scholarly journals An Exploratory Inquiry into the Psychological Biases in Financial Investment Behavior Evidence from Pakistani Financial Markets

2021 ◽  
Vol 7 (3) ◽  
pp. 739-748
Author(s):  
Hussain Khawaja ◽  
Jameel Ahmed Khan ◽  
Noor Muhammad Jamali
Keyword(s):  
Financial Markets ◽  
Financial Management ◽  
Design Methodology ◽  
Learning Approach ◽  
Investment Behavior ◽  
Financial Investment ◽  
Financial Products ◽  
Epistemological Understanding ◽  
Exploratory Inquiry ◽  
Practical Implications

Purpose: This research aims to explore the psychological biases in the investment behavior of Pakistani investors, which refers to the natural inclination of investors towards specific financial products based on certain perceptions developed through information or news relating to the issuer of financial products Design/Methodology/Approach: A sample of twelve actively participating investors were selected in this research contacted through telephone in which the conversations were tape-recorded with the consent of the interviewee. It was then transcribed and coded into Ms. Word, or themes were developed. Findings: Thematic analysis was conducted over the responses received; the results suggest that due to lack of training, knowledge relating to an investment in financial products, the behavior of investors is highly biased; partly either because of their association in the form of employment with issuing authorities or because of the news or information floated relating to financial products of the various companies. Implications/Originality/Value: The study has many practical implications; the financial managers and consultants can design financial management behavior practical learning approach to reduce biases. Also, stock stockbrokers, investors identify such biases and reduce their impact. Furthermore, this study highlights the philosophical paradigm through ontological and epistemological understanding.

scholarly journals The concept and application of ḍamān al-milkiyyah (ownership risk)

2017 ◽  
Vol 9 (2) ◽  
pp. 148-163 ◽  
Author(s):  
Lutfi Abdul Razak ◽  
Muhammad Nabil Saupi
Keyword(s):  
Design Methodology ◽  
Islamic Law ◽  
Content Type ◽  
Practical Applications ◽  
For Profit ◽  
Descriptive Research ◽  
Financial Products ◽  
Financial Transactions ◽  
Practical Implications

Purpose The purpose of this paper is to elucidate the concept of ḍamān al-milkiyyah (ownership risk) and to assess its application in contemporary Islamic financial products and services. Design/methodology/approach The methodology adopted is that of descriptive research. Findings From an Islamic law of contract perspective, the concept of ḍamān al-milkiyyah is central to legitimate profit-making transactions and hence must be adhered to in practical applications of Islamic finance. Research limitations/implications This study should help motivate further investigation into the position of ḍamān al-milkiyyah among different parties in existing Islamic financial products and services. Practical implications Policymakers and regulators should ensure that Islamic financial products and services are structured in a way that does not allow parties to profit without adequately bearing the liability for potential loss. Social implications The condition of ḍamān al-milkiyyah as a source of legitimate profit reflects the idea that the role of finance in Islam is to promote and ensure social benefits. Originality/value This paper emphasizes the importance of ḍamān al-milkiyyah as a fundamental condition for profit in Islamic financial transactions.

Reflections on civil culpability and accountability in the destabilization of financial institutions

2010 ◽  
Vol 17 (3) ◽  
pp. 333-336
Author(s):  
Mario Serio
Keyword(s):  
Financial Markets ◽  
Financial Institutions ◽  
Design Methodology ◽  
Practical Implication ◽  
Comparative Approach ◽  
Private Law ◽  
New Approach ◽  
Content Type ◽  
The Public ◽  
Practical Implications

