scholarly journals Robo-Advisory: The New Paradigm in Asset Management or a Millennial Fad?

2019 ◽  
Vol 10 (05) ◽  
pp. 21515-21524
Author(s):  
Mathias Awuni
Keyword(s):  
Developing Countries ◽  
Asset Management ◽  
Personal Finance ◽  
Risk Tolerance ◽  
New Paradigm ◽  
Net Worth ◽  
Tolerance Level ◽  
Finance Management ◽  
Emerging Issues ◽  
Complete Revolution

The extent to which technology has penetrated every aspect of our lives cannot be overemphasized. Finance and technology are inching closer to convergence by the day; while older investors may be reluctant to have robots doing their investing for them, many millennials are jumping unto the new asset management bandwagon. Thus, allowing algorithms to predict and recommend investment plans and automatically balance portfolios for them based on information such as age, risk tolerance level, investment goals, etc. Robo-advisory software programs periodically buy and sell securities to keep the mix matched to investors’ risk tolerance. This study shows that the emerging issues around fintech only serve to signal that the asset management industry is set for a massive overhaul as more investors seek to substitute the human asset manager for robots and algorithms. Personal finance management especially for low net worth individuals is in a nascent stage of undergoing a complete revolution as these technologies continue to develop. Adventurous investors are encouraged to try robo-advisory services. Although robo-advisory is still at a very rudimentary level especially in developing countries, asset management companies need to recognize the impending disruption and use it to their advantage or risk being smothered by the technology.

scholarly journals Rethinking SME default prediction: a systematic literature review and future perspectives

2021 ◽  
Author(s):  
Francesco Ciampi ◽  
Alessandro Giannozzi ◽  
Giacomo Marzi ◽  
Edward I. Altman
Keyword(s):  
Literature Review ◽  
Systematic Literature Review ◽  
Global Financial Crisis ◽  
Analytical Techniques ◽  
Future Research ◽  
Finance Management ◽  
Default Prediction ◽  
Emerging Issues ◽  
Medium Enterprise ◽  
Modern Analytical

AbstractOver the last dozen years, the topic of small and medium enterprise (SME) default prediction has developed into a relevant research domain that has grown for important reasons exponentially across multiple disciplines, including finance, management, accounting, and statistics. Motivated by the enormous toll on SMEs caused by the 2007–2009 global financial crisis as well as the recent COVID-19 crisis and the consequent need to develop new SME default predictors, this paper provides a systematic literature review, based on a statistical, bibliometric analysis, of over 100 peer-reviewed articles published on SME default prediction modelling over a 34-year period, 1986 to 2019. We identified, analysed and reviewed five streams of research and suggest a set of future research avenues to help scholars and practitioners address the new challenges and emerging issues in a changing economic environment. The research agenda proposes some new innovative approaches to capture and exploit new data sources using modern analytical techniques, like artificial intelligence, machine learning, and macro-data inputs, with the aim of providing enhanced predictive results.

Evaluating the Evolution of the Personal Financial Planning Industry: Mutualism, Commensalism, or Parasitism?

2021 ◽  
Vol 12 (1) ◽  
pp. 42-42
Author(s):  
Bryan Teoh Phern Chern
Keyword(s):  
Social Media ◽  
Financial Literacy ◽  
Financial Planning ◽  
Business Models ◽  
Service Providers ◽  
Personal Finance ◽  
Easy Access ◽  
Finance Management ◽  
Financial Planners ◽  
Personal Financial Planning

The financial planning and advice industry has been experiencing healthy growth for the past five years and is expected to accelerate this growth following the Covid-19 pandemic (IBISWorld, 2021). The pandemic has led to higher equity yields and appreciating asset value, directly increasing the total value of assets under management (AUM) held by financial planners and advisors. The industry in the US alone has surpassed $52.9 billion in 2021. As the economy is expected to improve, this figure is expected to follow suit. Not included in these figures are the explosion of online personal finance bloggers and influencers. Some YouTube and TikTok videos have raked in billions of views regarding personal finance (Smith, 2021). Many of these online contents have benefitted viewers and prompted them to start making good decisions regarding their personal wealth, spreading financial literacy to the masses. However, poor financial advice may be spread out as easily to viewers. The Wall Street Journal has reported on this issue back in 2005 where blogs and magazines have been found to give both good and bad advice on budgeting, saving, and overall personal finance management (Cullen, 2005). Whatever the net effect of this phenomenon, the easy access through social media has amplified it. This article briefly journeys through the evolution of personal finance management and personal financial planning, including the new trends this industry is moving towards. Subsequently, this article will look into the risk and rewards of the current personal financial planning and advice industry, including certified financial planners and uncertified personnel (social media influencers, financial gurus), as to whether consumers are benefitting as a whole, or otherwise. A disclaimer to this research is that the findings and opinions towards the industry do not encompass all the service providers in the business as there are many other influencing factors such as business models, individual agenda, and unique circumstances of each provider and consumer. Keywords: Conflict of interest; financial planning; financial experts; Influencers; Personal finance

scholarly journals CURRENT ISSUES OF PUBLIC FINANCE MANAGEMENT IN UKRAINE

2021 ◽  
Vol 5 (40) ◽  
pp. 135-144
Author(s):  
V. Marhasova ◽  
I. Ruzhytskyi ◽  
N. Tkalenko ◽  
T. Shestakovska ◽  
O. Mykhailovska
Keyword(s):  
Public Finance ◽  
Economic Development ◽  
Asset Management ◽  
Financial Management ◽  
Local Economic Development ◽  
Public Confidence ◽  
Financial Assets ◽  
Investment Funds ◽  
Financial Capacity ◽  
Finance Management

