1. Firm financials Measures derived from firms' financial reports serve as control variables -and sometimes as variables of interest -in a broad range of studies. A typical finding is that firm size is positively related to synchronicity;; Gong;However, a substantial number of studies find the same for stock illiquidity,2007
2. The positive relationship may be a statistical artefact caused by aggregation of many economic units in larger firms and thus thinner tails of stock returns. Synchronicity further increases with firm age;Hutton;Zhai et al., 2021), while findings of a negative relationship are much less common,2004