Portrait of Dr Pawel Bilinski

Dr Pawel Bilinski

Reader

Cass Business School, Faculty of Finance

Contact

Visit Pawel Bilinski

Room BR5088, Bunhill Row

Postal address

Cass Business School
106 Bunhill Row
London
EC1Y 8TZ
United Kingdom

About

Overview

Dr Pawel Bilinski is the Director of the Centre for Financial Analysis and Reporting Research and Course Director of the MSc in Corporate Finance at Cass Business School. Before joining the Accounting Group at Cass Business School, he held posts at Manchester Business School and at Lancaster University Management School.

Pawel's research interests are in the area of accounting and include firm disclosure policies, the properties of analyst research outputs, investment banking relations and empirical corporate finance. He has published in top accounting and finance journals such as The Accounting Review, Journal of Banking and Finance, Journal of Business Finance and Accounting, Abacus, European Financial Management, and Financial Markets, Institutions, and Instruments.

Pawel is Editorial Board Member of the Journal of Business Finance and Accounting, Accounting and Business Research, European Accounting Review, and the Journal of Accounting, Finance and Economics. His research has received funding from the 6th Marie Curie Framework Programme, the Malmsten Foundation, and Manchester Business School.

Pawel has experience teaching accounting (financial and managerial accounting) and finance courses at Executive, MBA, MSc, and undergraduate level in the UK, Hong Kong, Dubai, Shanghai and the Channel Islands and Saudi Arabia. He has invariably received excellent feedback on his engaging and practice-oriented teaching.

Pawel is also actively engaged with the professional community. Most recently, he presented during the Deutsche Bank 2nd Annual Global Quantitative Strategy Conference and at Deutsche Bank Ideas Lab talk.

Pawel's CV

Qualifications

PhD, MSc and FHEA.

Memberships of professional organisations

  1. Academic Membership, American Finance Association, Jun 2014 – present
  2. Academic Membership, European Accounting Association, Nov 2011 – present
  3. Academic Membership, American Accounting Association, Sep 2010 – present

Expertise

Primary topics

  • Accounting
  • Accounting Standards
  • Capital Markets
  • Corporate Social Responsibility
  • Financial Accounting
  • Management Accounting

Research

My research lies in the area of market-based accounting, which is at the intersection of accounting and finance. The area of main focus is on capital market implications of accounting and analyst behaviour. I led research projects that look at the behaviour of sell-side analysts and the usefulness of their research reports to investors. Financial analysts are among the most important information intermediaries in capital markets and therefore it is important to understand (1) potential conflicts of interest in their research and (2) the investment value and accuracy of analyst research reports.

My research has been covered in media outlets such as The Financial Times and The Guardian, and influential foreign magazines including Manager Magazin, Jeune Dirigeant, and Spiegel.

Research topics

Conflicts of interest in analyst research: do analysts issue optimistic forecasts to cater to some investors?

Prior research documents that analysts produce less biased forecasts for stocks with high institutional ownership. In this project, we examine whether this result changes depending on the type of institutional investors. Specifically, short-term investors, such as hedge-funds, may welcome optimistic analyst research that leads to temporary overpricing of stocks they hold, as this would allow them to sell their holdings at a higher profit. We propose that analysts cater to short-term investors and issue optimistically biased research for stocks held by short-term investors. This catering behaviour should dominate among analysts unaffiliated with investment banks as they face lower reputational costs by biasing target prices.

Executive compensation in "sin" industries: alcohol, gambling, and tobacco industries

We examine if executives in ‘sin’ industries such as alcohol, gambling, and tobacco, earn a compensation premium for the ‘stigma’ attached to the firms they work for. Specifically, we propose that executives in sin industries bear social costs such as (1) being ostracised by their local community, (2) lower opportunities for these executives to serve as directors on other firms’ boards, particularly at more esteemed firms, and (3) fewer opportunities to find employment after leaving a sin firm. This research serves to highlight the impact that violating social norms has on executive compensation contracts.

Analyst dividend forecasts and their usefulness to investors

Recent finance and accounting studies indicate that dividends are ‘sticky’ and declining in economic importance. If so, there should be little investor demand for analyst dividend estimates and analyst dividend forecasts should simply mirror time-series estimates. However, this prediction contrasts the fact that large data providers such as Bloomberg and Thomson Reuters routinely report analyst dividend forecasts. We examine the recent trend in analysts providing dividend estimates for a sample of 16 countries spanning 2000–2013. The questions examined in the projects include: (1) why do analysts produce dividend forecasts, (2) are analyst dividend estimates more accurate and better aligned with market dividend expectations than time-series estimates (3) do dividend forecasts convey incremental information to the market beyond that contained in other fundamentals, and (4) do dividend estimates help investors interpret the persistence of earnings news.

