Finance and Financial Management Commons^™

Equity Issuance Of Health Care Firms After The 2007 Market Crash And The 2010 Affordable Ca1·E Act, James C. Brau, J. Troy Carpenter

Faculty Publications

We provide an empirical analysis of 195 initial public offerings (IPOs) and 547 seasoned equity offerings (SEOs) of health care firms that issued between 2008 and October 2016. This period represents eight years after the US financial crisis of late 2007 and also includes all equity issuances since the passage of the Affordable Care Act of late 2010. We compare and contrast our results with those of Brau and Holloway (2009) who study health care equity issuances from 1970-2008. We find that global health care issues in both the IPO and SEO markets are significantly over-represented in both the post-crash …

Three Essays On The Compensation, Structure, And Decision Making Of The Board Of Directors, Duong Pham

Electronic Theses and Dissertations

My first essay examines compensation of newly formed boards of directors following tax-free corporate spin-offs. The empirical results show newly formed spin-off boards are paid significantly more than peer boards in the same industry with similar firm size. Higher compensation is observed for spin-off firms where the CEOs are not formerly employed by the parent firms but not for spin-off firms with parent related CEOs, indicating that new directors demand higher compensation for the work involved in setting up the new governing system for the spun-off firms especially when there is a brand new CEO managing the spinoff firm. Differences …

Three Essays On Market Efficiency And Corporate Diversification, Fawzi Jaber Hyder

Electronic Theses and Dissertations

In my first essay, I use additions to the S&P 500 index as a laboratory to investigate how the interaction between arbitrageurs and arbitrage risk affects security prices. I find that the price effect is strong when there is high arbitrage risk (as measured by the lack of close substitutes) and low presence of arbitrageurs (as measured by low ownership by active institutions). Furthermore, a strong presence of arbitrageurs moderates the effect of arbitrage risk on the post-addition price reaction of added stocks. I also find a significant decrease in arbitrageurs' ownership in the added stocks post addition. More importantly, …

Strategies And Processes For Implementing Financial Analysis For Business Success, Dawn Theona Alexander-Joseph

Walden Dissertations and Doctoral Studies

The early failure of startup businesses is a concern for many local communities, including the Virgin Islands, with about half of startups failing within the first 5 years of their life cycle. Besides the social and economic impact on communities, these failures have a personal effect on small business owners. Grounded in decision-making theory and the theory of financial management, the purpose of this single case study was to explore strategies and processes Virgin Islands retail business managers use to implement financial analysis for decision making to help sustain their operations. Data were collected using company records and semistructured interviews …

Multigenerational Financial Values: Differences Between Leaders In The Workplace, Terrence S. Ransom

Walden Dissertations and Doctoral Studies

Company leaders in the workplace represent all generations with diverse values, and those values influence their financial decisions in the workplace. The problem is that multigenerational company leaders and their employees possess different values from one another, which in turn creates different financial priorities for the company. The purpose of this qualitative study was to gain a better understanding of how the financial values of company leaders from different generations are developed, and how those values influence their financial decisions in the workplace. The key research question for this qualitative study examined how the financial values and decisions of company …

Strategies For Effective Financial Management In Vincentian Small Businesses, Kishore Nalin Shallow

Walden Dissertations and Doctoral Studies

The lack of strategies for effective financial management has been an impediment to the survival and growth of many small businesses in Saint Vincent (St. Vincent), an island in the Caribbean. Inadequate adoption of strategies by small business owners is a prime contributing factor to small business failure. The purpose of this research was to identify strategies that small business owners use for effective financial management. Institutional theory served as the conceptual framework for this multiple case study. Participants consisted of 4 St. Vincent small business owners who had demonstrated effective financial management strategies in the operation of their businesses. …

The Effectiveness Of Funding Sources On Agricultural Projects In Yobe State, Nigeria, Umaru Galadima Tela

Walden Dissertations and Doctoral Studies

This study examined the effectiveness of the Fadama III, National Program for Food Security and International Fund for Agricultural Development programs in reducing poverty and income inequality in Yobe State, Nigeria. Agricultural funding in the state has increased by 670.7% between 2004 and 2013. Despite this trajectory, the state ranks among the worst in Nigeria in terms of poverty and income inequality according to UNDP report, reinforcing the need to investigate the impact of agricultural funding on the state's welfare. Previous studies in this area have been on a country-wide basis and have not disaggregated the funding sources. This study …

Effect Of 2007-2009 Economic Crisis And Dodd-Frank Legislation On The U.S. Banking Industry, Steven D. Simpson

Walden Dissertations and Doctoral Studies

This correlation research study was used to investigate the impact of the Dodd-Frank legislation on the U.S. bank industry. The economic crisis of 2007-2009 had a global and significant financial impact, some of which still reverberates. In the United States, the reaction was The Dodd-Frank Wall Street Reform and Consumer Protection Act, which took effect July 21, 2010. This act has recently been the subject of academic research and remains debated in congress, with discussion focused on its repeal. The publicly available, secondary data set from banks' quarterly filed regulatory reporting provided the data used in this study. Every FDIC …

