• The Journal of Asian Finance, Economics and Business
• /
• v.7 no.8
• /
• pp.1-13
• /
• 2020

This study examines the effect of managerial ownership on firm value in capital markets where outside governance mechanisms to discipline managers are weak or non-existent. We hypothesize that strong market forces in the U.S. confound the effect of managerial ownership on firm value, i.e., the convergence of interest argument. We test the hypothesis using data from 112 firms from Singapore Stock Exchange and 205 firms from the Stock Exchange of Thailand prior to the Asian financial crisis in 1997 when the market forces were weak, yet the investor protection was sufficient to prevent outright appropriation from management. For ease of comparison, we use methodologies from studies done on the U.S. sample firms during the same study period as ours. We find that, both in Singapore and Thailand, firm value is a function of managerial ownership, and the relation is of the famous inverted U-shaped. Moreover, the relation is robust under different model specifications. The results from Thai sample, with weaker market forces than in Singapore, lend support to many agency cost hypotheses advanced in the U.S. Our results provide useful implication for investors in emerging and frontier markets where outside governance mechanisms are yet to be fully developed.

• International Journal of Computer Science & Network Security
• /
• v.22 no.7
• /
• pp.75-84
• /
• 2022

The efficiency of the regional fiscal policy implementation is based on the achievement of target criteria in the formation and distribution of own financial resources of local budgets, reducing their deficit and reducing dependence on transfers. It is also relevant to compare the development of financial autonomy of regions in the course of decentralisation of fiscal relations. The study consists in the cluster analysis of the effectiveness of fiscal policy implementation in the context of 24 regions and the capital city of Kyiv (except for temporarily occupied territories) under conditions of fiscal decentralisation. Clustering of the regions of Ukraine by 18 indicators of fiscal policy implementation efficiency was carried out using Ward's minimum variance method and k-means clustering algorithm. As a result, the regions of Ukraine are grouped into 5 homogeneous clusters. For each cluster measures were developed to increase own revenues and minimize dependence on official transfers to increase the level of financial autonomy of the regions. It has been proved that clustering algorithms are an effective tool in assessing the effectiveness of fiscal policy implementation at the regional level and stimulating further expansion of financial decentralisation of regions.

• The Journal of Economics, Marketing and Management
• /
• v.4 no.3
• /
• pp.12-24
• /
• 2016

Fraudulent financial reporting practices can have significant consequences for organizations and all stakeholders, as well as, for public confidence in the capital and security markets. In fact, comprehensive, accurate and reliable financial reporting is the bedrock upon which our markets are based. Keen to project a rosy picture of the Satyam to investors, employees and analysts, Mr. Raju (CEO and Chairman) fudged the account books so that it appeared to be a far bigger enterprise, with high profits and fast growth rate, than it actually was. The Satyam fraud has shattered the dreams of different categories of investors, shocked the government and regulators alike, and led to questioning of the accounting practices of statutory auditors and corporate governance norms in India. This is an exploratory study based on secondary sources of information. An attempt has been made to provide an explanation for various intriguing questions about Satyam scam. After thorough investigations by the CBI and SEBI, they have unveiled the methodology by which Satyam fraud was engineered. Finally, we recommend "Fraudulent reporting practices should be considered as a serious crime, and accounting bodies, courts and other regulatory authorities in India need to adopt very strict punitive measures to stop such unethical practices."

• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.5
• /
• pp.551-559
• /
• 2021

The maturity structure of corporate debt is one of the significant financing choices that a firm must make simultaneously while deciding how to finance its operational and investment decisions. Even though the capital structure is one of the scrutinized topics of interest in the corporate finance literature, scarce studies have investigated corporate debt maturity, even less so in the context of emerging markets. The choice of a suitable debt maturity structure is exceptionally relevant for firms. It can enable them to avoid mismatch by aligning assets in line with liabilities, addressing agency-related problems, sidestep the ill effects of cost of capital, and signaling the firms' earning quality and value. The study investigates the firm-specific and macroeconomic determinants significant for the debt maturity structure of Vietnamese corporate firms. A sample of 722 non-financial firms listed on the Ho Chi Minh and Hanoi Stock Exchange in Vietnam from 2007 to 2018 was taken to test the hypothesis. The study's methods fixed effects panel data analysis provides empirical evidence that firm size, firms' quality, liquidity, leverage, asset maturity, tax impact, and macro variables are significantly related to the debt maturity structure.

• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.1
• /
• pp.53-59
• /
• 2021

This research aims to examine the model of investor herding behavior in making investment decisions in the Indonesian capital market, which is influenced by social and information impacting on the value of the Book Value Per Share (BVPS). The latest stock market conditions show that most investors make the same error pattern in making investment decisions that result in losses. The experiment involves two independent variables, namely, information about BVPS and social influence. This study used a 2×2 factorial design laboratory experimental method. Data collection was carried out through treatment of a sample of 100 individual investors listed on the Indonesia Stock Exchange. Univariate Two-Way Analysis of Variance (ANOVA) statistical tool was used to test the independent variable on the dependent variable. Research results showed that the social influence originating from expert investors is more influential than the Book Value Per Share (BVPS) information on the behavior of herding investors in making investment decisions. These findings suggest that investors know their psychological factors, thereby increasing self-control and investment analysis skills. Further research can use psychological bias and other indicators of accounting relevant information such as Earning Per Share (EPS) to test herding behavior in investment decision making in the capital market.

• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.2
• /
• pp.791-800
• /
• 2021

Along with the trend of financial globalization, Vietnam has undergone a process of increasing financial integration. The great capital inflow poses a problem for the monetary policy's ability to follow a planned target during the changes in the global financial markets. This paper aims to examine the impact of financial integration on monetary policy independence in Vietnam and investigate the role of foreign exchange reserves on this relationship. The research borrows from Mundell-Fleming's Trilemma theory. The results show that increasing financial integration reduces the independence of monetary policy in the short term, and foreign exchange reserves have not shown an apparent role in Vietnam. In addition, increasing exchange rate stability has a negative impact on the independence of monetary policy, but it has an impact on growing market confidence and partly supporting the management process of monetary policy in the short term. Therefore, in the long run, Vietnam needs to allow exchange rate flexibility more, but there should not be sudden changes; the size of foreign exchange reserves should be strengthened to facilitate the implementation of an independent monetary policy with an obvious impact in the context of an increasing scale of international capital flows in the future.

• The Journal of Asian Finance, Economics and Business
• /
• v.9 no.6
• /
• pp.151-158
• /
• 2022

Even after three decades of economic reforms, India's labor market is characterized by stark inter-gender differences in terms of both participation rate and working time. Identification of the causes is necessary to remove the disparity and unequal sharing of economic opportunities to make way for women's empowerment. This research attempts in that direction, examining the prevalence of these inequities in rural areas of North-East Indian states using unit-level data from the 2017-18 Periodic Labour Force Survey (PLFS). The methodology for the estimation here is based on Blinder- Oaxaca decomposition method after correcting for sample bias forwarded by Heckman. The analysis shows that in both labor force participation and the wage gap, the females in the region lag behind their male counterparts by a huge margin. Further, the analysis shows that one of the main factors leading to the difference is the disparities in human capital assets. On top of female educational enrollment being low, there is also a huge lack of higher educational attainment, while males have accomplished much better in both the parameters. Moreover, the presence of social stigma against women working and discrimination put the female labor outcomes in a gloomy state.

• Journal of the Korea Academia-Industrial cooperation Society
• /
• v.18 no.1
• /
• pp.679-687
• /
• 2017

This study examines financial factors affecting cash holdings of firms in the domestic capital markets. Specifically, this study focuses on regional firms with headquarters in Chungcheong province, the Republic of Korea, which features little previous research concentrating on the firms in the particular region. Three primary hypotheses were empirically tested utilizing robust econometric models, including static panel data, Tobit regression, and logistic models.Results reveal only five explanatory variables, including DSO, LIQUID, LEVERAGE, PMARGIN, and SIZE, showed statistically significant effects on the level of cash holdings among the nine variables studied. In addition two IDVs, LEVERAGE and FOS, showed significant differentiated effects between firms with headquarters in North and South Chungcheong regions. With continued debate among interested parties on the optimal level of cash reserves, the study provides a new vision for the optimal cash reserves for firms with headquarters in Chungcheong Province, where unprecedented socio-economic factors are driven.

• The Journal of Information Systems
• /
• v.27 no.3
• /
• pp.43-62
• /
• 2018

Purpose Since the Bitcoin, which was the first virtual currency, was made at 2009, almost 1,000 virtual currencies appeared onstage in the world. Even though virtual currencies have the function of money as a medium of exchange or contract, any of those has not yet entered the commercialization stage. Instead, some of the virtual currencies show the nature of investment assets. In the case of virtual money investment, users tend to use all the information of the world because information transfer is very easy and capital movement is almost free between different countries. In addition, as the transaction sizes of virtual currencies increase, a virtual currency price is no longer independent and is likely to be affected by the prices of other virtual currencies. Therefore, it is necessary to understand the influence among virtual currency markets, which helps successful implementation of investment strategies. Design/methodology/approach This study focuses on the investment product function of virtual money and conducts the analysis using the time series model used in the financial and economic areas. In this paper, we try to analyze the return and volatility transfer effect of virtual money markets through GJR-GARCH model. Findings This study is expected to find out whether we can make market forecasts through reflecting changes in other markets. In addition, we can reduce the trial and error of user decision making by using the information on the yield and volatility transition effect derived from the research results, and it is expected to reduce the opportunity cost of users.

• Journal of the Korean Home Economics Association
• /
• v.35 no.2
• /
• pp.65-79
• /
• 1997

This research is intended for 418 elderly women who reside in Seoul and the National Capital region. the survey and analysis are on the practical behavior related to purchasing decision making of brassieres for elderly women. The purpose of the survey and analysis is to induce contented and rational purchase activity for elderly women; also, to supply the fundamental sources which can support accomplishing scientific and systematic marketing activity to foundation manufacturing business. The main results of this study are as follows; 1. The elderly women tend to decide on purchase of the brassiere subjectively alone than rely on the informants and to listen to sales women's advice more. The younger, more educated and higher income of family, the elderly women tend more to depend on their own subjective sense than others' recommendations and rely on such mass media as TV and magazines for information source. 2) The elderly women tend to purchase their brassieres personally. In particular, the younger, more educated and higher income they tend more to choose their brassieres alone rather than with others. 3) The companions for elderly women's purchase were their daughter, daughter-in-law and friends. The younger, more educated and higher income, they tend more to accompany friends. The older, less educated and lower income, they tend more to be accompanied by their daughter or daughter-in-lay. 4) The elderly women are aware of the trademarks for brassieres. Although most of them know about their brassiere size, the majority of them tend to purchase their brassieres without trying on them. the older, less educated and lower income, they are less aware of trademarks and their brassiere size, and thus are less influential in their purchasing decision making. 5) The places of purchasing on which elderly women rely most for their brassiere are department stores, agent and markets. Other places are private haberdashery's, discount and pension shop. The department stores are most used by the less younger, more educated and higher income, while the markets are most often visited by those older, less educated and lower income, while the markets are most often visited by those older, less educated and lower income. The agent are favored by the medium class old people between two extremes.