Gustavo Grullon

Jesse H. Jones Professor of Finance

Gustavo Grullon is Professor of Finance at the Jesse H. Jones Graduate School of Business at Rice University. He received his B.B.A. in finance and economics from the University of Puerto Rico in 1991 and his Ph.D. in finance from Cornell University in 1998. He has been a faculty member at the Jones School since 1998. He currently teaches a course on mergers and acquisitions and a course on corporate financial policy in the MBA program and a corporate finance course in the Ph.D. program. Prof. Grullon’s research covers a wide range of topics in empirical corporate finance, such as how firms determine their investment, financing, and payout policies. His research also provides rational explanations to several documented anomalies in the asset-pricing literature, such as the closed-end fund discount, the tendency of investors to buy familiar stocks, the drastic increase in idiosyncratic risk during the internet boom, and the effect of managerial flexibility on firm value. His research has been published in the Journal of Finance, the Review of Financial Studies, the Journal of Financial Economics, the Journal of Business, the Journal of Financial and Quantitative Analysis, and the Journal of Financial Intermediation. His research has been featured in the Financial Times, the New York Times, the Washington Post, and the Wall Street Journal. He received the Jones School’s Award for Scholarship Excellence in 2006.

Teaching Interests: 

-Corporate financing -Mergers and acquisitions

Research Interests: 

-Empirical Corporate Finance -Empirical Asset Pricing -Corporate payout policy -Corporate financing policy -Corporate investment policy -Mergers and acquisitions -Market efficiency

Intellectual Contributions

Working Paper

Weston, Hund, Grullon. "A Granular Analysis of Corporate Investment"

Other

Grullon. "Comments on “The Effects of Taxes on Market Responses to Dividend Announcements and Payments: What Can We Learn from the 2003 Dividend Tax Cut?”" Cambridge University Press

Working Paper

Grullon, Chhaochharia, Grinstein, Michaely. "Product Market Competition and Internal Governance: Evidence from the Sarbanes Oxley Act"

Working Paper

Weston, Kanatas, Grullon. "Religion, Ethics, and Corporate Behavior"

Working Paper

Weston, Grullon, Michenaud. "The Real Effects of Short-Selling Constraints" Review of Financial Studies

Working Paper

Grullon, Michaely. "The Role of Product Market Competition on Firms’ Payout Policy"

Journal Article

Grullon, Underwood, Weston. "Comovement and investment banking networks" Journal of Financial Economics 113, no. 1 (07/2014): 73-89. More

Journal Article

Grullon, G.a , Lyandres, E.b , Zhdanov, A.c. "Real Options, Volatility, and Stock Returns" Journal of Finance 67, no. 4 (01/2012): 1499-1537. More

Journal Article

Grullon, Paye, Underwood, Weston. "Has the propensity to pay out declined?" Journal of Financial and Quantitative Analysis 46, no. 1 (02/2011): 1-24. More

Journal Article

Fink, Fink, Grullon, Weston. "What drove the increase in idiosyncratic volatility during the Internet boom?" Journal of Financial and Quantitative Analysis 45, no. 5 (10/2010): 1253-1278. More