Buti and Barbara Rindi, June, November 2011 (Available on SSRN: http://ssrn.com/abstract=1630499 ).
• When Constraints Bind, with Karl B. Diether, July 2011 (Available on SSRN: http://ssrn.com/abstract=1445634 ).
• The Changing Nature of Chapter 11, with Sreedhar Bharath, Venkatesh Panchapagesan, November 2010 (Available on SSRN: http://ssrn.com/abstract=1102366 ).
• Fighting for Survival:  The Case of Low-Priced Stocks, with Jennifer Koski, September 2010.
• Off but Not Gone: A Study of Nasdaq Delistings, with Jeffrey Harris, and Venkatesh Panchapagesan, May 2006 (Available on SSRN: http://ssrn.com/abstract=628203 )