• Asia-Pacific Journal of Business
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• v.13 no.1
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• pp.167-183
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• 2022

Purpose - The purpose of this study is to show the need to use the past long-term returns for investment decisions in U.S. equity funds and to suggest an investment strategy using long-term returns. Design/methodology/approach - This study solves the problem of high return volatility in long-term returns and proposes new investment portfolios based on the behavior of fund investors according to past returns. For the investment portfolio of this study, 60 months are divided into several periods and the average of the performance ranks for each period is used. Findings - First, funds with high average returns over multiple periods have lower future outflows and higher future returns than funds with high 60-month cumulative returns. Second, funds with low average returns over multiple periods have lower future inflows and lower future returns than funds with low 60-month cumulative returns. The findings mean that when making decisions based on past long-term returns, it is a smarter investment choice to buy funds with high average returns over multiple periods and sell funds with low average returns over multiple periods. Research implications or Originality - This study shows that it is necessary to use long-term returns in fund investment by analyzing the characteristics of the portfolio based on past returns. In addition, the study is meaningful in that it suggests a way to use long-term returns more efficiently based on the behavior of fund investors and shows that such investments lead to higher returns in the future.

• Journal of Distribution Science
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• v.13 no.9
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• pp.5-11
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• 2015

Purpose - The purpose of this research is to provide insights that can be used for deliberate decision making around challenging big data investments by measuring the economic value of such big data implementations. Research design, data, and methodology - We perform empirical research through an event study. To this end, we measure actual abnormal returns of companies that are triggered by their investment announcements in big data, or firm size information, during the three-year research period. The research period targets a timeframe after the introduction of big data at Korean firms listed on the Korea stock markets. Results - Our empirical findings discover that on the event day and the day after, the abnormal returns are significantly positive. In addition, our further examination of firm size impacts on the abnormal returns does not show any evidence of an effect. Conclusions - Our research suggests that an event study can be useful as an alternative means to measure the return on investment (ROI) for big data in order to lessen the difficulties or decision making around big data investments.

• Korean Management Science Review
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• v.21 no.2
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• pp.253-272
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• 2004

This paper discusses how to develop a comprehensive performance evaluation framework and measure Quantitative and Qualitative benefits of 'Small Business Networking Project' which has been supported by Korean Government since September 2001. Employing BSC framework to identify various benefits realized from the project, we suggest specific procedure and method of deriving ROI (return on investment) for analyzing the benefits against the costs associated with the project, where we restrict our attention to the government investment. From the study, we show that ROI analysis can be served as a useful means to validate government projects as well as uncover specific problem areas to handle in the course of implementing them. Moreover. the ROI analysis we present in this paper can also be applied to pre-evaluate similar government investments.

• Proceedings of the Korean Society for Emotion and Sensibility Conference
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• 2003.11a
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• pp.1241-1242
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• 2003

본 연구는 Usability의 투자 성과관리(ROI: Return On Investment)를 위한 균형성과지표(BSC: Balanced ScoreCard) 관점에서의 Framework 개발을 목표로 한다. 2000년 이후 Usability에 대한 투자 규모는 높은 증가세를 유지해 왔으나 대규모 투자가 진전되는 가운데 Usability투자의 수익성을 어떻게 확보하고, 그 효과(Effectiveness)는 어떻게 측정할 것인가 하는 문제는 상대적으로 관심을 끌지 못하고 있다. Usability 투자에 대한 시스템적 성과관리를 위해 개발된 Usability BSC Framework은 BSC의 4가지 관점에서 Usability 투자성과관리에 대한 변형된 관점의 모델을 제안한다.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.25 no.5
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• pp.9-14
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• 2002

A capital investment problem is essentially one of determining whether the anticipated cash inflows from a proposed project are sufficiently attractive to invest funds in the project. The net present value(NPV) criterion and internal rate of return(IRR) criterion are widely used as means of making investment decisions. A positive NPV means the equivalent worth of the inflows is greater than the equivalent worth of outflows, so, the project makes profit. Business people are familiar with rates of return because they all borrow money to finance ventures, even if the money they borrow is their own. Thus they are apt to use the IRR in preference to the NPV. The IRR can be defined as the discount rate that causes the net present value of a cash flow to equal zero. Why the project are accepted if the project's IRR is greater than the investor's minimum attractive rate of return\ulcorner Against the NPV, the definition cannot distinctly explain the concept of the IRR as decision criterion. We present a new definition of the IRR as the ratio of profit on the invested capital.

• The Journal of the Korea Contents Association
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• v.13 no.2
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• pp.431-439
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• 2013

The purpose of this study is to analyze the apartment investment performance including the risk and to verify the presence or absence of regional characteristics. This study made an analysis on the apartment investment performance by dividing it into long and short-term basis. Data collection period is 10 years from 2002 to 2012 and target area includes Gangnam and Gangbuk (southern and northern area of Seoul) and 6 metropolitan cities. For evaluating the investment performance, this study used the earning rate of 5 year 1st class national housing bond as the risk-free rate of return and 1~2 year interest rate of fixed deposit for calculating lease profit. The results of study are as follows, Treynor's Index was used in long investment performance evaluation because of regional characters non-existing in Seoul and Incheon whereas Jensen's Index was used in evaluating because of regional characters existing in 5 metropolitan cities. And Jensen's Index was used in short-term evaluation of all districts as existing regional characters in all districts. Short-term performance considering regional characteristics yielded different results of simple evaluation. Therefore, in case of simple rate of return to evaluate the performance, the recognition of that can be distorted.