Title of thesis: Does Regulatory monitoring Improve M&A Outcomes? Evidence from Chinese Comment Letters

Sep 2018

Summary of research

This study examines the effect of Chinese comment letters on the bidder’s takeover filings. We document that the market reacts negatively when a firm receives an M&A comment letter and the effect is stronger if the firm receives more than one letter, a longer letter, and the slow a firm responds to the letter. Companies that receive the comment letter during M&A also have lower completion rates. The textual analysis of the letter content shows price reactions are more negative if the issues raised in the letter refer to bidder’s corporate governance quality and business. Investors react more positively if the regulator questions bidder’s accounting quality and M&A deal conditions. Our results are robust to controlling for selectivity in the type of firm that receives a comment letter. Jointly, the results suggest investors perceive regulatory scrutiny to reduce the risk a transaction is value-destroying by increasing deal transparency, which suggests positive benefits from regulatory monitoring of M&A deals.

Research students

1st supervisor

2nd supervisor

  • Andre Silva, PhD Student

Junzi Zhang

Attendance: Sep 2017 – present, full-time

Thesis title: Three essays on reporting enforcement

Role: 1st Supervisor

Xiaochi Ge

Attendance: Sep 2016 – present, full-time

Thesis title: Three essays on corporate reporting

Role: 1st Supervisor

André Silva

Attendance: Sep 2013 – Jun 2018, full-time

Thesis title: Essays in Bank Regulation and Supervision

Role: 2nd Supervisor

Publications

Journal articles (13)

  1. Bilinski, P., Cumming, D., Hass, L., Stathopoulos, K. and Walker, M. (2019). Strategic distortions in analyst forecasts in the presence of short-term institutional investors. Accounting and Business Research, 49(3), pp. 305–341. doi:10.1080/00014788.2018.1510303.
  2. Bilinski, P. and Eames, M. (2019). Analyst revenue forecast reporting and the quality of revenues and expenses. Journal of Business Finance & Accounting, 46(1-2), pp. 136–158. doi:10.1111/jbfa.12355.
  3. Bilinski, P. and Lyssimachou, D. (2018). Dividend guidance to manage analyst dividend expectations. International Review of Financial Analysis, 60, pp. 53–68. doi:10.1016/j.irfa.2018.08.013.
  4. Novak, J. and Bilinski, P. (2018). Social stigma and executive compensation. Journal of Banking & Finance, 96, pp. 169–184. doi:10.1016/j.jbankfin.2018.09.003.
  5. Silva, A. and Bilinski, P. (2015). Intended Use of Proceeds, Underwriter Quality and the Long-run Performance of SEOs in the UK. Journal of Business Finance & Accounting, 42(9-10), pp. 1282–1309. doi:10.1111/jbfa.12171.
  6. Ohlson, J.A. and Bilinski, P. (2015). Risk versus Anomaly: A New Methodology Applied to Accruals. The Accounting Review, 90(5), pp. 2057–2077. doi:10.2308/accr-50984.
  7. Bilinski, P. and Mohamed, A. (2015). The Signaling Effect of Durations between Equity and Debt Issues. Financial Markets, Institutions & Instruments, 24(2-3), pp. 159–190. doi:10.1111/fmii.12027.
  8. Bilinski, P. and Lyssimachou, D. (2014). Risk Interpretation of the CAPM's Beta: Evidence from a New Research Method. Abacus, 50(2), pp. 203–226. doi:10.1111/abac.12028.
  9. Bilinski, P. (2014). Do analysts disclose cash flow forecasts with earnings estimates when earnings quality is low? Journal of Business Finance and Accounting, 41(3-4), pp. 401–434. doi:10.1111/jbfa.12056.
  10. Bilinski, P., Lyssimachou, D. and Walker, M. (2013). Target Price Accuracy: International Evidence. The Accounting Review, 88(3), pp. 825–851. doi:10.2308/accr-50378.
  11. Bilinski, P., Liu, W. and Strong, N. (2012). Does liquidity risk explain low firm performance following seasoned equity offerings? Journal of Banking & Finance, 36(10), pp. 2770–2785. doi:10.1016/j.jbankfin.2012.07.009.
  12. Bilinski, P. and Strong, N. (2011). Managers’ Private Information, Investor Underreaction and Long-Run SEO Performance. European Financial Management. doi:10.1111/j.1468-036x.2011.00616.x.
  13. Bilinski, P. Analyst Information Intermediation during the COVID-19 Pandemic. SSRN Electronic Journal. doi:10.2139/ssrn.3807974.

