Prof. Yan Xiong is HKU Business School’s Associate Professor of Accounting & Law and Finance. Originally from Yunnan, China, her academic journey was significantly influenced by her experience during her Master’s programme, inspiring her to pursue a PhD and a career in academia. Her research focuses on the complex relationships between information, data, and financial markets, and addresses critical questions about the impact of big data on companies, investors, and policymakers.

Prof. Xiong’s research delves into the transformative role of big data and advanced technologies in financial markets, examining their impact on investment decisions, corporate strategies, and regulatory frameworks. She explores how emerging data technologies shape information flow, trading behaviours, and the broader financial landscape, and how these influence financing and disclosure choices. A key aspect of her work investigates investors’ motivations for sharing information, offering insights into how these exchanges affect market dynamics and the policymaking strategies aimed at enhancing social welfare.

In today’s world, investors exchange ideas in social media outlets such as on X (formerly called Twitter), Seeking Alpha, Stock-Twits, Reddit, or in private Internet communities such as SumZero and Value InvestorsClub. Such exchange is believed to be an important contributor to day-to-day or hour-to-hour stock-market fluctuations.

In one of her projects, Prof. Xiong focused on information sharing in financial markets and the motivations behind investors’ information-sharing activities. Her research sheds light on the surprising observation that much of the information shared in these markets comes from traders who are not especially advanced, and it explores the implications of this information-sharing trend.

Her research has also focused on the economic consequences of managerial compensation contract disclosure, mandated by the SEC since 2006. Her work showed that while intended to protect investors, the public nature of these disclosures can lead to unintended consequences. For example, the disclosure mandate not only makes compensation contracts observable to investors, who are the SEC’s intended audience, but also to competitors who can incorporate this information into their own competitive strategies. As a result, firms may be incentivised to promote a short-term managerial focus in order to adopt a more aggressive stance in the product market.

As for her teaching style, she begins with the fundamentals of corporate finance and gradually guides students toward real-world applications. She weaves numerous practical examples to engage students and connect concepts to reality, while also challenging them to deepen their critical thinking skills. Her goal is to give students a framework that helps them navigate the complexities of the corporate finance world, providing them with a valuable guide for problem-solving.

Prof. Xiong advises students facing challenges in their academic journey to remember that research is a lengthy process that requires persistence and dedication, and to seek help when needed.

Living and working in Hong Kong gives her a unique and exciting environment to call home. She appreciates Hong Kong’s rich blend of a global city and the local culture, as well as abundant business opportunities. Hong Kong is also the ideal place to balance her career and family.

Beyond her role as a professor and researcher, she is an Associate Editor on the Journal of Financial Markets. To unwind, Prof. Xiong enjoys playing badminton and hiking across Hong Kong’s incredible trails. She enjoys swimming, running, as well as diving into Hong Kong’s, China’s, and world history.