PurposeThe purpose of this paper is to try and trace a new itinerary in the matter of the destabilization of financial institutions, i.e. the identification of a catalogue of measures that private law can offer in order to make sure that all unlawful initiatives resulting in the loss of credibility of financial markets and prejudice to the public at large do not escape the imposition of all possible liabilities.Design/methodology/approachThe matter here applied consists of the recourse to a number of experiences deriving from European legal systems that have tackled the phenomenon of unlawful attacks on the integrity of the financial markets through individual or organized acts. This comparative approach also benefits from the scrutiny of both legislation and judicial decisions: the latter are also looked at from the perspective of legal authors.FindingsThe most striking result of the research is that the instruments provided for by the private law remedies seem to be very efficient in the contrast of unlawful practices adversely affecting financial markets: the new spirit emerging from this survey is that it is imperative to set aside all contracts and agreements aimed at creating illicit ways to make profits and hide their origins.Practical implicationsThe practical implication should be to encourage all institutions with the task of checking the good functioning of financial markets to avail themselves of the tools here described to stabilize markets and deprive illegal contracts of their ill effects: it would be most desirable if such an approach were to be taken.Originality/valueThe novelty lies in the new approach described above (practical implications).

MiFID II: practical implications for high yield bond investors

2018 ◽  
Vol 19 (1) ◽  
pp. 58-62
Author(s):  
Natalia Sokolova ◽  
Tamer Bahgat
Keyword(s):  
Financial Markets ◽  
Financial Services ◽  
Design Methodology ◽  
Bond Market ◽  
High Yield ◽  
Content Type ◽  
Minimal Impact ◽  
Adoption And Implementation ◽  
Practical Guidance ◽  
Practical Implications

Purpose The purpose of this paper is to alert the European high-yield market to several regulatory developments relating to the adoption of markets in financial instruments directive (MiFID) II. Design/methodology/approach Reviews regulatory developments in connection with the MiFID II adoption and implementation, identifies several practical implications for the high-yield market professionals and suggests certain modifications in the banks’ internal protocols and practices that may be required as a result. Findings When the provisions of MiFID II are applied on January 3, 2018, they may have a dramatic impact on global financial markets, including a number of practical implications for the high-yield bond market. The burden of implementing MiFID II will be primarily on banks and brokers with minimal impact on the high-yield issuers. Originality/value Practical guidance from experienced high yield, securities and financial services lawyers.

A research portfolio approach to evaluating finance journal quality

2016 ◽  
Vol 42 (4) ◽  
pp. 338-353 ◽  
Author(s):  
Morris G. Danielson ◽  
Jean L. Heck
Keyword(s):  
Financial Markets ◽  
Financial Management ◽  
Design Methodology ◽  
Publication Activity ◽  
Content Type ◽  
Academic Field ◽  
The Past ◽  
Portfolio Approach ◽  
Relative Quality

Purpose – The purpose of this paper is to update and extend Danielson and Heck (2014) to provide additional evidence about the relative quality of a set of 23 high-impact finance journals. In particular, the paper summarizes the research records of all scholars contributing articles to each of the 23 journals from 1970 to 2014, and uses this information to identify journals that publish articles by similar sets of authors, and rank the 23 journals based upon publication activity from 2010 to 2014. Design/methodology/approach – The names of all authors appearing in each of the 23 journals during the 1970 to 2014 period – and the number of appearances by each author – were summarized directly from the journals’ table of contents. From this data, the lifetime (1970-2014) research portfolio of each journal’s average author was quantified for two sub-periods: 1970-2009 and 2010-2014. Using the assumption that a journal’s quality is positively related to its ability to attract submissions from accomplished researchers, this data provides information about the authors’ subjective ranking of finance journals and about how these rankings have changed during the past five years. Findings – The finance literature experienced rapid growth during 2010-2014, with almost 25 percent of all appearances from 1970 to 2014 occurring in the last five years of the period. Based upon publication activity during 2010-2014, the Journal of Finance, the Review of Financial Studies, the Journal of Financial Economics, and the Journal of Financial and Quantitative Analysis remain the most prestigious finance outlets, followed by the Financial Analysts Journal, the Journal of Financial Markets, Review of Finance, the Journal of Financial Intermediation, Financial Management, and the Journal of Applied Corporate Finance. Research limitations/implications – The identification of a unique set of the 23 “best” journals in any academic field is an inherently subjective task. Adding journals to (or removing journals from) this population could cause the ranking of some individual journals to shift. Originality/value – Evidence about the average quality of articles appearing in the leading finance journals is useful when evaluating faculty research records for purposes of tenure, promotion, and merit awards.