Working papers (4)

  1. Bilinski, P. and Yim, T.L. (2019). Accounting Firms in the M&A Advisory Market.
  2. Zhang, J., Bilinski, P. and Raonic, I. Do M&A comment letters improve M&A information transparency?
  3. Ge, X., Bilinski, P. and Kraft, A. Institutional Blockholders and Voluntary Disclosure.
  4. Ge, X., Bilinski, P. and Kraft, A. Does more competition improve the incumbent’s audit quality? Evidence from the emergence of second-tier audit firms in China.

Education

Course Directorship

-2016 - present, Director of the MSc in Corporate Finance
- 2015 - present, PhD in Accounting Programme, Coordinator
- 2015 - 2016, Director of the BSc Accounting and Finance
- 2014 - present, Director of the Centre for Financial Analysis and Reporting Research (CeFARR)

Professional activities

Editorial activity (18)

  1. Corporate Governance: An International Review, Referee, 2016 – present.
  2. Emerging Markets Finance and Trade, Referee, 2016 – present.
  3. Review of Accounting Studies, Referee, 2016 – present.
  4. Accounting and Business Research, Member of Editorial Board, 2016 – present.
  5. Journal of Business Finance and Accounting, Member of Editorial Board, 2015 – present.
  6. Abacus, Referee, 2015 – present.
  7. Accounting and Business Research, Referee, 2015 – present.
  8. European Accounting Review, Referee, 2015 – present.
  9. European Financial Management, Referee, 2015 – present.
  10. European Journal of Operational Research, Referee, 2015 – present.
  11. International Journal of Corporate Governance, Referee, 2015 – present.
  12. International Review of Economics and Finance, Referee, 2015 – present.
  13. Journal of Accounting, Finance and Economics, Associate Editor, 2014 – present.
  14. Journal of Accounting, Auditing and Finance, Referee, 2014 – present.
  15. Journal of Accounting, Finance and Economics, Referee, 2014 – present.
  16. Journal of Banking and Finance, Referee, 2014 – present.
  17. Journal of Business Finance and Accounting, Referee, 2009 – present.
  18. British Accounting Review, Referee.

Events/conferences (43)

