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Articles 1 - 8 of 8
Full-Text Articles in Business
An Examination Of The Statistical Significance And Economic Relevance Of Profitability And Earnings Forecasts From Models And Analysts, Mark E. Evans, Kenneth Njoroge, Keng Kevin Ow Yong
An Examination Of The Statistical Significance And Economic Relevance Of Profitability And Earnings Forecasts From Models And Analysts, Mark E. Evans, Kenneth Njoroge, Keng Kevin Ow Yong
Research Collection School of Accountancy
In this paper, we propose and empirically test a cross-sectional profitability forecasting model which incorporates two major improvements relative to extant models. First, in terms of model construction, we incorporate mean reversion through the use of a two-stage partial adjustment model and inclusion of a number of additional relevant determinants of profitability. Second, in terms of model estimation, we employ least absolute deviation (LAD) analysis instead of ordinary least squares (OLS) because the former approach is able to better accommodate outliers. Results reveal that forecasts from our model are more accurate than three extant models at every forecast horizon considered …
Regulatory Pressure And Income Smoothing By Banks In Response To Anticipated Changes To The Basel Ii Accord, Chu Yeong Lim, Kevin Ow Yong
Regulatory Pressure And Income Smoothing By Banks In Response To Anticipated Changes To The Basel Ii Accord, Chu Yeong Lim, Kevin Ow Yong
Research Collection School of Accountancy
We examine the effects of the revised Basel II rules on bank managers’ discretionary behavior, specifically income smoothing and loan loss provisioning. As the revised rules exert greater regulatory pressure on corporate than retail banking, we predict corporate bank managers to reduce risk-taking activities or increase income smoothing. Analysis of segmental reports reveals greater (less) income smoothing in the corporate banking segments of low-capital (high-capital) banks during the Basel II period, with their managers recognizing loan loss provisions in a less timely fashion. We find no such effects for retail banking. Although we document an initially negative market reaction to …
The Paradoxes Of Risk Management In The Banking Sector, Chu Yeong Lim, Margaret Woods, Christopher Humphrey, Jean Lin Seow
The Paradoxes Of Risk Management In The Banking Sector, Chu Yeong Lim, Margaret Woods, Christopher Humphrey, Jean Lin Seow
Research Collection School of Accountancy
This paper uses empirical evidence to examine the operational dynamics and paradoxical nature of risk management systems in the banking sector. It demonstrates how a core paradox of market versus regulatory demands and an accompanying variety of performance, learning and belonging paradoxes underlie evident tensions in the interaction between front and back office staff in banks. Organisational responses to such paradoxes are found to range from passive to proactive, reflecting differing organisational, departmental and individual risk culture(s), and performance management systems. Nonetheless, a common feature of regulatory initiatives designed to secure a more structurally independent risk management function is that …
Segment Disclosure Transparency And Internal Capital Market Efficiency: Evidence From Sfas No. 131, Young Jun Cho
Segment Disclosure Transparency And Internal Capital Market Efficiency: Evidence From Sfas No. 131, Young Jun Cho
Research Collection School of Accountancy
Using the adoption of SFAS 131, I examine the effect of segment disclosure transparency on internal capital market efficiency. SFAS 131 requires firms to define segments as internally viewed by managers, thereby improving the transparency of managerial actions in internal capital allocation. I find that diversified firms that improved segment disclosure transparency by changing segment definitions upon adoption of SFAS 131 experienced an improvement in capital allocation efficiency in internal capital markets after the adoption of SFAS 131. In addition, I find that the improvement in internal capital market efficiency was greater for firms that suffered more severe agency problems …
The Power Of Technology In Cre Data And Analytics, Clarence Goh
The Power Of Technology In Cre Data And Analytics, Clarence Goh
Research Collection School of Accountancy
Many companies are using data to drive competitiveadvantage. Across industries, there is rapidly growingappreciation that data-driven insights can substantiallyimprove decision making across a wide range of businessfunctions, and corporate real estate (CRE) is no exception.
Singapore Budget 2015: Building Our Future, Strengthening Social Security, Clarence Goh, Felix Wong
Singapore Budget 2015: Building Our Future, Strengthening Social Security, Clarence Goh, Felix Wong
Research Collection School of Accountancy
Our Budget for FY2014 is expected to record a slightly smallerdeficit than what we had estimated a year ago. We had budgetedfor an overall deficit of $1.2 billion (or 0.3% of GDP). We nowexpect a very small deficit of $0.1 billion, close to a balancedposition.
Isca Pre-Budget Survey 2015, Clarence Goh
Isca Pre-Budget Survey 2015, Clarence Goh
Research Collection School of Accountancy
The Institute of Singapore Chartered Accountants (ISCA) is the national accountancy body ofSingapore. ISCA’s vision is to be a globally recognised professional accountancy body, bringing valueto our members, the profession and wider community.
Tunneling Through Intercorporate Loans: The China Experience, Guohua Jiang, Charles M. C. Lee, Heng Yue
Tunneling Through Intercorporate Loans: The China Experience, Guohua Jiang, Charles M. C. Lee, Heng Yue
Research Collection School of Accountancy
This study investigates a particularly brazen form of corporate abuse, in which controlling shareholders use intercorporate loans to siphon billions of RMB from hundreds of Chinese listed companies during the 1996 to 2006 period. We document the nature and extent of these transactions, evaluate their economic consequences, examine factors that affect their cross-sectional severity, and report on the mitigating roles of auditors, institutional investors, and regulators. Collectively, our findings shed light on the severity of the minority shareholder expropriation problem in China, as well as the relative efficacy of various legal and extra-legal governance mechanisms in that country.