Empirical Part III: Performance Implications
This final empirical part of the study sheds light on the question of whether periods of considerable deal activity are associated with superior or substandard performance. The investigation of the relationship between deal activity and returns has two main objectives. First, it serves as a robustness check for the driver analysis. As outlined in Figure 10, each of the competing theoretical viewpoints predicts a positive or negative activity-return relationship.
KeywordsCash Flow Venture Capital Private Equity Investment Activity Performance Implication
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