Hedging Exchange Rate Risks, Godwill George Wanga

Walden Dissertations and Doctoral Studies

Risks associated with fluctuating exchange rates affect investment cost and investor profitability. Approximately 50% of firms in emerging markets have significant exposure to fluctuating exchange rates. Grounded in principal-agent theory (PAT), the purpose of this case study was to explore hedging strategies to mitigate risks of fluctuating exchange rates. The population comprised a census sampling of 12 bank hedgers (risk managers and controllers) in Dar es Salaam in Tanzania, East Africa. Data collection involved semistructured interviews, casual observations of the work environment, and analysis of reports including risk management, internal control, and compliance policies. Data were analyzed by coding and …

Management Strategies To Improve Employee Engagement In The Credit Union Industry, Joy Keiondra Smith

Walden Dissertations and Doctoral Studies

Employee engagement is the main topic of discussion among researchers and managers for over 24 years. Managing employee engagement is critical to the success of an organization, but 85% of manager's struggle with engaging employees. The purpose of this single case study was to explore employee engagement strategies that credit union managers use to increase productivity and organizational effectiveness. Expectancy theory was used to explore employee engagement, performance, and motivation of people in the workplace. Data were collected using semistructured interviews and observations with 6 credit union managers and company documents using thematic coding. Analysis of the data revealed that, …

The Impact Of Corporate Governance On Working Capital Management In Nigerian Organizations, George Chibuzo Njoku

Walden Dissertations and Doctoral Studies

Many Nigerian firms have faced working capital management (WCM) inconsistencies, which have remained a source of tremendous concern in the face of high competition. In this study, the research problem explored was how inefficient working capital policies are still negatively affecting shareholders' wealth several years after the economic crisis, constraining sustainable development. The purpose of this quantitative research study was to examine how corporate governance has affected WCM within Nigerian organizations. The research question was about how corporate governance practices expand WCM efficiency. A random sample of 89 Nigerian organizations was used, and publicly available ethical ratings and financial information …

Ghanaian Bank Performance And Ownership, Size, Risk, And Efficiency, Rebecca Attah

Walden Dissertations and Doctoral Studies

Ghanaian banks struggle to maintain sufficient capital after the Bank of Ghana increased the minimum capital requirement as a buffer against the 2008 financial crisis. Grounded in the efficient structure theory (EST), the purpose of this correlational study was to examine the relationships between efficiency, size, risk, and ownership structure on banks' performance when minimum capital requirement increases. Archival data were collected from PricewaterhouseCoopers website covering all Ghanaian banks with available data for the 5-year period ending 2013. Initial one tail paired sample t tests revealed significant increases over time for efficiency, t(21) = 3.849, p -?¤ .001, net interest …

The Impacts Of Credit On Small Business Financing In Florida, Ike Chukwuma

Walden Dissertations and Doctoral Studies

In the United States, small businesses represent 99.7% of firms that provide employment and account for over 50% of all private sector employment. Nevertheless, the rationing of small business borrowing is an indicative of acute credit constraints emanating from poverty, lack of collateral, lack of cosigners for bank loans, high administrative fees associated with processing credit loans, and information asymmetry along with other socioeconomic factors. In a 4-year study from 2004-2008, it was determined that small businesses suffer tremendously from credit rationing. The purpose of this study was to determine the induced effect of loan guarantee scheme, collateral, and leverage …

Impact Of Financial Reporting Frameworks On The Quality Of Not-For-Profit Financial Reports, Jobra Mulumba Kisaku

Walden Dissertations and Doctoral Studies

Even when clean audit reports are issued for not-for-profit organizations (NFPOs), misuse of donor resources may continue for years without detection by financial statement users. Previous research has established creative accounting, haphazard reporting, and fraud among NFPOs. As a result, aid has been reduced and some projects have been suspended. With Uganda as the study area, the key research question was the following: What is the impact of financial reporting frameworks on the quality of financial reports in Uganda, controlling for class of external auditors? The purpose of this quantitative, causal-comparative study was to establish whether reporting frameworks used by …

Product Diversification To Improve Investment Returns For High-Net-Worth-Individuals In Ghana, Suzy Aku Akpene Puplampu

Walden Dissertations and Doctoral Studies

The population of high-net-worth-individuals (HNWIs) in Ghana is projected to increase from 2,400 in 2015 to 4,900 by 2024. HNWIs in Ghana desire to have access to alternative investment instruments to enhance diversification and improve investment returns on their portfolios. Guided by the product-market-grid-model, the purpose of this qualitative multiple case study was to explore diversification strategies some fund managers use to improve returns for HNWIs. Twelve participants from 3 investment firms in the Greater Accra Region of Ghana, including CEOs and fund managers with more than 5 years of professional and industry experience, participated in semistructured interviews. Observations and …

