Business Commons^™

Consolidated Supervision Of Banks: Concept And Practices, U. Kama

Bullion

The paper has considered two basic issues in financial supervision. These are the separation of financial supervision from central banking and the rationale and challenges of establishing an integrated supervision structure in Nigeria. lt identified three basic functions of financial supervision as micro prudential, macro prudential and conduct-of-business supervision, which address systemic stability, financial soundness of individual institutions and consumer protection respectively . The paper is divided into six sections. Following this introduction is section ll which examines the conceptual and theoretical issues in consolidated supervision. Section lll reviews the experience of other jurisdictions in the practice of consolidated supervision. …

Integrated Financial Supervision For Nigeria: Emerging Issues And Challenges., Anachi Arua

Bullion

In the supervisory architecture of financial institutions have been of interest to policymakers and the academic. It began to be discussed in the late eighties when the Scandinavian countries were establishing a single supervisory authority in their country. The discussion heated up in the late nineties when the United Kingdom created the Financial Services Authority (FSA) and continued in this decade as many developed and developing countries consider the adoption of more integrated supervision structures. The paper considers the issues of separation of financial supervision from central banking and the rationale and challenges of establishing on integrated supervision structure in …

Is Nigeria Ready For Inflation Targeting, Mbutor O. Mbutor

Bullion

Inflation Targeting as a framework for monetary policy implementation simply describes a policy framework in which central banks accept and announce the realization of certain forecast targets of inflation, over a given time period, as the measure policy anchor and are accountable for deviations from actual inflation from the said target. The primary goal of the paper was to expose the prospects and challenges facing the implementation of inflation targeting in Nigeria. To put the subject in proper perspective, common terminologies often used in discussing lT were defined. The preconditions for effective lT were also highlighted. The paper has argued …

Front Matter, Esr Review

Journal of Microfinance / ESR Review

No abstract provided.

Svc Winners Go A Step Further, Esr Review

Journal of Microfinance / ESR Review

No abstract provided.

Software Nightmares, Manoj Thulasidas

Research Collection School Of Computing and Information Systems

To err is human, but to really foul things up, you need a computer. So states the remarkably insightful Murphy’s Law. And nowhere else does this ring truer than in our financial workplace. After all, it is the financial sector that drove the rapid progress in the computing industry – which is why the first computing giant had the word “business” in its name. The financial industry keeps up with the developments in the computer industry for one simple reason. Stronger computers and smarter programs mean more money — a concept we readily grasp. As we use the latest and …

Home Biased Analysts In Emerging Markets, Sandy Lai, Melvyn Teo

Research Collection Lee Kong Chian School Of Business

We find that local analyst recommendations are systematically more optimistic than foreign analyst recommendations in emerging markets. The effects of this novel home bias among local analysts overwhelm any information asymmetry between foreign and local analysts. Consequently, local analyst upgrades underperform foreign analyst upgrades, while local analyst downgrades outperform foreign analyst downgrades. Neither foreign investors, local institutions, nor retail investors appear to be fully cognizant of this bias. Trade reactions suggest that foreign investors overestimate the bias in foreign analyst recommendations while local institutions underestimate the bias in local analyst recommendations. These results are pervasive across countries, time periods, and …

Research On The Feasibility And Necessity Of Finance Logistics Outsourcing In China, Junwei Chen

World Maritime University Dissertations

No abstract provided.

The Cost Analysis Of Liner Shipping Business, Yue Huang

World Maritime University Dissertations

No abstract provided.

2008-2009 Higher Education Inter-Institutional Cost Transfers Budget, Southern University System. Office Of Finance & Administration.

All Southern University System Budgets

The Southern University System Administration & Board of Supervisors Higher Education Inter-Institutional Cost Transfers Budget, Fiscal Year Ending June 30, 2009

The Asian Banker: From Trade Journal To Industry Benchmark Setter, Knowledge@Smu

Knowledge@SMU

Emmanuel Daniel is founding president and editor-in-chief of The Asian Banker, one of the region’s leading consultancies in financial services research, benchmarking and intelligence. A trade publisher should provide leadership and not be a follower of the industry that it covers, believes Daniel, who spoke recently at a Masters Seminar on benchmarking and measuring IT performance in banks organised by the School of Information Systems, Singapore Management University.