Abstract. The article describes the approaches to defining the essence of understanding «public finance» and «public finance management» in the context of administrative and financial decentralization. A study on the current state of economic development of Ukraine is carried and the public financial management system is analyzed. The dynamics of the ratio of revenues and expenditures of the State and local budgets is shown and the national and subnational levels in the financing of public expenditures are described. The sequence of achieving a new level of welfare of the population is presented and the ways of state influence on local economic development are outlined. The content of the state’s activity on financial resources management and public importance of finances is given. Particular attention is paid to the financial capacity of UTC and the existing positive developments within the decentralization reform in Ukraine. The need to improve the management of public finances was emphasized, as it was evidenced by the size of the budget deficit. The division of budget expenditures by functional classification between the national and subnational levels is presented and the decline of financial independence of subnational budgets is witnessed. An assessment of the level of confidence in financial asset management services of territorial communities based on the calculation of the relevant index is made, and the relationship between the selected indicators (the monetary expenditures of the population; deposits of individuals in investment funds; population savings; volume of capital investments; volume of investments in Ukraine; assets of investment funds) and the level of public confidence in the management of UTC financial assets is researched.  Keywords: financial management, public finance, financial capacity of territorial communities, financial assets. JEL Classification H70, H89, R59, Q01 Formulas: 1; fig.: 5; tabl.: 3; bibl.: 20.

scholarly journals Personal Finance Management for New Oncologists: Part 2

2009 ◽  
Vol 5 (2) ◽  
pp. 92-95
Keyword(s):  
Financial Planning ◽  
Personal Finance ◽  
Basic Principles ◽  
Finance Management ◽  
Economic Climate

Part two in this two-part series on financial planning for new oncologists looks at the basic principles of sound investing in any economic climate.

Measurements in E-Business

2011 ◽  
pp. 375-384
Author(s):  
Damon Aiken
Keyword(s):  
Research Methods ◽  
Business Strategy ◽  
Internet Research ◽  
Future Research ◽  
New Paradigm ◽  
Emerging Issues ◽  
Business Metrics ◽  
Internet Research Methods

This chapter is designed to answer two fundamental questions related to research on electronic surveys and measures. First, what are some of the major measures specifically related to e-business? Second, what makes Internet research methods different from off-line research methods? The chapter partly delineates what makes Internet research methods distinctive through its discussion and separation of the most common measures. This separation not only provides the framework for the chapter, but it distinguishes research for understanding the evolving e-consumer from measures related to the new paradigm for e-business strategy. In total, 17 different measures are discussed. The chapter concludes with a discussion of emerging issues in e-business metrics, and possibilities for future research.

Identification and prioritization of factors influencing organization risk tolerance level

2019 ◽  
Vol 16 (4) ◽  
pp. 417-435
Author(s):  
Mohammad Khalilzadeh ◽  
Shiba Masoumi ◽  
Isa Masoumi
Keyword(s):  
Decision Making ◽  
Risk Tolerance ◽  
Project Manager ◽  
Validity And Reliability ◽  
Statistical Population ◽  
Content Type ◽  
Tolerance Level ◽  
Factors Influencing ◽  
Critical Issues ◽  
Decision Making Model

Purpose Identifying and prioritizing the risks are considered as critical issues in risk management; otherwise, non-considering the risks will lead to the problems such as delays in project implementation, increased costs, loss of reputation, loss of clients, reduced revenue and liquidity and even bankruptcy. The paper aims to discuss these issues. Design/methodology/approach In this paper, the factors influencing the organization risk tolerance level were identified. Then, the factors increasing and decreasing the risk tolerance level were determined by a decision-making model. Finally, a comprehensive model was considered for risk measuring and preparing a risk failure structure chart, in order to determine the factors influencing it as well as the measurement criteria and then they were ranked using the taxonomy method. In this study, the size of the statistical population was 130 (six small and medium manufacturer and service provider companies). Based on Cochran’s sample size formula, 97 questionnaires containing 30 questions were randomly distributed among the population. Validity and reliability of the questionnaire were confirmed. The data were analyzed by SPSS 22. Findings Given the hypotheses of this study, the first hypothesis was rejected and the other hypotheses were accepted. The final ranking was done using the taxonomy method; the personality of the project manager was ranked at first; income, credit and capital were ranked second and the number of personnel was ranked third. Moreover, the TOPSIS method was used for ranking to compare the results. Originality/value In this research, the identification and ranking of these factors have taken place in several small- and medium-sized organizations; in addition, the rankings are conducted using the taxonomy decision-making method.

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