scholarly journals A Reseach on Fundamental Access of Selected Automobile Companies in India

2019 ◽  
Vol 8 (11S) ◽  
pp. 729-736
Keyword(s):  
Financial Market ◽  
Automobile Industry ◽  
Rural Areas ◽  
Intrinsic Value ◽  
Fundamental Analysis ◽  
Past Performance ◽  
True Value ◽  
Long Run ◽  
Gdp Growth Rate ◽  
A Share

Today, the most important strength of volatile financial market is information. Fixed income securities are for more risk-averse investors where as young people are more interested in equity shares as they like to take more risk in lieu of more return. Prices of these securities move according to the information available in the financial market. Investors are always confused regarding Where to invest, When to invest and How much to invest. Fundamental analysis is a method which helps an investor in knowing “What the price should be” or “What is the real value of a share”. It is based on the foundation that in the long run, the true value of a share will be equal to its intrinsic value i.e. present value of all the future cash inflows from the share in the form of dividends as valuation of equity shares are based on the assumption of going concern concept of business. Fundamental analysis involves analyzing the economy wide factors (e.g. GDP growth rate, employment etc), industry wide factors (e.g. competition, nature of product etc) and companywide factors (e.g. financial statements, corporate governance, management efficiency etc). It is also quoted by John Forman, “Fundamental analysis is very powerful in terms of determining long-term direction, but lacks short-term applicability”. The automobile industry is considered to be one of the key drivers of economic growth as it involves huge investment at the same time large profit to automobile companies. On the basis of past performance, it is analyzed that the demand outlook of automobile industry will continue to grow in 2018-19 due to healthy sales momentum in rural areas as well. This built confidence among the investors to invest in automobile industry which is highly rewarding at the same time it is highly risky in long run.

scholarly journals A study on technical analysis of s&p cnx nifty index

2013 ◽  
Vol 1 (1) ◽  
pp. 171-181
Author(s):  
Ragupathi M ◽  
Arthi B
Keyword(s):  
Intrinsic Value ◽  
Technical Analysis ◽  
Fundamental Analysis ◽  
Past Performance ◽  
Price Movement ◽  
Factors Affecting ◽  
The Past ◽  
Future Performance ◽  
The Difference ◽  
Future Growth

Technical analysts do not attempt to measure a security's intrinsic value; instead they look at stock charts for patterns and indicators that will determine a stock's future performance. The use of past performance should come as no surprise. People using fundamental analysis have always looked at the past performance of companies by comparing fiscal data from previous quarters and years to determine future growth. The difference lies in the technical analyst's belief thatsecurities move according to very predictable trends and patterns. These trends continue until something happens to change the trend, and until this change occurs, price levels are predictable. There are many instances of investors successfully trading a security using only their knowledge of the security's chart, without even understanding what the company does. However, although technical analysis is a terrific tool, most agree it is much more effective when used in combination with fundamental analysis. The technical analysis reveals the peaks, bottoms, trends, patterns and other factors affecting a stock‘s price movement and then makes buy/sell decisions based on those factors. The tools namely RSI and EMA have been used to predict the index price movement of S&P CNX Nifty.

scholarly journals Performance persistence of mutual funds: evidence from Bangladesh

2020 ◽  
Vol 11 (6) ◽  
pp. 1739
Author(s):  
Mohammad Abir Shahid Chowdhury ◽  
Zahid Ali ◽  
Muhammad Usman ◽  
Asad Ullah
Keyword(s):  
Mutual Funds ◽  
Financial Market ◽  
Mutual Fund ◽  
Stock Exchange ◽  
Parametric Models ◽  
Performance Persistence ◽  
Past Performance ◽  
Equity Mutual Funds ◽  
Long Run ◽  
Short Run

Purpose: Since 1990s, the discussion on whether mutual funds can perform better and persistently as compare to market has become an ongoing issue. Current research investigates the performance persistence of equity mutual funds’, particularly in the financial market of Bangladesh.Theoretical Framework: Different researchers have strived to examine the performance of mutual funds by using numerous performance indicators and risk adjustment techniques.Design/Methodology/Approach: The equity mutual funds data for this study are obtained from DSE (Dhaka Stock Exchange) database. The sample set includes all open-end mutual funds from 2010 to 2015. There is no mutual fund that has ceased trade or merged with other mutual funds during the study period.Originality/Value: Broad literature have been directed on the performance and persistence of mutual funds in the American markets, while some of the studies also centered on Australia, China, Hong Kong and U.K. financial markets. However, in the context of Bangladesh’s financial market, no identical research has been carried on the performance persistence of mutual funds.Findings: The results reveal that the managers of equity mutual funds have selective ability to obtain higher returns in Bangladesh. Moreover, the past performance of mutual funds has an impact on their future performance. The size of mutual funds doesn’t have any impact on their performance. The parametric and non-parametric models demonstrate that as compare to long run, equity mutual funds in Bangladesh could perform persistently in the short-run.