Do Tax-Exempt Yields Adjust Slowly To Substantial Changes In Taxable Yields?, Donna Dudney, John Geppert

Department of Finance: Faculty Publications

This paper examines the profitability of two futures trading strategies: a municipal bond futures contract strategy and a spread strategy consisting of a municipal bond futures contract and a Treasury bond futures contract. Both strategies are designed to exploit a slow municipal yield adjustment following changes in Treasury yields. We find economically significant profits to both strategies. Average holding period returns per trade for both strategies tend to increase with the magnitude of the Treasury yield change. Profit distributions associated with various Treasury yield change thresholds tend to be positively skewed, and median profits are significantly lower than average profits. …

Momentum And Informed Trading, A. Hameed, Dong Hong, Mitchell Craig Warachka

Research Collection Lee Kong Chian School Of Business

Consistent with the predictions of Wang (1994), we document that firm-specific informed trading is an important determinant of price momentum. The stronger return continuation in stocks with more informed trading cannot be explained by cross-sectional differences in uncertainty proxies such as analyst forecast dispersion, analyst coverage, idiosyncratic return volatility, and size. The relationship between informed trading and return continuation is also not attributable to cross-sectional differences in liquidity. Instead, our evidence emphasizes the role of price discovery in generating short-term price momentum.

Being Naive About Naive Diversification: Can Investment Theory Be Consistently Useful?, Jun Tu, Guofu Zhou

Research Collection Lee Kong Chian School Of Business

The modern portfolio theory pioneered by Markowitz (1952) is widely used in practice and taught in MBA texts. DeMiguel, Garlappi and Uppal (2007), however, show that, due to estimation errors, existing theory-based portfolio strategies are not as good as we once thought, and the estimation window needed for them to beat the naive $1/N$ strategy (that invests equally across N risky assets) is 'around 3000 months for a portfolio with 25 assets and about 6000 months for a portfolio with 50 assets.' In this paper, we modify the modern portfolio theory to account for estimation errors, so that the theory …

Hedge Funds In A Volatile Market, Melvyn Teo

Research Collection BNP Paribas Hedge Fund Centre

We show that relative to the first half of 2007, the volatility of hedge fund returns has doubled during the September 2007 to April 2008 period. At the same time, aggregate hedge fund returns have declined while exit rates have tripled. Commodity, macro, and, to a lesser extent, arbitrage funds outperformed during this period, while bottom-up funds underperformed. In Asia, funds engaging in less traditional strategies like arbitrage, event driven, fixed income, and distressed debt have emerged relatively unscathed. Our results also suggest that around the world, funds with headquarters near their investment markets, fewer assets under management, and higher …

Herd Behaviour In Financial Markets: Do Traders Follow The Crowd Or Do Their Own Thing?, Knowledge@Smu

Knowledge@SMU

In financial markets, what part of a trader’s action is simply “following the crowd” or herding, and how much is based on the trader’s own information? Herding has been shown to decrease the stability and efficiency of markets, hence the interest in these behaviours. Marco Cipriani (Asian Division, IMF Institute) and Antonio Guarino (University College London) studied herd behaviour in a laboratory setting involving financial market professionals. Cipriani presented a co-authored IMF working paper on herd behaviour in financial markets at a recent seminar at the Singapore Management University. --------------------------------------------------------------------------------

Earnings Management Around Secondary Equity Offerings By Insiders, Hui Di

Doctoral Dissertations

Accruals-based earnings management is becoming a more common practice. Firms have strong incentives to manage earnings around secondary equity offerings by insiders (insider offerings) to raise offer prices. However, the literature on earnings management around insider offerings is limited and provides mixed evidence of earnings management. In this study, I investigate the motivations and the extent of earnings management around insider offerings.

