The 'Ostrich Effect' and the Relationship Between the Liquidity and the Yields of Financial Assets

2005 ◽  
Author(s):  
Dan Galai ◽  
Orly Sade
Keyword(s):  
Financial Assets ◽  
The Relationship

scholarly journals The Linkage between Sentiments and Stock Market Dynamics New Evidence from Iran

2020 ◽  
Vol 9 (2) ◽  
pp. 29
Author(s):  
Heshmatollah Asgari ◽  
Hamed Najafi
Keyword(s):  
Stock Market ◽  
Stock Returns ◽  
Screening Method ◽  
Market Price ◽  
Investor Sentiment ◽  
Financial Assets ◽  
Causality Test ◽  
Research Criteria ◽  
The Impact ◽  
The Relationship

In recent years, the issue of financial behaviour and the impact of investors’ sentiments on their decision making have become such a popular issue. The sentiments of financial activists affect the market price of financial assets and particularly stocks, and therefore it is included in the new pricing models of capital assets. In this article, we seek the effect of investors’ sentiments on the dynamics of the Iranian stock market (TSE). To do this, among the companies accepted in the stock market we select 120, considering the research criteria and screening method, we examined TSE specifics throughout 2010-2018 using regression analysis and causality test. Our results show that firstly investors’ sentiments have a direct effect on the stock returns and there is a bilateral relationship between them. Secondly, inflation has the opposite effect and economic growth has a direct and positive effect on the relationship between investor sentiment and stock returns. Finally, government spending has no significant effect on the relationship between investor sentiment and stock returns.

scholarly journals Sufficiency of Investments in Environmental Policy of Mining Region

2018 ◽  
Vol 41 ◽  
pp. 02019 ◽  
Author(s):  
Ludmila Starikova ◽  
Irina Trapeznikova
Keyword(s):  
Environmental Policy ◽  
Environmental Protection ◽  
Economic Efficiency ◽  
Comprehensive Analysis ◽  
Financial Assets ◽  
Capital Investments ◽  
Research Development ◽  
The Real ◽  
The Relationship ◽  
Real Costs

Since 2005, expenditures on research, development and technological work (R & D) have been allocated in the structure of investments in non-financial assets. The absence of methodological developments on a comprehensive analysis of indicators of environmental and economic efficiency does not allow us to clearly determine the real costs of creating a system of rational nature use and environmental protection. In order to, at least approximately estimate the necessary level of investment in the restoration of the environment, it is necessary to conduct a study of the relationship between investment and environmental activities through the interrelationship between the concepts of "investment" and "capital investments".

Water-depletion and single-state municipal bond fund risk

2017 ◽  
Vol 34 (2) ◽  
pp. 228-237
Author(s):  
Marta Álvarez ◽  
Javier Rodriguez
Keyword(s):  
Water Resources ◽  
Water Scarcity ◽  
Financial Assets ◽  
Municipal Bond ◽  
Content Type ◽  
The Usa ◽  
Single State ◽  
Bond Fund ◽  
The Many ◽  
The Relationship

Purpose The purpose of this paper is to investigate the relationship between single-state municipal bond fund risk and water scarcity in the USA. Design/methodology/approach The authors compare the risk profiles of funds from states with limited water resources with those from states without this issue. Findings The authors find that, as expected, funds from southern and western states, which suffer from water scarcity, are riskier than funds from other regions within the mainland USA. Although this study is concerned with which funds are riskier, it is noted that funds from the northeast are significantly less risky than funds from other regions. Originality/value Due to limited water resources, crumbling water infrastructure and continuous water-rights legal battles, water resources in the USA have become a highly sought-after commodity. In this study, we contribute to the discussion on the many repercussions of water scarcity on financial assets.

scholarly journals The Asymmetric Effect of Panic Index on Cryptocurrencies

2021 ◽  
Vol 7 ◽  
Author(s):  
Necmiye Serap Vurur
Keyword(s):  
Financial Markets ◽  
Money Market ◽  
Financial Assets ◽  
Causality Analysis ◽  
Asymmetric Effect ◽  
Causality Test ◽  
Causality Tests ◽  
The Impact ◽  
Asymmetric Causality ◽  
The Relationship

The Covid 19 pandemic is the first major crisis facing cryptocurrencies. Therefore, the reaction of the cryptocurrency markets is important. News about epidemics affects investors' decisions. Panic index (PIndex) is an index created from news about the Covid 19 outbreak. In the study, it is used to measure the impact of decisions on the crypto money market. As cryptocurrencies, Bitcoin (BTC), Etherium (ETH), and Ripple (XRP), which have the highest transaction volume in the crypto money market, are included in the analysis. The relationship between Panic Index and the three major cryptocurrencies with the largest share in the cryptocurrency market was investigated by Ardl and Hatemi-J asymmetric causality test. Traditional causality tests acknowledge that the effects of positive and negative changes are the same. However, there may be asymmetric information and different investor behaviors in financial markets. In the study, Hatemi-J [1] Asymmetric Causality Test was conducted to examine the asymmetric relationship and symmetric relationship between Pindex and cryptocurrencies by separating them into positive and negative shocks. According to the results of the Hatemi-J causality analysis, positive shocks in the panic index are the cause of negative shocks for all cryptocurrencies. In other words, increases in the panic index are caused to fall the value of Bitcoin, Ethereum, and Ripple cryptocurrencies decrease. The results show that cryptocurrencies were not a safe haven for the investor during the Covid 19 period, as they acted similarly to other financial assets.

