Our work differs from that of Brauer and Chang by employing the methodology and decile portfolios used by CLST.
Section I briefly reviews the LST and CKM studies and elaborates on several empirical issues raised in the debate between CKM and CLST.
94) igniting the debate between CKM and CLST examine the strength of the relationship between changes in closed-end fund discounts and the returns on small firms.
Our analysis reports empirical results employing the CLST methodology of whitening both returns on the closed-end funds and the decile portfolios.
In contrast to the LST, CLST and CKM studies, our analysis spans 354 months beginning with the month of July, 1965.
Therefore, the test sample and associated empirical results include the same 3 closed-end funds that invest in foreign securities found in the LST and CLST samples.
I urge shareholders to read the letter which I sent to CLST
today as it sets the record straight," said David Sandberg, Managing Partner of Red Oak Partners, LLC.