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Xiaoyan Zhang

Xiaoyan Zhang

Professor and Duke Realty Chair in Finance


Xiaoyan Zhang is the Duke Realty Chair Professor of Finance with tenure at the Krannert School of Management, Purdue University. Prior to joining the Krannert faculty, Professor Zhang was Assistant Professor of Finance at the Johnson School of Management at Cornell University (2002-2010). She received her Ph.D. in Finance (with honor) from Columbia Business School in 2002 and B.A. in Economics from Beijing University in 1997.

Professor Zhang enjoys teaching and offers courses on financial derivatives and risk management for undergraduate, MBA, Master of Finance and financial engineering programs. She was nominated/awarded for various teaching awards for many times at both Cornell University and Purdue University. In 2014, Professor Zhang was named one of the "Top 40 under 40" Business School professors in the world.  

Professor Zhang's research focuses on international finance, empirical asset pricing and applied econometrics. Her work has appeared in the Journal of Finance, the Journal of Financial Economics, the Review of Financial Studies, the Journal of Financial and Quantitative Analysis and other leading finance journals. Her article, "The Cross-Section of Volatility and Expected Returns" (with Andrew Ang, Robert Hodrick, and Yuhang Xing), was announced one of the top 10 cited papers published in Journal of Finance since 2000. Her article, "Which Shorts Are Informed", (with Ekkehart Boehmer and Charles Jones), won the BSI Gamma Foundation Award (2005). Professor Zhang has won Best Paper Award at the 16th Mitsui Finance Symposium (2009) at the University of Michigan. Her research on international finance and asset management has received awards from the European Central Bank and the Q Group Research Fund.

Professor Zhang is an associate editor at Management Science. She is also a member of the American Finance Association and the Western Finance Association. She is a referee for Journal of Finance, Journal of Financial Economics, Review of Financial Studies, American Economic Review, Journal of Financial and Quantitative Analysis and other academic journals.

Forthcoming Publications

  • Li H., Y. Xu and X. Zhang No-Arbitrage Restriction and Hedge Fund Performance Evaluation. Journal of Financial and Quantitative Analysis,

Journal Articles

  • Sibley, S., Y. Wang, Y. Xing and X. Zhang (2016). The Information Content of The Sentiment Index. Journal of Banking and Finance, vol. 62 164-179.
  • Boehmer, E., C. Jones and X. Zhang (2013). Shackling Short Sellers: The 2008 Shorting Ban. Review of Financial Studies, vol. 26 1363-1400.
  • Wang, Z. & X. Zhang (2012). Empirical Evaluation of Pricing Models: Arbitrage and Pricing Errors on Contingent Claims. Journal of Empirical Finance, vol. 19 65-78.
  • Bekaert, B., R. Hodrick & X. Zhang (2012). Aggregate Idiosyncratic Volatility. Journal of Financial and Quantitative Analysis, vol. 47 1155-1185.
  • Li, H., Y. Xu & X. Zhang (2010). Investing In Talents: Manager Characteristics and Hedge Fund Performances. Journal of Financial and Quantitative Analysis, vol. 46 59-82.
  • Xing, Y., X. Zhang & R. Zhao (2010). What Does Individual Option Volatility Smirk Tell Us About Future Equity Returns?. Journal of Financial and Quantitative Analysis, vol. 45 641-662.
  • Li, H., Y. Xu & X. Zhang (2010). Evaluating Asset Pricing Models Using the Second Hansen-Jagannathan Distance. Journal of Financial Economics, vol. 97 279-301.
  • Ang, A., R. Hodrick, Y. Xing & X. Zhang (2009). High Idiosyncratic Volatility and Low Returns: International and Further U.S. Evidence. Journal of Financial Economics, vol. 91 1-23.
  • Bekaert, G., R. Hodrick & X. Zhang (2009). International Stock Return Comovements. Journal of Finance, vol. 64 2591-2626.
  • Boehmer, E., C. Jones & X. Zhang (2008). Which Shorts Are Informed?. Journal of Finance, vol. 63 491-527.
  • Zhang, X. (2006). Specification Tests of International Asset Pricing Models. Journal of International Money and Finance, vol. 25 275-307.
  • Ang, A., R. Hodrick, Y. Xing & X. Zhang (2006). The Cross-Section of Volatility and Expected Returns. Journal of Finance, vol. 61 259-299.
  • Hodrick, R. & X. Zhang (2001). Evaluating the Specification Errors of Asset Pricing Models. Journal of Financial Economics, vol. 62 327-376.
  • Hedging Bets

    Ideally, hedge fund managers would maximize returns for their investors. In practice, however, portfolio managers are likely to take excessive levels of risk to boost their own paycheck, indicates new research from Chengdong Yin and Xiaoyan Zhang from Purdue University’s Krannert School of Management.

    Full story: Hedging Bets

Phone: (765) 49-67674
Office: KRAN 489

Quick links

Personal website

Area(s) of Expertise

investment derivatives shortselling