Firm Age? 
Posted: 14 May 2014 04:47 AM   [ Ignore ]
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Hi,

I’m looking for the name/code of a variable (CRSP/COMPUSTAT) which can give me the firms’ ages (when it first registered on Compustat/CRSP) for the entire compustat/CRSP database.
Do these codes/variables exist? I tried looking at the IPO date, but gave me an insufficient amount of results.

Thank you for helping me out!

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Posted: 15 May 2014 06:05 AM   [ Ignore ]   [ # 1 ]
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hi,

You can use the start date in CRSP stocknames:

/*  Firm age: firmage */
/* append st_date (start date) from crsp stocknames to 'getAge' dataset (needs to have permno and datadate) */
proc sql;
 
create table withAge as select distinct a.*, b.st_dateb.end_date from getAge a left join crsp.stocknames b on 
 a
.permno b.permno and b.st_date <= a.datadate <= b.end_date;
quit;

/* compute firm age */
data withAge  (drop st_date end_date);
set withAge;
firmage=yrdif(st_datedatadate'ACT/ACT');
run

best regards,

Joost

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Posted: 27 May 2014 06:04 PM   [ Ignore ]   [ # 2 ]
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I’m facing a similar challenge.  I’m working on a replication of the Stubben 2010 paper and, per the paper, “Firm age is the number of years since the firm’s initial appearance in Compustat annual file with non-missing financial information.”  I’m required to use SAS and am pretty new to it, but have spent quite a bit of time searching and can’t find a solution.  Any tips?

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Posted: 27 May 2014 07:01 PM   [ Ignore ]   [ # 3 ]
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hi,

How about using the ‘Names’ dataset from Compustat: http://wrds-web.wharton.upenn.edu/wrds/tools/variable.cfm?library_id=129&file_id=65815

It holds a variable ‘year1’ (First Fiscal Year of Available Accounting Data).

By the way, Compustat has data on the firm typically 2-3 years before the IPO. (This data is taken from the prospectus).

Hope this helps,

Joost

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