Performance Analysis Of Equity Index Universal Life Insurance, Zhixin Wu, Lei Liang

Mathematics Faculty Publications

Equity Index Universal Life (EIUL) is a variation of whole life insurance which carries a death benefit component and a cash value component. The popularity of EIUL has been growing quickly in recent years because of its promised downside protection and upside potential. However, its long-term viability can’t be directly verified since no public data of EIUL is available to check its historical performance. This paper models the stock market return, interest rate and other market variables simultaneously to simulate the potential future returns of EIUL under different scenarios. Research in the literature often only models the stock market return …

News And Social Media Emotions In The Commodity Market, Jiancheng Shen, Mohammad Najand, Feng Dong, Wu He

Finance Faculty Publications

Purpose--Emotion plays a significant role in both institutional and individual investors' decision-making process. Emotions affect the perception of risk and the assessment of monetary value. However, there is a lack of empirical evidence available that addresses how investors' emotions affect commodity market returns. The purpose of this paper is to investigate whether media-based emotions can be used to predict future commodity returns.

Design/methodology/approach--The authors examine the short-term predictive power of media-based emotion indices on the following five days' commodity returns. The research adopts a proprietary data set of commodity-specific market emotions, which is computed based on a comprehensive …

The Contributors, Marites Tiongco

DLSU Business & Economics Review

No abstract provided.

Are Capital Market Parameters Estimated From Yahoo Finance And Nasdaq Data The Same?, Ronnie Clayton, Bill Schmidt

Research, Publications & Creative Work

Empirical studies need good data sources; yet such data sources are expensive; either in the time that is dedicated to gathering information or in the actual funds expended to obtain user friendly databases such as those provided by Wharton Research (wrds.) at the University of Pennsylvania. Many authors must expend the time to obtain data because funding is not available to obtain more expensive databases. The question then becomes "Which publicly available data source should one use or are the data obtained from different publicly available sources the same?" This study compares parameters estimated from daily returns for a sample …

Death Spiral Convertible Bonds, Austin Dwyer

Senior Honors Theses and Projects

Death spiral convertibles, are a type of loan lenders give to a firm in exchange for a right to convert into equity at below market prices. This differs from traditional convertibles because there is no fixed conversion price. Instead, the price can be reset lower if the firm's stock price falls below the conversion price at the time of issuance. As the process repeats itself the stock's price spirals downwards. This process benefits the bondholders at the cost of the shareholders. Based on a hand collected sample of 23 companies issuing a total of I 97 floating price convertibles, the …

Show Me The Money: A Study Of Interrelationships Between A Regional Theatre's Revenue And Location, Rebecca Snedeker-Meier

Senior Independent Study Theses

Regional theatres are non-profit organizations that survive off earned and contributed income. In particular, contributed, or donated, income can change depending on the community a theatre is located in. However, there is no consensus whether there is a relationship between the two. This study compares Arena Stage, Guthrie Theater, Cleveland Play House and Alley Theatre to answer the question; how does geographic location relate to the ratios of revenue sources? The income ratios were based off numbers derived from 990 tax forms and the theatres’ operating budgets. Those numbers were then analyzed and compared to the other theatres’ income ratios. …

Modeling Financial Distress Of Smes In Thailand For Comparative Analysis Of Normal And Recession Periods, Chayanisa Sanehluxana

Chulalongkorn University Theses and Dissertations (Chula ETD)

Small and medium-sized enterprises (SMEs) are often viewed as backbone of countries' economy since they play a crucial role in countries' employment and growth. Credit risk analysis for SMEs has become an important task to perform since the lack of understanding and developing an effective tool to forecast the distress and default risk may lead to huge losses and affect the whole economy of a country. Therefore, this paper aims to develop the models that can predict for the probability of financial distress for SMEs in Thailand by employing both Logistic Regression Analysis (Logit) and Cox's Proportional Hazard model. Moreover, …

Political Connection And Firm Performance: Evidence From Chinese State-Owned Companies, Chenyu Fang

Chulalongkorn University Theses and Dissertations (Chula ETD)

This paper uses the multiple regression to research the political connection effect in the state-owned enterprise. It has been found that the political connection can significantly enhance state-owned enterprises' performance. Moreover, the same administration level between state-owned enterprises' actual controller and CEO/Chairman would enhance ROA and ROE. Additionally, as the proportion of political connection members increases, the ROA will be promoted. The political connection has same impact on the industries with more governmental control and the industries with less governmental control. The "city administration level" shows negative record in the stock market. Furthermore, this paper adopts the Probit Model to …