Incentives for complexity in financial regulation

2014 ◽  
Vol 15 (2) ◽  
pp. 102-109
Author(s):  
Tom Berglund
Keyword(s):  
Financial Markets ◽  
Design Methodology ◽  
Financial Regulation ◽  
Content Type ◽  
Resource Requirements ◽  
High Integrity ◽  
Explicit Discussion ◽  
Practical Implications ◽  
Taking Care

Purpose – The purpose of the paper is to find out which incentives are present for persons who are taking care of financial regulation in practice, and how these incentives impact their attitudes towards complexity of financial regulation. Design/methodology/approach – Based on recent contributions, reasons behind the increase in complexity observed in financial regulation are discussed. The role of actual incentives for the persons involved in setting up and enforcing regulation is detailed. Findings – Incentives for persons that impact drafting and implementation of financial regulation produce a bias towards excessive complexity. Additional complexity reduces the risk for being exposed to aggressive journalism and pressure from populist politicians. Increasing complexity of regulation will also benefit large players since the costs are largely fixed. Research limitations/implications – Careful studies measuring the costs of increased complexity in terms of increased resource requirements are needed. Practical implications – To reduce the bias towards excess complexity, a body consisting of knowledgeable persons with high integrity is required with an explicit mandate of scrutinising regulation in order to reduce, or at least not increase, complexity. This body must be empowered with sufficient discretion to tackle cases that lack precedents. Originality/value – The paper introduces an explicit discussion of existing incentives on the regulator side of financial markets to increase the understanding of the issues involved in the increased complexity that we observe in the rules that are implemented to guide behaviour in financial markets.

An Exploratory Inquiry into the Psychological Biases in Financial Investment Behavior

2013 ◽  
Vol 14 (2) ◽  
pp. 94-103 ◽  
Author(s):  
Shalini Kalra Sahi ◽  
Ashok Pratap Arora ◽  
Nand Dhameja
Keyword(s):  
Investment Behavior ◽  
Financial Investment ◽  
Exploratory Inquiry

Stricter microprudential supervision versus macroprudential supervision

2015 ◽  
Vol 23 (4) ◽  
pp. 354-368 ◽  
Author(s):  
Larry D Wall
Keyword(s):  
Financial Crisis ◽  
Financial Markets ◽  
Financial Stability ◽  
Design Methodology ◽  
Economic Damage ◽  
Financial Systems ◽  
Content Type ◽  
Depth Analysis ◽  
The Usa ◽  
Practical Implications

Purpose – The purpose of this paper is to develop an explicitly macroprudential supervisory framework designed to identify threats to financial stability use existing mechanisms to reduce the risk of these threats and to provide information to the authorities to more efficiently mitigate any instability that does arise. Design/methodology/approach – This paper begins with an analysis of the limitations of microprudential regulation. It then develops a macroprudential surveillance framework focused on those financial markets that have the potential to undermine financial stability. It concludes with a discussion of how the surveillance results may be used to enhance financial stability. Findings – The current supervisory focus on microprudential supervision of systemically important institutions is insufficient; an explicitly macroprudential focus is required. Research limitations/implications – Although this paper’s conceptual framework is applicable to all advanced financial systems the discussion of specific regulatory structures focuses on the USA. Practical implications – An explicit supervisory focus on the threats posed by major financial markets is feasible and desirable. Social implications – The probability of a financial crisis and the economic damage caused by a crisis can be significantly reduced by redirecting some regulatory efforts toward in-depth analysis of major financial markets. Originality/value – The paper emphasizes that macroprudential supervision must include both quantitative and detailed analysis of the qualitative aspects of key markets.

