Is The Provision Of More Timely Earnings Information Good For The Chinese Stock Market? : Evidence From Investor Reactions To Management Earnings Forecasts,
2012
Lingnan University
Is The Provision Of More Timely Earnings Information Good For The Chinese Stock Market? : Evidence From Investor Reactions To Management Earnings Forecasts, Shunan Zhao
Lingnan Theses
Since 2001, publicly listed companies in China have been required by the Chinese Securities and Regulatory Commission (CSRC), the Shanghai Exchange and the Shenzhen Exchange to issue management earnings forecasts when they anticipate that earnings will be negative or change substantially from the previous period. This study examines the consequences and implications of this disclosure regulation. I find that the earnings forecasts are associated with an earlier incorporation of relevant earnings information into stock prices. However, I also find evidence that is consistent with the presence of overreactions to forecasts of extreme earnings changes. My study offers a cautionary note …
Nonprofit Administrators' Perceptions Of Time Use And Effective Time Management Strategies That Impact Organizational Success,
2012
Liberty University
Nonprofit Administrators' Perceptions Of Time Use And Effective Time Management Strategies That Impact Organizational Success, Deborah Johnson-Blake
Faculty Dissertations
The purpose of this mixed methods study was to explore leaders’ perceptions of time use and the use of effective time management strategies. The study included five research questions and responses from 20 nonprofit administrators working within 33 technical college foundations across the state of Georgia. Respondents participated in follow-up interviews after completing the online Time Management Practices Inventory (TMPI) survey. The findings of the study revealed statistically significant relationships between TMPI scores and selected demographics. Findings revealed that leaders’ perception of time use, demographic characteristics, attitudes, and time management strategies were factors in implementing effective time management techniques to …
Virtue, Vice, And The Globalization Of World Economies,
2012
Liberty University
Virtue, Vice, And The Globalization Of World Economies, Stephen Preacher
Faculty Publications and Presentations
This study postulates that the recent world financial crisis, symptomatically manifested in the financial markets, is more fundamentally the result of a systemic disregard for moral constraints. This has occurred at macroeconomic levels within the industrialized nations and has pervaded the global economy. Moral relativism has become the dominant ethical system in society and government, and has undermined the virtuous ideals and self-restraint that foster the benefits of capitalism. Coupled with advances in technology and globalization, the effect of vices such as avarice, irresponsibility, excessive risk tolerance and criminal activities have been exacerbated. Government manipulation and intervention has further served …
High Yield Debt,
2012
Butler University
High Yield Debt, Steven D. Dolvin
All Chapters
High Yield Debt is a nice way of saying "junk" debt, i.e., debt that is considered speculative grade. As you would expect, the yield on such debt, due to higher default risk, is higher than standard investment grade debt. However, with historically low interest rates, even the yields on "high yield" debt don't look so high any more. See article here, International Financing Review.
Motivation And Leadership Of Financial Advisor Associates In The Financial Services Industry,
2012
Lynn University
Motivation And Leadership Of Financial Advisor Associates In The Financial Services Industry, James A. Mckenzie
Graduate Student Dissertations, Theses, Capstones, and Portfolios
The purpose of this study was to apply the platform of existing knowledge and ideas in the area of sales management with regard to the motivation of financial advisor associates (FAAs) in the financial services industry in the United States. The major theories examined in this study were: social exchange theory, leader member exchange, expectancy theory, transformational leadership, and transactional leadership. The primary focus of this non-experimental, quantitative, explanatory (correlational) research was the relationships among the independent variables (psychological climate of the workplace, the branch manager's leadership style, the demographic factors and work experience of the FAAs), and the dependent …
The Impact Of Corruption On Firm Tax Compliance In Transition Economies: Whom Do You Trust?,
2012
Rollins College
The Impact Of Corruption On Firm Tax Compliance In Transition Economies: Whom Do You Trust?, Anna Alon, Amy M. Hageman
Faculty Publications
