Finance and Financial Management Commons^™

Can Limited Partners Mitigate Negative Externalities In Private Equity?, Teodor Duevski, Chhavi Rastogi, Tianhao Yao

Sim Kee Boon Institute for Financial Economics

We show how Limited Partners' (LPs) environmental and social (E&S) concerns transmit to private equity (PE) rms through capital supply. E&S incidents in portfolio companies reduce PE fundraising, as E&S-concerned relationship LPs refrain from recommitting and are not easily substituted. Using a legal reform that expands E&S-concerned public pension capital to PE, we causally show that PE rms internalise LPs' E&S concerns, reducing dirty sector portfolio allocation and increasing ESG hiring. Additionally, PE rms with E&S- concerned relationship LPs engage with portfolio companies to manage E&S risks. Limited capital substitutability enables LPs to delegate E&S preferences, shaping PE allocation and …

Fixed Income Fund Report, November 2025, Archway Investment Fund

Archway Investment Fund

No abstract provided.

Equity Fund Monthly Report, November 2025, Archway Investment Fund

Archway Investment Fund

No abstract provided.

The Resource Characteristics Of Small And Medium-Sized Enterprises (Smes) And The Impact Of Platform Participation On Business Performance, Xue Tan

Dissertations and Theses Collection (Open Access)

Against the backdrop of deeply integrated digital and platform economies, the resource characteristics of small and medium-sized enterprises (SMEs) and platform participation’s impact on business performance have emerged as key interdisciplinary research focuses between strategic management and digital economy studies. Building upon the resource-based view (RBV) and dynamic capabilities theory (DCT), the study establishes a theoretical framework of “resource characteristics-platform participation-business performance.” It systematically examines the relationships and moderating mechanisms among SMEs’ resource endowment, platform embedding strategies, and performance outcomes.

The study adopts a mixed-method design, combining quantitative analysis with qualitative case studies. Using valid samples of 333 Chinese SMEs, …

Responsible Investing For A Sustainable Future, Eric Pedersen

Asian Management Insights

Investors should bear in mind that climate risks eventually translate into financial risks. An interview with Eric Pedersen, Head of Responsible Investments at Nordea Asset Management. Investors should bear in mind that climate risks eventually translate into financial risks.

Unlocking Private Equity Investing, Yin Wang, Steve Balaban

Asian Management Insights

Myths and market shifts to take note of.

Commuting Patterns And Use Of Bus, Cycling, And Walking In Small And Medium-Sized U.S. Cities: An Analysis Of Demographic Influences, Bun Song Lee, Alejandro Pacheco, Dalton Oxford, Troy Rodriguez

Finance Faculty Publications and Presentations

Using 2015-2019 American Community Survey block-group data, we study commuting by bus, cycling, and walking in small and medium-sized U.S. cities, where auto-centric urban form raises equity concerns. We center the analysis on supply as well as demand by asking whether service is present where vulnerable residents live. Three results stand out. First, scarcity is pervasive: more than 70 percent of block groups report no bus commuters, indicating widespread transit deserts. Lack of a household vehicle strongly predicts non-automobile commuting and is tightly correlated with the share of very low-income households. Second, relationships vary with network coverage. In both the …

Hard Lessons, Stronger Banks, Gloria Yang Yu

Asian Management Insights

The enduring wisdom of the Savings and Loan crisis veterans.

Local-Thinking Bias, Ed Dehaan, Charles M. C. Lee, Wei Ting Loh

Research Collection School Of Accountancy

Local-thinking bias, wherein agents overweight information that comes readily to mind, is a prominent finding in cognitive psychology. In this study, we investigate local-thinking bias in the context of sell-side analysts and measure each analyst’s “local” information as news stemming from their individual coverage portfolio. Tests examining multiple analysts forecasting on the same focal firm at the same time find that individual analysts overweight idiosyncratic local news and underweight news from economically linked firms that are not in their coverage portfolios. Market prices track the analyst bias from local news, leading to predictable and economically significant return reversal patterns in …

Mda Services: 4 Reasons To Call In The Embezzlement Protection And Investigation Professionals, Reva Darling

The Journal of the Michigan Dental Association

With over 50% of dentists experiencing embezzlement, often due to over-trusting staff with financial tasks, the MDA endorses Prosperident for protection and investigation. Four reasons to seek their help include: inheriting an office manager who knows more about the practice management software than the new owner; financial reports showing income is lower than expected based on patient volume; identifying "red flags" such as an employee refusing vacation or cross-training; and needing proactive strategies to protect cash flow. The average loss is about $109,000. Prosperident offers a $1,500 "First Look" service to covertly review records and identify anomalies, providing evidence needed …

Better Budgeting - Budget Mastermind Booklet, Melanie Jewkes, Amanda Christensen, Andrea Schmutz, Vincenza Vicari-Bentley, Kelan Combe, Rochelle Allen, Lauren Olsen, Mckenzie Walsh, Jenny Weller

All Current Publications

This booklet helps you reflect on your finances and improve budgeting decisions. It helps you explore your values and motivators, set financial goals, learn zero-based budgeting, and brainstorm ways to increase your income and reduce expenses. It also helps you learn principles for tracking expenses and increasing savings.