  1. Invited Speaker, London School of Economics and Political Relations. (Seminar) London School of Economics and Political Relations (2018). Invited speaker.
  2. Invited Speaker, University of Exeter Business School. (Seminar) (2017). Invited speaker.
  3. Journal of International Business Studies conference. (Conference) (2016). Invited speaker.
    Paper: Discussant
  4. CeFARR conference on “Modern corporate communication: Impact, effectiveness and importance to investors”. (Conference) Cass Business School, UK (2016). Chair, Session/Day Chair and Organising Committee.
  5. American Accounting Association annual meeting. (2016). Invited speaker.
  6. Invited Speaker, Essex Business School. (Seminar) Essex Business School (2016). Invited speaker.
    Paper: The usefulness of analyst dividend forecasts to investors
  7. 39th European Accounting Association congress. (Conference) Maastricht, The Netherlands (2016). Organising Committee.
  8. 39th Annual Congress of the European Accounting Association. (Conference) (2016). Invited speaker.
    Paper: How Accounting Firms Compete for Financial Advisory Roles in the M&A Market?
  9. Essex Business School Internal seminar. (Seminar) Essex Business School, University of Essex (2016). Invited speaker.
    Paper: Analyst dividend forecasts and their usefulness to investors: international evidence
    Author: Bilinski P
    Co-authors: M. Bradshaw
  10. Paper development conference in association with Journal of International Business Studies Special Issue. (Conference) Cass Business School (2016). Invited speaker.
    Paper: Paper discussant
    Author: Bilinski P
  11. 39th Annual Congress of the European Accounting Association. (Conference) Maastricht, The Netherlands (2016). Invited speaker.
    Paper: How accounting firms compete for financial advisory roles in the M&A market?
    Author: Bilinski P
    Co-authors: A. Yim
  12. 38th European Accounting Association congress. (Conference) Glasgow, UK (2015). Organising Committee.
  13. Université de Neuchâtel, Switzerland internal seminar. (Seminar) Université de Neuchâtel, Switzerland (2015). Invited speaker.
    Paper: Strategic distortions in analyst target prices in the presence of short-term institutional investors
    Author: Bilinski P
    Co-authors: Cumming, D., Hass, L., Stathopoulos, K., Walker, M
  14. Financial Accounting Symposium, Cambridge Judge Business School. (Conference) Cambridge Judge Business School, UK (2015). Invited speaker.
    Paper: Paper discussant
    Author: Bilinski P
  15. American Accounting Association Annual Meeting. (Conference) Chicago, US (2015). Invited speaker.
    Paper: Analyst Dividend Forecasts and their Usefulness to Investors: International Evidence
    Author: Bilinski P
    Co-authors: M. Bradshaw
  16. 2015 Midyear Meeting of the Financial Accounting and Reporting Section (FARS). (Conference) Nashville, Tennessee, US (2015). Invited speaker.
    Paper: International Evidence on the Accuracy, Sophistication and Information Content of Analyst Dividend Forecasts
    Author: Bilinski P
  17. Deutsche Bank 2nd Annual Global Quantitative Strategy Conference. (Conference) London (2014). Invited speaker.
    Paper: The usefulness of analyst forecasts to investors
    Author: Bilinski P
  18. American Accounting Association Annual Meeting. (Conference) Atlanta, US (2014). Invited speaker.
    Paper: Risk vs. Anomaly: A New Methodology Applied to Accruals
    Author: Bilinski P.
    Co-authors: Ohlson, J.
  19. AAA Financial Accounting and Reporting Section Midyear Meeting (USA). (Conference) Houston, US (2014). Invited speaker.
    Paper: Do Analysts Disclose Cash Flow Forecasts with Earnings Estimates when Earnings Quality is Low
    Author: Bilinski P
  20. 50th British Accounting and Finance Association Annual Meeting. (Conference) (2014). Invited speaker.
    Paper: Earnings quality and the joint issuance of analyst earnings and revenue forecasts
    Author: Bilinski P
  21. 25th Annual Conference on Financial Economics and Accounting (paper acceptance rate of 7.8%). (Conference) Georgia State University, US (2014). Invited speaker.
    Paper: International Evidence on the Accuracy, Sophistication and Information Content of Analyst Dividend Forecasts
    Author: Bilinski P
  22. Deutsche Bank Ideas Lab. (Workshop) London (2014). Invited speaker.
    Paper: Investment profits: compensation for risk or successful arbitrage
    Author: Bilinski P
  23. Warwick Business School. (Seminar) Warwick Business School (2013). Invited speaker.
    Paper: Risk vs. Anomaly: A New Methodology Applied to Accruals
    Author: Bilinski P
    Co-authors: James Ohlson
  24. JBFA Capital Markets Conference. (Conference) USA (2013). Invited speaker.
    Paper: Do analysts disclose their cash flow forecasts with earnings estimates when earnings quality is low?
    Author: Bilinski P
  25. European Financial Management Association Conference. (Conference) Barcelona, Spain (2013). Invited speaker.
    Paper: Earnings Quality and the Joint Issuance of Analyst Earnings and Revenue Forecasts
    Author: Bilinski P
  26. American Accounting Association Annual Meeting. (Conference) Anaheim, US (2013). Invited speaker.
    Paper: Earnings quality and the joint issuance of analyst earnings and revenue forecasts
    Author: Bilinski P
    Co-authors: Eames, M.
  27. 26th Australasian Finance and Banking Conference. (Conference) Sydney, Australia (2013). Invited speaker.
    Paper: The Risk Interpretation of the CAPM’s Beta: Evidence from a New Research Method
    Author: Bilinski P
    Co-authors: Danielle Lyssimachou
  28. Invited Seminar Speaker. (Seminar) EGP-University of Porto Business School, Portugal (2012). Invited speaker.
    Paper: Target Price Accuracy: International Evidence
    Author: Bilinski P
    Co-authors: Lyssimachou, D., and Walker, M.
  29. Internal seminar. (Seminar) Manchester Business School, UK (2012). Invited speaker.
    Paper: Target Price Accuracy: International Evidence
    Author: Bilinski P
    Co-authors: Lyssimachou, D., and Walker, M.
  30. 6th MBS/LSE Conference (UK). (Conference) Manchester (2012). Invited speaker.
    Paper: Target Price Accuracy: International Evidence
    Author: Bilinski P
    Co-authors: Lyssimachou, D., and Walker, M.
  31. 35th Annual Congress of the European Accounting Association. (Conference) Ljubljana, Slovenia (2012). Invited speaker.
    Paper: Earnings quality and the joint issuance of analyst earnings and revenue forecasts
    Author: Bilinski P
  32. Internal seminar. (Seminar) Lancaster University Management School, UK (2011). Invited speaker.
    Paper: Managers’ Private Information, Investor Underreaction and Long-Run SEO Performance
    Author: Bilinski P
    Co-authors: Strong, N.
  33. Internal seminar. (Seminar) School of Business, Economics and Law, University of Gothenburg (2011). Invited speaker.
    Paper: Managers’ Private Information, Investor Underreaction and Long-Run SEO Performance
    Author: Bilinski P
    Co-authors: Strong, N
  34. Financial Management Association. (Conference) (2011). Invited speaker.
    Paper: Managers’ Private Information, Investor Underreaction and Long-Run SEO Performance
    Author: Bilinski P
    Co-authors: Strong, N.
  35. Financial Management Association European Conference. (Conference) (2011). Invited speaker.
    Paper: Managers’ Private Information, Investor Underreaction and Long-Run SEO Performance
    Author: Bilinski P
    Co-authors: Strong, N.
  36. 34th Annual Congress of the European Accounting Association. (Conference) (2011). Invited speaker.
    Paper: Target Price Accuracy: International Evidence
    Author: Bilinski P
    Co-authors: Lyssimachou, D., and Walker, M.
  37. Midwest Finance Association Conference. (Conference) (2010). Invited speaker.
    Paper: Does Liquidity Risk Explain Low Firm Performance Following Seasoned Equity Offerings?
    Author: Bilinski P
    Co-authors: Liu, W., and Strong, N.
  38. Eastern Finance Association Conference. (Conference) (2010). Invited speaker.
    Paper: Does Liquidity Risk Explain Low Firm Performance Following Seasoned Equity Offerings?
    Author: Bilinski P
    Co-authors: Liu, W., and Strong, N
  39. XVII Finance Forum of the Spanish Finance Association. (Conference) (2009). Invited speaker.
    Paper: Does Liquidity Risk Explain Low Firm Performance Following Seasoned Equity Offerings?
    Author: Bilinski P
    Co-authors: Liu, W., and Strong, N
  40. Financial Management Association European Conference. (Conference) (2008). Invited speaker.
    Paper: Does Liquidity Risk Explain Low Firm Performance Following Seasoned Equity Offerings?
    Author: Bilinski P
    Co-authors: Liu, W., and Strong, N.
  41. European Financial Management Association Conference. (Conference) (2008). Invited speaker.
    Paper: Does Liquidity Risk Explain Low Firm Performance Following Seasoned Equity Offerings?
    Author: Bilinski P
    Co-authors: Liu, W., and Strong, N.
  42. Invited Speaker, Alliance Manchester Business School, University of Manchester. (Seminar) Alliance Manchester Business School, University of Manchester. Invited speaker.
  43. Invited Speaker, School of Economics, Finance and Management, University of Bristol. University of Bristol Invited speaker.