Tax compliance is an important issue for governments and the public alike. To meet public needs and fund public mandates, firms around the world are expected to comply with tax laws. Factors that are related to organizational (firm) tax compliance have not been sufficiently examined in the literature. Due to the increasing global influence of transition economies, factors associated with firm tax compliance in transition economies are particularly of interest. Based on a sample of over 5,000 firms from 22 former Soviet Bloc transition economies, we find that higher levels of corruption and higher levels of particularized trust (reliance on …
Mortgage Product Substitution And State Anti-Predatory Lending Laws: Better Loans And Better Borrowers? (2012),
2012
University of Southern California
Mortgage Product Substitution And State Anti-Predatory Lending Laws: Better Loans And Better Borrowers? (2012), Raphael W. Bostic, Souphala Chomsisengphet, Kathleen C. Engel, Patricia A. Mccoy, Anthony Pennington-Cross, Susan M. Wachter
Finance Faculty Research and Publications
Mounting foreclosures and disclosures of abusive lending practices led many states to adopt new anti-predatory lending (APL) laws. Researchers have examined the impact of such laws on credit flows and the cost of credit. This research extends the literature by examining whether the market responded to these laws by substituting different mortgage products for those restricted by APL provisions. The evidence indicates that the laws were effective in restricting loans with targeted characteristics, and that the market substituted other product types to maintain access to credit and affordability in the face of these restrictions. The laws reduced the involvement of …
Does Government Spending Undermine Monetary Policy In Nigeria?,
2012
Central Bank of Nigeria
Does Government Spending Undermine Monetary Policy In Nigeria?, Emmanuel T. Adamgbe, Peter D. Golit, Izuchukwu I. Okafor
Economic and Financial Review
In Nigeria, anecdotal evidence suggest that the fiscal/operations of government, especially disbursements from the Federation Account to the three-tiers of government, had over the years created liquidity challenges requiring aggressive monetary management. Against the background, this paper addresses two questions: (i) Does government spending have significant spill-over effects on inflation in Nigeria? (ii) Does government, spending induce a concomitant response by the CBN? ln addition, unlike the sparse literature in Nigeria on these two issues, which essentially relies on constant parameter model we use of time-varying parameter vector autoregressive (TVP-VAR) model with stochastic volatility. Applying this framework allows us not …
Credit Risk Dynamics In Response To Changes In The Federal Funds Target: The Implication For Firm Short-Term Debt,
2012
Sacred Heart University
Credit Risk Dynamics In Response To Changes In The Federal Funds Target: The Implication For Firm Short-Term Debt, Kwamie Dunbar, Abu S. Amin
WCBT Faculty Publications
The recent credit crisis has raised a number of interesting questions regarding the role of the Federal Reserve Bank and the effectiveness of its expected and unexpected interventions in financial markets, especiallyduring the crisis, given its mandate. This paper reviews and evaluates the impact of expected and unexpected changes in the federal funds rate target on credit risk premia. The paper's main innovation is the use of an ACH-VAR (autoregressive conditional hazard VAR) model to generate the Fed's expected and unexpected monetary policy shocks which are then used to determine the effects of a Federal Reserve policy change on counterparty …
Portfolio Value-At-Risk Optimization For Asymmetrically Distributed Asset Returns,
2012
National University of Singapore
Portfolio Value-At-Risk Optimization For Asymmetrically Distributed Asset Returns, Joel Weiqiang Goh, Kian Guan Lim, Melvyn Sim, Weina Zhang
Research Collection Lee Kong Chian School Of Business
We propose a new approach to portfolio optimization by separating asset return distributions into positive and negative half-spaces. The approach minimizes a newly-defined Partitioned Value-at-Risk (PVaR) risk measure by using half-space statistical information. Using simulated data, the PVaR approach always generates better risk-return tradeoffs in the optimal portfolios when compared to traditional Markowitz mean-variance approach. When using real financial data, our approach also outperforms the Markowitz approach in the risk-return tradeoff. Given that the PVaR measure is also a robust risk measure, our new approach can be very useful for optimal portfolio allocations when asset return distributions are asymmetrical.
Short Squeeze,
2012
Butler University
Short Squeeze, Steven D. Dolvin
All Chapters
Short interest may be considered an indicator of overall market sentiment regarding a stock, with high short interest being bearish. However, if short sellers rush to cover their positions, a so-called "short squeeze," the price of the stock may increase substantially. This is what recently happened with Pandora stock. See the article here, Pandora.
