Do Institutional Investors Stabilize Equity Markets in Crisis Periods? Evidence from COVID-19

The authors thank the editor (Lukas Schmid), an anonymous associate editor, and two anonymous referees for excellent comments and Vikas Agarwal, Fernando Avalos (discussant), Marie Brière, Antonio Falato (discussant), Kristy Jansen, Albert Menkveld, Jim Naughton, Raman Uppal, Sugata Ray, Arthur Romec, Richard Sias, Johan Sulaeman, William Johnson (discussant), Michela Verardo (discussant), Kazuo Yamada, and Richard J. Zeckhauser, as well as conference and seminar participants at the Financial Management Association Annual Meeting, Florida State University Suntrust Conference, Midwest Finance Association Conference, the Bank of England’s Workshop on Procyclicality, the Bank of Italy’s Workshop on Long-term Investors, Atlanta Fed, Massey University, University of St. Gallen, University of Virginia Darden School of Business, and the London School of Economics’ Systemic Risk Center, for insightful comments. The authors declare that they have no relevant or material financial interests that relate to the research described in this paper. The analysis and conclusions contained in this paper are those of the authors and do not necessarily reflect the views of the Board of Governors of the Federal Reserve System, its members, or its staff.