Global Standards And Local Ambitions Across Green Taxonomies: Climate Change Mitigation From The European Union To South Africa, Theodor Florian Cojoianu, Andreas G. F. Hoepner, Ifigeneia Paliampelou, Anh Vu, Dariusz Wojcik

Research Collection College of Integrative Studies

Country-level green finance taxonomy standards have emerged to provide clarity on environmentally-sustainable economic activities to attract investment, protect financial services consumers, and counteract greenwashing. This paper adopts the Global Production and Financial Network (GPFN) approach and analyses factors affecting the climate change mitigation ambition level of the South African Green Finance Taxonomy (RSA GFT) in comparison with the EU taxonomy, which served as a model for South Africa's (RSA) regulators. It accounts for (i) the interplay between EU’s and RSA’s production and financial networks, and (ii) RSA’s willingness to attract European funding for sustainable development. We find that EU private …

Trusting Ai In Finance: The Role Of Psychological Traits And Ai Literacy In Shaping User Behaviour Toward Robo-Advisors, Sukma Aini

The South East Asian Journal of Management

Research Aims: This study investigates the influence of psychological traits, risk tolerance, trust propensity, and AI literacy on trust in robo-advisors and subsequent financial behaviour within Indonesia’s expanding fintech landscape.

Design/Methodology/Approach: Data were collected through a survey of 235 Indonesian users with prior robo-advisor experience, and the hypotheses were tested using Partial Least Squares Structural Equation Modelling (PLS-SEM).

Research Findings: The results revealed that risk tolerance, trust propensity, and AI literacy significantly predicted financial behaviour, both directly and indirectly, through their positive effects on trust in AI. Trust emerged as a central mediating mechanism, particularly for trust propensity and AI …

Rightsizing Regulations To Foster Innovation And A Healthy Business Environment: Insights From Elite Executives, Brian Charles Mulligan, Nelson Granados

Engaged Management ReView

This study examines insights from business executives on how TRAILS—that is, taxes, regulations, assessments, interventions, litigation, and subsidies—influence entrepreneurial behavior and firm performance. Using an applied constructivist grounded theory design, we conducted 17 in-depth interviews to identify how top business executives view the effects of regulations on business performance. We adopt the premise that the right level and set of regulations lead to a healthier business environment. We find that right-sized TRAILS catalyze entrepreneurial dynamism, whereas wrong-sized TRAILS impose hidden opportunity costs, stifle innovation, and erode institutional trust. Crucially, the study reveals the vital role of the government as …

Acceptance Of Central Bank Digital Currency In Pakistan In A Modified Utaut2 Framework, Hassan Raza, Danish Siddiqui

Business Review

This study investigates the factors influencing consumer acceptance of Central Bank Digital Currency (CBDC) in Pakistan by extending the Unified Theory of Acceptance and Use of Technology (UTAUT2) model. This study integrates Perceived Trust (T) as moderator and Shariah Compliance (SC) and Perceived Credibility (PC) as mediator to fit the model according to unique religious and socioeconomic context of Pakistan. After collecting data from 332 respondents were analyzed using Partial Least Squares Structural Equation Modeling (PLS-SEM). The result of the study indicates that Use of CBDC is most affected by Performance Expectancy (PE), Effort Expectancy (EE) and Facilitating Conditions (FC). …

Monte Carlo Analysis For A Private Equity Transaction In Excel, Tom Arnold, Xia (Summer) Liu, Cassandra D. Marshall

Finance Faculty Publications

Monte Carlo Analysis for a Private Equity Transaction in Excel

This article demonstrates a Monte Carlo analysis in Excel for a private equity transaction. The approach provides a probability-based assessment of future outcomes (i.e., waterfall calculations), with key model inputs randomly sampled from defined probability distributions. With minimal VBA programming, numerous Monte Carlo trials are generated and recorded in a second worksheet. This output can then be analyzed to assess the riskiness of the transaction. Further, because the analysis is performed entirely in Excel, it is immediately accessible to the practitioner. It is also very “transparent” in its execution, unlike …

