Nasdaq Economic Advisory Board Adds Three New Members

New York, N.Y—The Nasdaq Stock Market, Inc., today announced that its Economic Advisory Board (EAB) has appointed three new members: Professors Robert H. Jennings of Indiana University, Kenneth A. Kavajecz of the Wharton School of the University of Pennsylvania, and Bruce N. Lehmann of the University of California at San Diego.

The primary goal of the EAB is to discuss and communicate specific policy recommendations to The Nasdaq Stock Market^®. The EAB meets formally twice a year-in October and March-and provides a forum for discussion of important issues relating to equity markets, the exchange of research ideas, and access to market data.

This year's new members bring with them a vast knowledge of how financial markets function, as reflected in their biographies:

Robert H. Jennings is the Gregg T. and Judith A. Summerville Professor of Finance in the Kelley School of Business at Indiana University. Jennings has been on the faculty of Indiana University since the fall of 1980 and served as finance department chair from 1996-2000. Professor Jennings also was the Visiting Economist at the New York Stock Exchange for the 2000-01 academic year and was a Visiting Associate Professor of Finance in 1992 at the University of Chicago. He currently is Associate Editor of the Journal of Financial Markets and the Journal of Financial Research. Professor Jennings' current research interest is the structure of financial security markets. His research has been published in the Journal of Finance, the Review of Financial Studies, the Journal of Financial and Quantitative Analysis, the Journal of Financial Markets, the Journal of Financial Intermediation, the Journal of Financial Services Research, Financial Management, the Journal of Financial Research, the Journal of Business, the Journal of Futures Markets, the Journal of Accounting Research, and the Accounting Review. He also has had a monograph published by the Financial Analysts' Research Foundation.

Professor Jennings received his Ph.D. in Business from the University of Texas-Austin in 1981. He also received a BS/BA and MBA from the University of Tulsa in 1973 and 1974, respectively.

Kenneth A. Kavajecz is an assistant professor of finance at the Wharton School of the University of Pennsylvania. His research interests lie in the microstructure of financial markets, with a focus on the liquidity of markets. Representative publications include "A Specialist's Quoted Depth and the Limit Order Book" published in the Journal of Finance, "Eighths, Sixteenths and Market Depth: Changes in Tick Size and Liquidity Provision on the NYSE" published in the Journal of Financial Economics, and "An Examination of Specialists' Posted Price Schedules" published in the Review of Financial Studies. His academic awards include the 2000 Financial Management Association best microstructure paper for "Liquidity Provision during Circuit Breakers and Extreme Market Movements," as well as the David W. Hauck Award for Outstanding Teaching in the undergraduate division at the Wharton School, in 1998, and the Doctoral Teaching Award at Northwestern University in 1996. Professor Kavajecz holds a bachelors degree in economics from the University of Wisconsin-Madison and a doctorate in finance from the Kellogg School of Management at Northwestern University.

Bruce N. Lehmann is Professor of Economics and Finance at the Graduate School of International Relations and Pacific Studies (IR/PS), University of California at San Diego. He is a specialist in financial economics, with expertise in the pricing of capital assets, their volatility, and the markets in which they trade. His main research interests include empirical tests of asset-pricing models, the analysis of short-run stock price fluctuations, and the microstructure of securities markets, with recent emphasis on the behavior of Japanese financial markets. Lehmann is the author of numerous articles in leading scholarly journals, including the Journal of Finance; the Journal of Financial Economics; the Macroeconomic Dynamics; the Quarterly Journal of Economics; and the Journal of Econometrics. He is also the author of the entry "Empirical Testing of Asset Pricing Models" in the New Palgrave Dictionary of Money and Finance. Lehmann is founding co-editor of the Journal of Financial Markets and has served as associate editor of the Review of Financial Studies and the Review of Quantitative Finance and Accounting. He has served as a director of the Western Finance Association, a member of the Scientific Advisory Board of Investment Technology Group, Inc., and on the boards of directors of First Boston Investment Funds, Inc., and of BEA Associates, Inc. Professor Lehmann has earned many honors and distinctions: he was appointed Batterymarch Fellow, the most prestigious award given to scholars in finance; an Olin Fellow at the National Bureau of Economic Research; and a National Fellow at the Hoover Institution on War, Revolution and Peace at Stanford University.

Prior to joining IR/PS in 1992, Professor Lehmann taught at Columbia University. Professor Lehmann received his Ph.D. in Economics from the University of Chicago in 1983. He received an MA in Economics from the University of Chicago in 1979 and an AB in Economics and History from Washington University.

The new members join a distinguished group of EAB financial economists that include: Michael J. Barclay, University of Rochester; William G. Christie, Vanderbilt University; John C. Coffee, Jr., Columbia University; Mike Ferri, George Mason University; Erik R. Sirri, Babson College; and Chester S. Spatt (Chairman of the EAB), Carnegie Mellon University.

The Nasdaq Stock Market lists more than 4,100 companies and trades more shares per day than any other U.S. market. For more information about Nasdaq, visit the Nasdaq Web site at www.nasdaq.com or the Nasdaq Newsroom^SM at www.nasdaq.com/newsroom.