This study examines a sample of 490 secondary equity offerings made by insiders over the period 1989 to 2005. Inconsistent with the managerial opportunism hypothesis, I find negative adjusted discretionary total accruals before insider offerings. While discretionary accruals …

Predatory Lending Laws And The Cost Of Credit, Anthony Pennington-Cross, Giang Ho

Finance Faculty Research and Publications

Various states and other local jurisdictions have enacted laws intending to reduce predatory and abusive lending in the subprime mortgage market. These laws have created substantial geographic variation in the regulation of mortgage credit. This article examines whether these laws are associated with a higher or lower cost of credit. Empirical results indicate that the laws are associated with at most a modest increase in cost. However, the impact depends on the product type. In particular, loans with fixed (adjustable) rates are associated with a modest increase (decrease) in cost.

A Face Can Launch A Thousand Shares—And An 0.80% Abnormal Return, Matteo P. Arena, John S. Howe

Finance Faculty Research and Publications

In this paper we examine the market reaction—price and volume—to the appearance of a firm in the Who’s News column of The Wall Street Journal. We differentiate between those firms whose articles are accompanied by a picture of an executive and a control set of firms whose articles on the same day are not accompanied by a picture. The results show a more pronounced market reaction to the “cum picture” articles, consistent with the incomplete information theory of Merton [1987] and the heuristic-based familiarity hypothesis. There is no evidence of significant long-run abnormal performance for the sample firms.

Benchmarking The Home Pages Of The Top Multinational Manufacturing Corporations In The Philippines, Jeden O. Tolentino

DLSU Business & Economics Review

In the information age, having a presence on the World Wide Web is critical for firms to establish and maintain competitive advantage. This study evaluated the Web presence of the top multinational manufacturing corporations in the Philippines. A sample of 70 Web sites of companies in BusinessWorld’s list of the Top 1000 Corporations in the Philippines for 2006 was subjected to a framework of ten critical factors; and comparisons were made against existing benchmarks. Thereafter, the functionality of the Web sites of the three top-ranked companies was analyzed using a two-dimensional grid for Web site evaluation. Results indicate that there …

Consolidation In Indian Banking Industry – Need Of The Hour, Syed Ahsan Jamil, Bimal Jaiswal, Namita Nigam

Business Review

This study is aimed at trying to unravel the fast and metamorphic changes been brought about within the Indian banking industry. With the government in India clearly specifying that it will liberalize the entry of foreign banks in India by 2009 alarm bells have started ringing for underperforming banks who largely nurtured under government protection and lack of competition. It is now a fight for survival. Consolidation seems to be the only viable solution for most of theses beleaguered banks.

Lagged Effect Of Tv Advertising On Sales Lagged Effect Of Tv Advertising On Sales Of An Intermittently Advertised Product Of An Intermittently Advertised Product, Cesar C. Rufino

DLSU Business & Economics Review

This study is an empirical evaluation of the dynamic effect of intermittent television ad placements on the sales of a consumer product using three classes of distributed lag models. The study is also geared to analytically determine the duration of advertising effects and the dependability of the firm’s pulsing type of advertising strategy. Empirical results support the soundness of the company’s strategy. Maximum duration of advertising effect is estimated at six months, which is about the largest number of consecutive months the product was not seen on TV during the sample period.

Lost And Found Again: Subjective Norm In Gym Membership, Octavia Leeman, Jaime S. Ong

DLSU Business & Economics Review

Understanding behavioral intention, a critical aspect of market planning, is not simple, as many factors are involved in the formation of behavioral intention. This study endeavored to better understand the relationship between attitude, subjective norm and behavioral intention in an empirical study of gym membership. Using a model based on the Theory of Reasoned Action, the study examined the influence of attitude and subjective norm on behavioral intention to join a gym. An analysis of the findings suggested that to maintain current gym members, a gym operator should capitalize on attitudes favoring gym membership.