"What's A Computer?" Exploring Insurance Agents' Role In Small Business Cyber Insurance Transactions, Dalton A. Crabtree

USF Tampa Graduate Theses and Dissertations

This mixed-methods study examined how insurance agents' role identity impacts cyber insurance transactions, addressing gaps in professional practice and academic literature. Small businesses increasingly rely on cyber insurance for protection as cyber risk continues to evolve. The study employed sequential explanatory methodology with 25 interviews across three groups: insurance agents (n=15), corporate cyber insurance professionals (n=5), and small business owners (n=5). Thematic analysis using Katz and Khan's Role Episode Model informed development of the Cyber Insurance Role Identity Scale (CIRIS), tested with 100 agents. Six themes emerged. Key findings reveal that successful cyber insurance transactions require agents to transition from …

Does Idiosyncratic Volatility Follow A Random-Walk? Evidence From U.S. Stocks, Zihan Cao, Ossama Elhadary

Publications and Research

In asset pricing literature, idiosyncratic volatility (IVOL) measures the firm-specific risk that is not explained by broader market movements. In this study, I investigate whether the idiosyncratic volatility (IVOL) of individual stocks follows a random-walk. Using monthly residuals from the Fama-French three-factor model (Fama & French, 1993), I estimate IVOL for more than 11,000 U.S. stocks, and apply the Augmented Dickey-Fuller test (Said & Dickey, 1984) to determine whether IVOL behaves like a random-walk. While most stocks display random-walk behavior, the proportion varies across industries, with some sectors showing deviations from random-walk behavior. Stocks with different levels of average return …

When Does The Tick Size Help Or Harm Market Quality? Evidence From The Tick Size Pilot, Yashar H. Barardehi, Peter Dixon, Qiyu Liu, Ariel Lohr

Business Faculty Articles and Research

Tick sizes affect market quality through a tradeoff between pricing fidelity and undercutting. The U.S. Tick Size Pilot (TSP), which raised the minimum tick from 1¢ to 5¢, provides a natural experiment to study this tradeoff. We find that the TSP harmed liquidity for stocks with spreads below 10¢ but improved liquidity for stocks with spreads above 15¢. These opposing effects explain the mixed results across prior studies which pool together stocks with very different prevailing spreads. We recommend researchers using the TSP for causal inference should, at minimum, split samples at 10¢-spreads to account for these heterogeneous liquidity effects.

Regional Lending Market Structures And Cross-Class Social Capital’S Impact On Small Business Outcomes In The United States, Karl Guenther

Dissertations

This study examines whether regional lending market structures—specifically, the availability of capital from local credit unions—affects the success of small businesses in U.S. metropolitan areas. It investigates whether greater local credit union market share of lending capacity improves small business outcomes and whether this relationship is moderated by levels of economic connectedness, a form of cross-class social capital. The analysis further explores whether these moderating effects are especially pronounced for Black-owned small businesses. The study focuses on business outcomes in regions in 2021. Regression models are estimated using cross-sectional data from across 135, 301, and 375 metropolitan statistical areas based …

Fixed Income Fund Report, October 2025, Archway Investment Fund

Archway Investment Fund

No abstract provided.

Equity Fund Monthly Report, October 2025, Archway Investment Fund

Archway Investment Fund

No abstract provided.

Leveraging Machine Learning And Causal Inference For Loan Default Prediction, Luca Guida

Doctoral Dissertations and Master's Theses

This research explores a systematic application of machine learning techniques combined with causal inference to predict loan defaults in peer-to-peer lending. Accurately forecasting loan defaults is crucial for mitigating financial risk and optimizing lending strategies. This analysis is based on multiple datasets of loan applications spanning over a decade, containing detailed financial and credit information about borrowers. Beginning with extensive Exploratory Data Analysis (EDA) coupled with scaling strategies, the research identifies key trends in loan performance across a large number of factors, such as interest rates or borrower creditworthiness, and one objective is to determine from the many available predictors …

Reengineering Resilience: Bio-Resilience Bonds For Financing Microbial Infrastructure And Climate Equity, Reece Buckley

COP30

This policy proposal introduces Bio-Resilience Bonds (BRBs), a performance-based financial instrument designed to monetise microbial ecosystem services as measurable climate infrastructure. Microbial ecosystems are crucial for climate resilience, yet they are often overlooked in mainstream adaptation f inance frameworks. Their ability to regulate carbon and nitrogen cycles, reduce methane emissions and enhance soil and water stability (Delgado-Baquerizo et al., 2016) makes them essential assets for climate mitigation and adaptation. With global adaptation needs exceeding £2.7 trillion (UNEP, 2024), this oversight indicates a systemic failure to recognise biology as a form of infrastructure. BRBs transform microbial outputs into localised key performance …