scholarly journals Quality improvement in physiotherapy services

2017 ◽  
Vol 30 (5) ◽  
pp. 424-435 ◽  
Author(s):  
George Boak ◽  
Ruth Sephton ◽  
Elaine Hough ◽  
Ruth ten Hove
Keyword(s):  
Design Methodology ◽  
Learning Approach ◽  
Process Change ◽  
Enabling Factors ◽  
Content Type ◽  
Therapy Services ◽  
Multiple Case ◽  
Positive Effect ◽  
Practical Implications

Purpose The purpose of this paper is to evaluate a process change in physiotherapy services and to explore factors that may have influenced the outcomes. Design/methodology/approach This is a multiple case study and information was gathered from eight physiotherapy teams over 24 months. Findings The process change was successfully implemented in six teams. It had a clear, positive effect on service quality provided to patients in three teams. Whilst quality also improved in three other teams, other issues make changes difficult to assess. Factors that enabled process change to be effective are suggested. Research limitations/implications The findings are based on results achieved by only eight English teams. Practical implications This process change may be appropriate for other teams providing therapy services if attention is paid to potential enabling factors, and a learning approach is adopted to designing and introducing the change. Originality/value To the best of the authors’ knowledge, no other longitudinal process change study in therapy services has been published.

scholarly journals THE SHAPE OF ASSIKO’ KANA (Hybrid Contract) ON MAKASSAR NATIVES : ETHNOMETHODOLOGY PERSPECTIVE

2020 ◽  
Vol 28 (1) ◽  
pp. 1-27
Author(s):  
Sultan Syah ◽  
Eko Sukoharsono ◽  
Erwin Saraswati ◽  
Roekhudin
Keyword(s):  
Design Methodology ◽  
Qualitative Method ◽  
Islamic Law ◽  
Islamic Finance ◽  
Islamic Banking ◽  
Financial Products ◽  
Flying Fish ◽  
Religious Aspects ◽  
Contract Form ◽  
Practical Implications

Purpose — The purpose of this research is to discuss the accounting shari’a in assikko’ kana (hybrid contract) applied by Makassar natives by interpreting the existence of accounting in the trade activity area. Design/methodology/approach — In order to determine the existence of accounting, this research uses a qualitative method by using the ethnomethodology approach. Findings — The result reveals that accounting is the accountability process of economic, social, cultural, and religious aspects of the trade activities, which also can be found in the kalula[1] system. The research also finds that the trade actors are highly committed to trusting each other even though they incur losses. Thus this indicates that sociability becomes their priority. In addition, there is one more important factor so-called papalele (shareholders) whos contribute to the run of activities. Practical Implications — Banking, financial companies, and Islamic finance including capital owners can benefit from the preparation of assikko’ kana (hybrid contracts) so that the contracts made do not conflict with the prevailing Islamic Sharia Originality/value — a hybrid contract form applied to the flying fish fishermen community (patorani) is the result of acculturation between local culture and Islamic law. What's interesting is that the majority of Islamic banking and financial products and services are hybrid contracts, but the source of funding is still sourced from local investors (papalele). This paper tries to make a reality in the patorani community in establishing Sharia parameters, about how to combine more than one contract in one transaction

How to optimize learning from internships

2018 ◽  
Vol 32 (3) ◽  
pp. 19-21
Keyword(s):  
Professional Identity ◽  
Case Studies ◽  
Design Methodology ◽  
Reading Time ◽  
Cutting Edge ◽  
Learning Approach ◽  
Theoretical Knowledge ◽  
Content Type ◽  
Pertinent Information ◽  
Practical Implications

Purpose This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context. Findings Use of an entrepreneurial learning approach can help graduates on internship placements to better apply theoretical knowledge to practice. They are also able to enhance their ability to engage in meaningful reflection, more accurately assess their experience of the program, and develop a professional identity. Practical implications The paper provides strategic insights and practical thinking that have influenced some of the world’s leading organizations. Originality/value The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent, information and presenting it in a condensed and easy-to-digest format.

Sign in / Sign up

Export Citation Format

Share Document