The Patent System And The Quest For Affordable Medicines, Christopher E. Cruz

DLSU Business & Economics Review

This study examined how the patent system in the Philippines – as embodied by the Intellectual Property Code – affects the public’s access to affordable medicines. It discussed the issue of patent protection vs. public health in the context of the Philippine pharmaceutical industry. The study discovered that Filipino-owned pharmaceutical companies find it difficult to compete with multinational corporations, and that this factor has raised the prices of medicines in the Philippines. The study then proposed solutions to the problem, which include the promotion of off-patent drugs and the amendment of the Intellectual Property Code.

Planning Or Warfare: On Urban Allocation Of Land, Syed A. Samad

DLSU Business & Economics Review

This study reviewed the subject of the urban allocation of land, and mainly drew from two major works: Vernon (1960) and Vreeker, de Groot, and Verhoef (2007). The two major works were analyzed along with other relevant issues such as urban multifunctional land use, clustering of firms, and empirical implications. Recommendations regarding the urban allocation of land were then presented.

A Preliminary Exploration Of Generational Similarities And Differences In Values Between The United States, United Kingdom, Iceland, Japan, Korea, Colombia And The Philippines, Arnel Onesimo Uy, Edward F. Murphy Jr, Regina A. Greenwood, Jaime A. Ruiz-Gutierrez, Terrell G. Manyak, Bahaudin Mujtaba

DLSU Business & Economics Review

Generational similarities and differences among working adults in the United States, United Kingdom, Iceland, Japan, Korea, the Philippines, and Colombia were investigated using the Rokeach Value Survey (RVS). Hypotheses were supported for cross-cultural generational differences for 23 of 36 values; there were also generational similarities. Sixteen values were ranked similarly for the 40+ year-old generation; thirteen values were ranked similarly for the 18 to 29 year-old generation; and 13 values were ranked similarly for the 30 to 39 year olds. This study is one of the first to identify values that are similar across cross-cultural generations in Western, Eastern, South …

The Disparity Between Long-Term And Short-Term Forecasted Earnings Growth, Zhi Da, Mitchell Craig Warachka

Research Collection Lee Kong Chian School Of Business

We find the disparity between long-term and short-term analyst forecasted earnings growth is a robust predictor of future returns and revisions in long-term forecasted earnings growth. After adjusting for industry characteristics, stocks whose long-term earnings growth forecasts are far above or far below their implied short-term forecasts for earnings growth have negative and positive subsequent risk-adjusted returns, respectively. Despite the importance of conditioning on short-term forecasted earnings growth, these returns are not driven by earnings momentum. Instead, consistent with investors having limited attention, predictable revisions in long-term analyst forecasts appear to induce return predictability.

Earnings Asymmetric Timeliness And Shareholder Distributions, Richard M. Frankel, Yan Sun, Rong Wang

Research Collection Lee Kong Chian School Of Business

We study whether more asymmetrically timely earnings constrain payouts to shareholders in the presence of bad news. Our goal is to provide evidence on the ex post contracting benefits of accounting conservatism. We distinguish between cash flow asymmetric timeliness and accrual asymmetric timeliness to examine how each relates to asymmetric sensitivity of shareholder payouts. We find that only the asymmetric timeliness of cash flows is significantly related to the asymmetric sensitivity of shareholder payouts. Other measures of conservatism (earnings skewness and accumulated nonoperating accruals) are also not significantly related to the sensitivity of shareholder payouts given bad news. These results …

Debt Financing Does Not Create Circularity Within Pro Forma Analysis, Tom Arnold, Peter C. Eisemann

Finance Faculty Publications

Using debt to finance a firm's external financing need within a pro forma analysis can lead to "circularity" when finding the appropriate value for debt. The circularity incorrectly implies that there is no direct solution for finding the value of debt. In this paper, a direct solution for the value of debt is found; thereby showing that circularity need not exist. Further, the technique is demonstrated to be more accurate than the "additional funds needed" (AFN) approach featured in many texts.

2007-2008 Operating Budget: Subr Agricultural Extension And Research Programs, Southern University System. Office Of Finance & Administration.

All Southern University System Budgets

2007-2008 Operating Budget of the SUBR Agricultural Research and Extension Center. Final Printing.