Ppp Dataset, Susan Turner Haynes

Faculty Works

During the COVID-19 pandemic, 11.5 million U.S. businesses applied for relief from the federal government. Collectively, these entities received just under 800 billion dollars. It was one of the largest fiscal intervention policies directed at businesses in American history. Though substantial scholarly and public attention has gone toward investigating participant fraud, other participant behavior has been less examined. This includes the relatively small number of individuals and businesses (128,304) that chose to repay their forgivable government loans. This dataset is used to investigate this question, with variables testing hypotheses relating to altruism, patriotism, and self-interest. Results are analyzed in the …

2025 Private Capital Markets Report, Craig R. Everett

Pepperdine Private Capital Markets Report

The Pepperdine private cost of capital survey was originally launched in 2007 and is the first comprehensive and simultaneous investigation of the major private capital market segments. This year’s survey specifically examined the behavior of senior lenders, asset‐based lenders, mezzanine funds, private equity groups, venture capital firms, angel investors, privately‐held businesses, investment bankers, business brokers, limited partners, and business appraisers. The Pepperdine survey investigated, for each private capital market segment, the important benchmarks that must be met in order to qualify for capital, how much capital is typically accessible, what the required returns are for extending capital in today’s economic …

The Effect Of Disaggregated Country Risk On Foreign Portfolio Investment Flows In South Africa, Paul-Francois Muzindutsi, Tristan Kyle Govender, Nokwanda Nkwanyana, Sanelisiwe Zulu, Nondumiso Myeni, Sinegugu Khuzwayo, Fikile Dube

Economic and Business Review

This study explores the relationship between disaggregated country risk and foreign portfolio investment (FPI) flows in South Africa, focusing on both the long-run and short-run effects of economic, financial, and political country risk measures on net foreign purchases of shares (NFPS) and net foreign purchases of bonds (NFPB) during the period from 1995 to 2019. We employed autoregressive distributed lag (ARDL) and nonlinear autoregressive distributed lag (NARDL) models to assess the relationships between the variables. The results indicate that all disaggregated country risk measures have a long-run effect on NFPS and NFPB, and the impacts of these risks are asymmetric. …

Analisis Dampak Kebijakan Insentif Fiskal Terhadap Tingkat Komponen Dalam Negeri (Tkdn) Industri Manufaktur Di Indonesia, Muhammad Muhammad, Riyanto Riyanto

Jurnal Kebijakan Ekonomi

Over the last decade, the manufacturing sector's contribution to Indonesia's economy has declined. In 2010, it was 29.10% of GDP, but by 2022, it had dropped to 19.14%. Employment in the sector also fell, from 14.91% of the workforce in 2010 to 13.80% in 2022. To reverse this trend, the government introduced a policy to boost the Domestic Component Level (DCL) in manufacturing. By offering fiscal incentives to industries meeting certain DCL targets, the government aims to drive economic growth and job creation. A study using BPS data from 2008-2019 shows that this policy raised DCL by 23.5%.

Politisasi Anggaran Bantuan Keuangan Oleh Petahana Pada Pilkada Serentak Di Indonesia, Austin Nalsalina Sinaga

Jurnal Kebijakan Ekonomi

This study aims to inquire the Political Budget Cycle (PBC) by examining the relationship between the presence of an incumbent during the simultaneous district/city level elections in 2015, 2017, 2018, 2020 and village financial assistant. Using the village financial assistant data in 2013-2021, this study conducts a random effect model. The results showed that the existence of an incumbent is significantly correlated with an increase in village financial assistant in one or two years prior to election. Meanwhile, in the election year, there is no significant relationship between variables. The PBC took place in the years prior to election.

[Abstract For] Modeling Private Equity Waterfalls: Incentives, Performance Measurement, And Excel Implementation, Tom Arnold, Summer Liu, Cassandra D. Marshall

Finance Faculty Publications

KEY TAKEAWAYS:

Using Excel’s =LAMBDA and =MAKEARRAY functions allows for the creation of user-defined functions for generating waterfall calculations for a private equity deal, without needing VBA or macro programming.

The three primary waterfall functions determine the waterfall distributions and related performance metrics, including internal rates of return (IRRs) and multiples of invested capital (MOICs), both with and without carried interest.

Copying the cell that uses a waterfall function from the source file to a new file automatically transfers the function and its related intermediate functions. As a result, these functions can be used immediately in other models.