Sergey Chernenko
Associate Professor of Management
Finance
Education
Ph.D., Business Economics, Harvard University, 2010
A.M., Economics, Harvard University, 2008
BSBA, Finance, Washington University in St. Louis, 2003
Journal Articles
- Chernenko, S., Lerner, J., & Zeng, Y. (2021). "Mutual Funds as Venture Capitalists? Evidence from Unicorns." Review of Financial Studies vol. 34 (5), 2362–2410. | Related Website |
- Chernenko, S. & Sunderam, A. (2019). "Do Fire Sales Create Externalities?" Journal of Financial Economics | Related Website |
- Chernenko, S. (2017). "The Front Men of Wall Street: The Role of CDO Collateral Managers in the CDO Boom and Bust." Journal of Finance vol. 72 (5), 1893–1936. | Related Website |
- Chernenko, S., Hanson, S. G., & Sunderam, A. (2016). "Who Neglects Risk? Investor Experience and the Credit Boom." Journal of Financial Economics vol. 122 (2), 248–269. | Related Website |
- Chernenko, S. & Sunderam, A. (2014). "Frictions in Shadow Banking: Evidence from the Lending Behavior of Money Market Mutual Funds." Review of Financial Studies vol. 27 (6), 1717–1750. | Related Website |
- Chernenko, S., Foley, C. F., & Greenwood, R. (2012). "Agency Costs, Mispricing, and Ownership Structure." Financial Management vol. 41 885-914. | Related Website |
- Chernenko, S. & Sunderam, A. (2012). "The Real Consequences of Market Segmentation." Review of Financial Studies vol. 25 (7), 2041–2070. | Related Website |
- Chernenko, S. & Faulkender, M. (2011). "The Two Sides of Derivatives Usage: Hedging and Speculating with Interest Rate Swaps." The Two Sides of Derivatives Usage: Hedging and Speculating with Interest Rate Swaps vol. 46 (6), 1727-1754. | Related Website |
- Berger, D., Chaboud, A. P., Chernenko, S., Howorka, E., & Wright, J. H. (2008). "Order Flow and Exchange Rate Dynamics in Electronic Brokerage System Data." Journal of International Economics vol. 75 (1), 93-109. | Related Website |
Conference Proceedings
- Chaboud, A. P., Chernenko, S., & Wright, J. H. (2008). "Trading Activity and Macroeconomic An- nouncements in High-Frequency Exchange Rate Data." Journal of the European Economic Association Proceedings of the Twenty-Second Annual Congress of the European Economic Association. vol. 6 (2/3), 589–596. | Related Website |
Working Papers
- Chernenko, S., and Doan, V. (2021). "Forced Sales and Dealer Choice in OTC Markets." | Related Website |
- Chernenko, S., Erel, I., & Prilmeier, R. (2020). "Why Do Firms Borrow Directly from Nonbanks?" | Related Website |
- Chernenko, S. & Sunderam, A. (2020). "Measuring the Perceived Liquidity of the Corporate Bond Market." | Related Website |
- Chernenko, S. & Sunderam, A. (2016). "Liquidity Transformation in Asset Management: Evidence from the Cash Holdings of Mutual Funds." | Related Website |
- Chernenko, S., Hanson, S. G., & Sunderam, A. (2014). "The Rise and Fall of Demand for Securitization." NBER Working Paper 20777 | Related Website |
- Chernenko, S. & A. Sunderam (2010). "Arbitrage Capital and Real Investment."
- Chaboud, A. P. & S. Chernenko & E. Howorka & R. S. Krishnasami Iyer & D. Liu & J. H. Wright (2004). "The High-Frequency Effects of U.S. Macroeconomic Data Releases on Prices and Trading Activity in the Global Interdealer Foreign Exchange Market."
Incentives for Reckless Investing? How CDO managers contributed to the 2007-09 financial crisis
Collateralized debt obligations (CDOs) and other structured products played a significant role in the credit boom of the early 2000s and the ensuing financial crisis of 2007 to 2009. Contributing to the economic disaster were the actions of a number of CDO collateral managers, who packed their products with inferior components: risky portions of private-label residential mortgage-backed securities. Research by Sergey Chernenko, associate professor in Purdue’s Krannert School of Management, shows why these collateral managers were willing to risk their reputations and select low-quality investments.
Liquidity in the corporate bond market
Cash In or Cash Out? Krannert's Sergey Chernenko discusses liquidity in the corporate bond market
Purdue Finance Expert Assesses SEC Open-End Fund Proposal
Sergey Chernenko presented his paper on flow-induced trading at the July Municipal Finance Conference at Brookings.
Full story: Purdue Finance Expert Assesses SEC Open-End Fund Proposal