Effect Of Exchange Rate Volatility On Currency Carry Trade And Risk Factor Compensation Of Currency Carry Trade In G10 And Emerging Market, Jirapaiboon Rattanapanurak

Chulalongkorn University Theses and Dissertations (Chula ETD)

Currency carry trade is one of famous currency speculation strategies through latest decade. Return of this strategy comes from the difference of interest rate between countries. In theoretical world, FAMA uncovered interest rate parity (UIP) assumes change in spot exchange rate is going to offset the difference of interest rate. Therefore, the first objective of this paper is to test violation of UIP which implies possibility to do currency carry trade. Secondly, moving on to determine the relationship between currency carry trade return and exchange rate volatility in some difference aspects because there are evidences about negative relationship between currency …

A Lead-Lag Relationship Between Price Premium And Nav In Property Fund And Reit, Nithikorn Piskanok

Chulalongkorn University Theses and Dissertations (Chula ETD)

Property fund and real estate investment trust (REIT) play an important role in asset allocation since it increases risk-adjusted return and diversifies portfolio risk. However, in stock market, price of property fund and REIT is deviated from its fundamental value or net asset value (NAV) causing price premium or discount. Understanding causes of price deviation helps investor to plan for investment strategy and generates more profit. Therefore, this paper aims to study the role of price premium in forecasting future performance of property fund and REIT by using vector autoregressive analysis (VAR). Moreover, we examine causes of price premium by …

Performance Persistence Of Hedge Fund: A Result Of Different Systematic Risk Exposure, Prapakan Pimpasan

Chulalongkorn University Theses and Dissertations (Chula ETD)

This paper has made the statement that the different systematic risk exposure style affects hedge fund performance and performance persistence. Employing maintain low systematic risk exposure (LSR) style leads superior performance for hedge fund during the full-time period. The outperformance of LSR style in this finding challenges the principle of standard Capital Asset Pricing Model (CAPM) and being supported by the "Low-volatility anomaly" in the equity market. However, the market timing, one of systematic risk exposure style, is still crucial and should be taken into consideration when managing portfolios systematic risk exposure, especially during the crisis period. Moreover, there is …

Gender And Financial Access Of Smes In Southeast Asia, Wannaporn Phongapai

Chulalongkorn University Theses and Dissertations (Chula ETD)

This study examines gender and cultural differences in financial access of small and medium-sized enterprises (SMEs) in six countries within Southeast Asia (SEA): Thailand, Laos, Cambodia, Myanmar, Indonesia, and Malaysia. This study uses World Bank Enterprise Surveys dataset which covers 2015 and 2016 to investigate the gender gap in financial access of SMEs in SEA and compare the business performance of enterprises that are owned by males and females. The result shows that there is no significant difference between the financial access of female- and male-owned SMEs in SEA which means that there is no gender gap in financial access …

A Study Of The Effect Of Dark Pool Using Market Simulation, Wasin Surarak

Chulalongkorn University Theses and Dissertations (Chula ETD)

This paper extend a limit order book model of security trading from Goettler, et al. (2005) by adding a dark pool which does not publicly display trading orders. This model is a sequential game with risk-neutral traders. We use a stochastic algorithm followed by Pakes and McGuire (2001) to solve a Markov-perfect equilibrium as the optimal action of a trader. We find that when added a dark pool, market quality worsens (market depth declines and bid-ask spread widen), and total fill rate decreases. The deterioration of market quality in a limit order book results from an order migration to a …

Plan Member’S Heterogeneity, Economic Regime Effect And Their Implication On The Management And Sustainability Of Retirement Funds, Thepdanai Danswasvong

Chulalongkorn University Theses and Dissertations (Chula ETD)

This research studies the importance of plan members' heterogeneity to the management of defined benefit (DB) pension fund. We propose a new multi-member model of DB pension fund that allows for heterogeneity in plan members' retirement ages, salary growths, and other characteristics. We first solve analytically for optimal management strategy and show that the sponsor's supplementary contribution and the fund's allocation in risky assets are determined by the cross-product between the fund's expected retirement liabilities and some heterogeneity-adjusted discount factors. We then demonstrate that the presence of heterogeneity can have a significant influence on the optimal management strategy and that …

Do Disaster Experience And Knowledge Affect Insurance Take-Up Decisions?”, Jing Cai, Changcheng Song

Research Collection Lee Kong Chian School Of Business

This study examines the effect of experience and knowledge on weather insurance adoption. First, we conduct insurance games with farmers, and find that the treatment improves real insurance take-up by 46%. The effect is not driven by changes in risk attitudes and perceived probability of disasters, or by learning of insurance benefits, but is driven by the experience acquired in the game. Second, we find that providing information about the payout probability has a strong positive effect on insurance take-up. Finally, when subjects receive both treatments, the probability information has a greater impact on take-up than does the disaster experience.