Media appearances (15)

  1. Distortions in analyst forecasts in the presence of short-term investors. (2019) Distortions in analyst forecasts in the presence of short-term investors (website).
  2. IR papers: Future is bright for corporate Twitter jockeys. (2019) IR papers: Future is bright for corporate Twitter jockeys (magazine).
  3. FTI Digital’s 2019 A Social Divide In The City: Mining For Impact. (2019) FTI Social Divide (magazine).
  4. Social Media and Corporate Communications. (2019) jdsupra (magazine).
  5. Social Media And Corporate Communications. (2019) LexBlog (website).
  6. How Investors React to Corporate Communications on Twitter, YouTube, and Instagram. (2019) Columbia Law School Blue Sky Blog (website).
  7. Augen auf bei der Karriereplanung: Sünden-Branchen mit hohen Gehältern und sozialer Stigmatisierung. (2018) UPJ (website).
  8. Controversial industries pay higher salaries. (2018) WirtschaftsWoche (newspaper).
  9. CASS BUSINESS SCHOOL CONFERENCE AIMS TO EXPLORE FUTURE OF CORPORATE COMMUNICATIONS. (2017) CASS BUSINESS SCHOOL CONFERENCE AIMS TO EXPLORE FUTURE OF CORPORATE COMMUNICATIONS (website).
  10. "The world's biggest accounting scandals". (2015) The Guardian (newspaper).
  11. "Un dirigeant gagne-t-il mieux sa vie dans l'industrie du péché?" (2015) Jeune Dirigeant.
  12. "Image mies, Bezahlung grandios". (2015) Spiegel (magazine).
  13. "Je größer der Schaden, desto höher das Gehalt". (2015) Manager Magazin.
  14. (2015) "Industries of vice": why their leaders are better paid (magazine).
  15. "Aim expands on a flurry of activity after members hit 1,100". (2014) The Financial Times (newspaper).