Dr Lyungmae Choi

Lecturer

Newcastle Business School

Email:lyungmae.choi@newcastle.edu.au
Phone:0240551005

Career Summary

Biography

Dr Choi joined the University of Newcastle as a Lecturer in Finance in 2024. Previously, she served as an Assistant Professor at City University of Hong Kong and worked as a Visiting Scholar at the University of Sydney. Her research focuses on capital markets, particularly in social networks, insider trading, and mergers and acquisitions.

She received her Ph.D. from Arizona State University and has four years of industry experience from working in commercial banking in Korea prior to beginning her doctoral studies.

Qualifications

DOCTOR OF PHILOSOPHY - BUSINESS ADMINISTRATION, Arizona State University - USA

Keywords

Capital market research
Insider trading
Mergers and Acquisitions
Social networks

Languages

Korean (Mother)
English (Fluent)

Fields of Research

Code	Description	Percentage
350202	Finance	50
350103	Financial accounting	50

Professional Experience

UON Appointment

Title	Organisation / Department
Lecturer	University of Newcastle Newcastle Business School Australia

Academic appointment

Dates	Title	Organisation / Department
1/8/2023 - 31/7/2024	Visiting Scholar	The University of Sydney Business School Australia
17/7/2017 - 31/8/2023	Assistant Professor	City University of Hong Kong Accounting Hong Kong

Edit

Publications

For publications that are currently unpublished or in-press, details are shown in italics.

Journal article (4 outputs)

Year

Citation

Altmetrics

Link

2025

Cho D, Choi L, Hertzel M, Wang JJ, 'It’s Not Who You Know—It’s Who Knows You: Employee Social Capital and Firm Performance', Management Science

DOI	10.1287/mnsc.2023.01179

2025

Choi L, Faurel L, Hillegeist S, 'Do Proprietary Costs Deter Insider Trading?', Management Science, 71, 3185-3215 (2025) [C1]

DOI	10.1287/mnsc.2021.02469

2024

Cho DK, Choi L, 'Shadow union in local labor markets and corporate financing policies', Journal of Corporate Finance, 89 (2024) [C1]

DOI	10.1016/j.jcorpfin.2024.102644

2023

Choi L, Faurel L, Hillegeist SA, 'Insider trading, future earnings, and post-earnings announcement drift', JOURNAL OF ACCOUNTING AND PUBLIC POLICY, 42 [C1]

This paper examines the association between insider trading prior to quarterly earnings announcements and the magnitude of the post-earnings announcement drift (PEAD). ... [more]

This paper examines the association between insider trading prior to quarterly earnings announcements and the magnitude of the post-earnings announcement drift (PEAD). We conjecture and find that insider trades reflect insiders' private information about the persistence of earnings news. Thus, insider trades can help investors better understand and incorporate the time-series properties of quarterly earnings into stock prices in a timely and unbiased manner, thereby mitigating PEAD. As predicted, PEAD is significantly lower when earnings announcements are preceded by insider trading. The reduction in PEAD is driven by contradictory insider trades (i.e., net buys before large negative earnings news or net sells before large positive earnings news) and is more pronounced in the presence of more sophisticated market participants. Consistent with investors extracting and trading on insiders' private information, pre-announcement insider trading is associated with smaller market reactions to future earnings news in each of the four subsequent quarters. Overall, our findings indicate insider trading contributes to stock price efficiency by conveying insiders' private information about future earnings and especially the persistence of earnings news.