Student or educator? Sign up with your school email and get 6 months of Pro free.
CoChat
Sign Up
Cited by 351

The DOI matches its Crossref record; 75 of the 75 references it cites were found in a registry or an index.

Precautionary Savings with Risky Assets: When Cash Is Not Cash

Open access
DUCHIN, RAN, GILBERT, THOMAS, HARFORD, JARRAD, HRDLICKA, CHRISTOPHER·2017·The Journal of Finance
DOI 10.1111/jofi.12490
Open this paper in CoChat — free account

Abstract

U.S. industrial firms invest heavily in noncash, risky financial assets such as corporate debt, equity, and mortgage‐backed securities. Risky assets represent 40% of firms’ financial portfolios, or 6% of total book assets. We present a formal model to assess the optimality of this behavior. Consistent with the model, risky assets are concentrated in financially unconstrained firms holding large financial portfolios, are held by poorly governed firms, and are discounted by 13% to 22% compared to safe assets. We conclude that this activity represents an unregulated asset management industry of more than $1.5 trillion, questioning the traditional boundaries of nonfinancial firms.

Overview

The claims and statistics of this paper haven’t been checked yet.

Run the check — free, no account needed. It reads the open-access text and checks the sources it cites.

A few free checks a day · papers already verified open instantly · results are public

Integrity signals

Registry

Crossref · 10.1111/jofi.12490

Cites

75 of 75 references verified0 citation errors · 0 not checkable

Statistics

Verification

Claims the paper makes

The claims and statistics of this paper haven’t been checked yet.

Run the check — free, no account needed. It reads the open-access text and checks the sources it cites.

A few free checks a day · papers already verified open instantly · results are public

Self-check

Percentages, sums and reported differences re-computed from the paper’s own numbers.

The self-check needs the paper’s full text.

Citations

Cites

Show all 75 references

Cited by

See all 351

Metadata

Authors
DUCHIN, R., GILBERT, T., HARFORD, J., & HRDLICKA, C.
Venue
The Journal of Finance
Publisher
Wiley
Published
2017-03-21
Volume
72
Issue
2
Pages
793-852
ISSN
  • 0022-1082 (ISSN-L)
  • 1540-6261
DOI
10.1111/jofi.12490
OpenAlex
W2602498544
Cited by
351
References
75
FWCI
49.99
Type
journal article
Language
en
Open access
green

About these checks

Registry, retraction, Cites and statistics results are computed, not judged, with one exception: a printed reference that no index lists is read once by a model before it counts as a citation error. Claims are extracted by a model and kept only when their quote appears verbatim in the text; each cited source is then checked, with a model’s help, for whether it says what the claim relies on. Those verdicts can be wrong — read the claim’s quote and the cited source before relying on one.

Statistics and arithmetic are recomputed, not judged.

Confidence bands are shown only for fields calibrated on our annotated test set. None is calibrated yet, so no band is shown.

What counts as a claim ›How we measure confidence ›How we check this ›

Are you an author, or do you see a problem with this page? Request a review

How to cite

Cite CoChat for the checks on this page, and the paper for its own findings.

This page
CoChat. (2026). Citation check: Precautionary Savings with Risky Assets: When Cash Is Not Cash. https://app.cochat.ai/papers/10.1111/jofi.12490
The paper
DUCHIN, R., GILBERT, T., HARFORD, J., & HRDLICKA, C. (2017). Precautionary Savings with Risky Assets: When Cash Is Not Cash. The Journal of Finance. https://doi.org/10.1111/jofi.12490

Data sources

Bibliographic data: Semantic Scholar, OpenAlex, Crossref.

Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).

Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.