Plan Now,
2012
Butler University
Plan Now, Steven D. Dolvin
All Chapters
Almost half of all retirees have $10,000 or less in savings when they die. While social security or pensions may provide adequate income, it illustrates the dependence on these outside sources. Going forward, there will be fewer pension plans (switching to defined contribution plans), and social security is no guarantee. So, plan now. .
Media = Contrarian Indicator,
2012
Butler University
Media = Contrarian Indicator, Steven D. Dolvin
All Chapters
The media often focuses on financial stories; however, they tend to be late to the game. Meaning, once they report on an event, the market has likely already digested it. Recently, Bespoke Investment Group found that the number of financial stories posted on the Drudge Report was negatively correlated to the subsequent market performance. See the article here, Yahoo.
Weather Derivatives,
2012
Butler University
Weather Derivatives, Steven D. Dolvin
All Chapters
Most people are aware of stock options or futures contracts on commodities such as gold and oil. However, the derivatives market is very diverse, including such things as weather derivatives. With hurricane season upon us, you may want to do some research on hurricane futures and options (http://www.cmegroup.com/trading/weather/hurricanes/hurricane.html). Essentially, these contracts allow insurers to transfer risk to other parties, such as hedge funds. See the article here, CME Group.
Investor's Pain = Government's Gain,
2012
Butler University
Investor's Pain = Government's Gain, Steven D. Dolvin
All Chapters
In the wake of the Crash of 2008, the government stepped in to bail out multiple institutions, including AIG. Following the economic recovery (albeit a moderate one), the government was able to exit its position, netting a $17.7 billion gain. So, while many people opposed the bailout, it actually served as a transfer from investors (generally considered the wealthy) to the government. See article here, LA Times.
Short Sale Trading Glitch,
2012
Butler University
Short Sale Trading Glitch, Steven D. Dolvin
All Chapters
Following the Crash of 2008, the SEC reinstated the uptick rule, albeit a modified version. The uptick rule kicks in if a stock's price drops 10% in one day. This prevents short selling except on an uptick. However, a trading glitch (which are increasingly common) effectively overlooked the rule. .
Facebook Ipo Lockup Expiration,
2012
Butler University
Facebook Ipo Lockup Expiration, Steven D. Dolvin
All Chapters
When a firm undertakes an IPO, insiders (owners and venture capitalists, among others) agree to retain their shares (i.e., lockup) for a period of time, typically six months. When the lockup period expires, it is customary to see a large block of shares flood the market, having an adverse effect on the stock's price. Facebook just hit its lockup expiration. See article here, NY Times.
High Frequency Trading,
2012
Butler University
High Frequency Trading, Steven D. Dolvin
All Chapters
With recent events such as the Flash Crash and the trading glitch at Knight Capital, high frequency trading has come under increased scrutiny. So, what exactly is high frequency trading and flash orders? Essentially, these traders attempt to exploit differences in bid/ask prices and capture any spread that exists. Check out this video for an illustrated discussion.
Will Lightning Strike Twice?,
2012
Butler University
Will Lightning Strike Twice?, Steven D. Dolvin
All Chapters
Just before the real estate crisis really hit, the Fed said that the issue was "contained." As we know, this was not correct. Recently, Bernanke said that the $1 Trillion in asset backed student loans won't cause a crisis. Hopefully he is right this time. See article here, Kansas City Star.
Two Essays In Financial Economics,
2012
LSU New Orleans
Two Essays In Financial Economics, Jatin Ravikant Malhotra
LSU New Orleans Theses and Dissertations
In the first chapter of this dissertation, I examine the relationship between hedging and diversification effects on CEO compensation in the Real Estate Investment Trust (REIT) industry. The REIT industry is suitable for this investigation for various reasons; primarily being that the REIT sample represents a relatively clean sample to study the effects of diversification and hedging on compensations. I find a positive and significant relationship between the interaction variable which reflects the effects of both hedging and diversification and CEO pay-for-performance sensitivity. This is consistent with the notion that managers are in a better position to manage firm risk …