scholarly journals Dampak kebijakan modal kerja, leverage, dan aset perusahaan terhadap profitabilitas perusahaan yang terdaftar di bursa efek in indonesia periode 2010-2012

2017 ◽  
Vol 20 (1) ◽  
Author(s):  
Agus Zainul Arifin ◽  
Prayogo Indrayang
Keyword(s):  
Stock Exchange ◽  
Random Effect ◽  
Sampling Technique ◽  
Financial Assets ◽  
Working Capital ◽  
Cash Conversion Cycle ◽  
Panel Data Regression ◽  
Data Regression ◽  
Asset Size ◽  
The Relationship

Objective of this study was to determine the relationship between working capital policy with proxy Cash Conversion Cycle (CCC), Leverage, company size, and Financial Assets, as independentvariables, and profitability as the dependent variable on the non-financial companies listed in Indonesia Stock Exchange period 2010-2012. To examine this relationship, using panel data regression. Sampling method was non-probability sampling with purposive sampling technique. The results of the analysis of the evidence obtained in the form of regression model used is Random Effect. Partial test effect prove that the policy of working capital, leverage, asset size, and Financial Assets no effect on profitability. The test results together prove significant effect.

scholarly journals Achieving Portfolio Diversification for Individuals with Low Financial Sustainability

2020 ◽  
Vol 12 (17) ◽  
pp. 7073
Author(s):  
Yongjae Lee ◽  
Woo Chang Kim ◽  
Jang Ho Kim
Keyword(s):  
Financial Stability ◽  
Portfolio Diversification ◽  
Financial Sustainability ◽  
Individual Investors ◽  
Financial Assets ◽  
Portfolio Returns ◽  
Investment Size ◽  
Mean Variance Portfolio ◽  
The Relationship ◽  
Mean Variance

While many individuals make investments to gain financial stability, most individual investors hold under-diversified portfolios that consist of only a few financial assets. Lack of diversification is alarming especially for average individuals because it may result in massive drawdowns in their portfolio returns. In this study, we analyze if it is theoretically feasible to construct fully risk-diversified portfolios even for the small accounts of not-so-rich individuals. In this regard, we formulate an investment size constrained mean-variance portfolio selection problem and investigate the relationship between the investment amount and diversification effect.

THE RELATIONSHIP BETWEEN BEFORE- AND AFTER-TAX YIELDS ON FINANCIAL ASSETS

1988 ◽  
Vol 23 (3) ◽  
pp. 313-331 ◽  
Author(s):  
Roger P. Bey ◽  
J. Markham Collins
Keyword(s):  
Financial Assets ◽  
Before And After ◽  
The Relationship

scholarly journals The Long-Run Effects of the Fed’s Monetary Policy on the Dynamics among Major Asset Classes

2016 ◽  
Vol 51 (1) ◽  
pp. 9-19
Author(s):  
Jia Miao
Keyword(s):  
Monetary Policy ◽  
Financial Markets ◽  
Financial Assets ◽  
Monetary Policies ◽  
Real Estate Markets ◽  
Long Run ◽  
Cointegration Tests ◽  
Asset Classes ◽  
The Impact ◽  
The Relationship

Abstract It is well known that government monetary policies significantly impact financial markets. There have been numerous studies examining the relationship between monetary policy and the prices of financial assets, including equities and bonds. Little, however, has been done to explore the impact of major financial assets on changes in monetary policies. This study examines the impacts of the Federal Reserve’s monetary policy on the dynamics of major financial assets in the U. S. For this purpose, cointegration was tested for between equities, bonds and real estate markets in the period 1980 to 2014, whereas the U. S. monetary base M2 was used as an exogenous variable. Our cointegration tests suggest that the exogenous component of the U. S. M2 significantly affected the interaction among major U. S. financial assets. These findings have implications for both policymakers and market practitioners in terms of portfolio allocation rules.

scholarly journals Corporate Financialization, Financing Constraints, and Environmental Investment

2021 ◽  
Vol 13 (24) ◽  
pp. 14040
Author(s):  
Lan Tao ◽  
Lianfang Chen ◽  
Kun Li
Keyword(s):  
Negative Relationship ◽  
State Enterprise ◽  
Small Scale ◽  
Financing Constraints ◽  
Financial Assets ◽  
Short Term ◽  
Environmental Investment ◽  
Inhibiting Effect ◽  
The Relationship

This paper took non-financial listed companies on A-shares from 2014 to 2018 as samples to empirically test the relationship between corporate financialization, financing constraints, and environmental investment. The empirical results showed that the degree of corporate financialization is negatively related to environmental investment, and the negative relationship between long-term financial assets and environmental investment is more significant. Financialization has a “crowding out” effect on environmental investment when the firm is a non-state enterprise or a small-scale enterprise. Financialization has a “reservoir” effect on environmental investment when it is subject to less financing constraints. Further analysis revealed that both long-term and short-term financial assets have an inhibiting effect on environmental investment when environmental regulations are stringent. This paper provides a theoretical reference for companies to make investment decisions on financial assets and to improve their ability on environmental investment and green sustainability.

Sign in / Sign up

Export Citation Format

Share Document