• Korean Journal of Agricultural Science
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• v.39 no.2
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• pp.279-289
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• 2012

This study was conducted to survey and diagnose operation status of the agricultural machinery rental service, analyse and compare operational efficiency among 82 city and county ATDEC (agricultural technology development and extension center) using the DEA (Data Envelopment Analysis) method, and recommend future direction, for improvement of the business. Input variables were invested budget and labor, and output variable was rental return. Percentages of return to investment on the rental service were calculated as 68.3% and 63.9% when analyzed with CCR (Charnes, Cooper and Rhodes) and BCC (Banker, Charnes and Cooper) models, respectively, indicating inefficiency of the service operation. Increase of rental charge would increase efficiency by 63.9~68.3% depending on models, and decrease of financial and labor investment would improve the efficiency by about 11.3%. Technical efficiency would be more important than scale efficiency, therefore adjustment of over-invested budget and labor needed to be made together with increase of rental charge to improve the operation. Among the ATDECs providing the rental service, 6 (7.3%), 43 (52.4%), and 33 (40.2%) were in state of CRS (constant return to scale), IRS (increasing return to scale), and DRS (decreasing return to scale), respectively. These indicated public aspects of the rental system, over-investment, lack of output component for input component, meaning that scale income would be increased by qualitative expand of rental charge. Efficiency analysis of the rental system by region showed that efficient ATDECs to be benchmarked by others were in the order of DMU-70, DMU-54, DMU-29, DMU-5, DMU-22, DMU-2, and DMU-61. More comprehensive and extensive survey and analyses would be necessary in the future.

• Journal of Distribution Science
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• v.21 no.5
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• pp.11-18
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• 2023

Purpose: The purpose of this article is to determine whether there are differences in the level of return and risk of the conventional and Islamic capital markets. Research design, data and methodology: This study takes data on the Jakarta Islamic Index (JII) and the Liquid-45 (LQ45) stock groups in the 2017 to 2020 period. The research approach used is quantitative research with a type of comparison. The data used secondary data sourced from the closing price of shares on the Indonesia Stock Exchange. The statistical method used to test the hypothesis is a different test or independent sample t-test. Results: There is a significant difference between the rate of return and investment risk in JII and LQ-45. The rate of return and risk of investing in LQ-45 is higher than that of JII. Conclusions: There is a significant difference in the rate of return on investment in Jakarta Islamic Index (JII) and LQ-45, including conventional stock Liquid-45 (LQ-45) is higher than the rate of return on shares of JII shares. There is a significant difference in the level of investment risk in the Jakarta Islamic Index (JII) and the Liquid-45 (LQ-45), where the risk level for the LQ-45 is higher than that of the JII shares.

• The Journal of Asian Finance, Economics and Business
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• v.7 no.6
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• pp.29-37
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• 2020

This research seeks to determine the influence of investment opportunity set (IOS); profitability (Return on Assets - ROA), liquidity, business risk and firm size on debt policy. We used 42 manufacturing companies registered on the Indonesian Stock Exchange (Bursa Efek Indonesia) as object research. We used purposive sampling method to determined samples, consider the period observation from 2012 to 2016, and produce 168 units analysis. Data analysis uses the multiple regressions with the SPSS tools. The results of the study found that companies' debt policies in Indonesia are negatively affected by the liquidity. Investment opportunity set (IOS) has negative effect on debt policy. Meanwhile, ROA, Return on Invested Capital (ROIC), and firm size of a company has no impact on debt policy. These findings indicate that Indonesian manufacture companies do not see the high investment opportunity set and profitability as a policy basis for increasing debt. Moreover, the high profitability also does not cause companies to increase their debt ratio. Our study indicates that Indonesian manufacture companies use internal funds to fund their investment. This finding is a concern for creditors, as they can now see the ability of the companies, and especially their performance, in determining their credit policies.

• Journal of Information Technology Services
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• v.15 no.2
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• pp.51-63
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• 2016

In this study, we conducted a comparative analysis of R&D investment efficiency and operational efficiency of IT firms using Data Envelopment Analysis (DEA). We categorized thirteen sample firms into two groups-IT manufacturing and IT service-after an extensive literature review on IT industry classification. We adopted an output-oriented two-stage DEA model suggested by Banker et al. (1984) with total asset and R&D investment as input variables. Then, we constructed investment efficiency and operational efficiency by using Return on Equity (ROE) and Return on Asset (ROA) as intervening variables and operating income and Earnings Per Share (EPS) as output variables. The outcome of the analysis is summarized as follows. First of all, IT manufacturing firms were more efficient (57% on average) than IT service firms. To be specific, IT service firms showed decreasing returns to scale (DRS) with diseconomy of scale. In contrast, IT service firms showed higher operational efficiency (81.5% on average) than IT manufacturing firms. Also, we conducted a Mann-Whitney U test to compare the output of IT service firms and IT manufacturing firms. Lastly, we found a negative correlation ($R^2$ = -.754) between R&D investment efficiency and operational efficiency which infers the trade-off between two constructs