scholarly journals Fundamental Analysis – Possiblity of Application on the Real Estate Market

2016 ◽  
Vol 24 (4) ◽  
pp. 35-46 ◽  
Author(s):  
Marta Figurska ◽  
Radoslaw Wisniewski
Keyword(s):  
Real Estate ◽  
Intrinsic Value ◽  
Supply And Demand ◽  
Real Estate Market ◽  
Fundamental Analysis ◽  
The Real ◽  
The Real Estate ◽  
True Value ◽  
The Real Estate Market ◽  
The Subject

Abstract The most common method supporting investing on the capital market or making decisions on the real estate market is technical analysis. This article, however, focuses on the less popular fundamental analysis, the importance of which is increasing on internationals markets, especially fully-developed ones. Fundamental analysis is used for long-term predictions of values of future phenomena, based on historical data and any factors likely to affect the level of supply and demand. The final result of its use is an appraisal the true value of the subject of valuation, or so-called fundamental (intrinsic) value. Using this method to analyze, diagnose and forecast economic phenomena, as well as become familiar with the market in terms of its fundamentals, positively influences the process of taking investment measures and leads to a better understanding of the real estate market. The aim of the following study is to describe the possibility of applying fundamental analysis on the real estate market, based on the principles existing on capital markets. This article serves as an introduction to the subject-matter as well as the beginning of series of publications dedicated to different aspects of conducting fundamental analysis in the context of the real estate market.

Infrastructure mortgage in Russia: Opportunities and prospects

2019 ◽  
pp. 114-133
Author(s):  
G. I. Idrisov ◽  
Y. Yu. Ponomarev
Keyword(s):  
Federal Government ◽  
Public Debt ◽  
Budget Deficit ◽  
Expert Assessment ◽  
Inflation Expectations ◽  
Direct Impact ◽  
Long Run ◽  
Gdp Growth Rate ◽  
Negative Effect

The article shows that depending on the goals pursued by the federal government and the available interbudgetary tools a different design of infrastructure mortgage is preferable. Three variants of such mortgage in Russia are proposed, each of which is better suited for certain types of projects and uses different forms of subsidies. According to our expert assessment the active use of infrastructure mortgage in Russia can increase the average annual GDP growth rate by 0.5 p. p. on the horizon of 5—7 years. In the long run the growth of infrastructure financing through the use of infrastructure mortgage could increase long-term economic growth by 0.9 p. p., which in 20—30 years can add 20—30% of GDP to the economy. However, the change in the structure of budget expenditures in the absence of an increase in the budget deficit and public debt will cause no direct impact on monetary policy. The increase in the deficit and the build-up of public debt will have a negative effect on inflation expectations, which will require monetary tightening for a longer time to stabilize them.

The Evolutionary Dynamics of Decision Rule Selection

2017 ◽  
Author(s):  
Michael Laver ◽  
Ernest Sergenti
Keyword(s):  
Decision Rule ◽  
Positive Feedback ◽  
Party System ◽  
Evolutionary Dynamics ◽  
Decision Rules ◽  
Past Performance ◽  
Party Leaders ◽  
Track Record ◽  
Long Run ◽  
Survival Of The Fittest

This chapter extends the survival-of-the-fittest evolutionary environment to consider the possibility that new political parties, when they first come into existence, do not pick decision rules at random but instead choose rules that have a track record of past success. This is done by adding replicator-mutator dynamics to the model, according to which the probability that each rule is selected by a new party is an evolving but noisy function of that rule's past performance. Estimating characteristic outputs when this type of positive feedback enters the dynamic model creates new methodological challenges. The simulation results show that it is very rare for one decision rule to drive out all others over the long run. While the diversity of decision rules used by party leaders is drastically reduced with such positive feedback in the party system, and while some particular decision rule is typically prominent over a certain period of time, party systems in which party leaders use different decision rules are sustained over substantial periods.

scholarly journals Do Military Expenditure and Conflict Affect Economic Growth in Sri Lanka? Evidence from the ARDL Bounds Test Approach

2016 ◽  
Vol 8 (3) ◽  
pp. 1
Author(s):  
Abdul Rasheed Sithy Jesmy ◽  
Mohd Zaini Abd Karim ◽  
Shri Dewi Applanaidu
Keyword(s):  
Growth Rate ◽  
Civil War ◽  
Sri Lanka ◽  
Military Expenditure ◽  
Gdp Growth ◽  
Per Capita Gdp ◽  
Long Run ◽  
Gdp Growth Rate ◽  
Per Capita ◽  
Bounds Test

Conflicts in the form of civil war, ethnic tensions and political discord are of enduring concern and a major bottleneck to economic development in Sri Lanka. Three decades of civil war and unethical political culture have caused severe economic problems for the country, including slower rate of growth and a huge defence expenditure. The aim of this study is to examine the effect of military expenditure and conflict on per capita GDP growth rate in Sri Lanka from 1973 to 2014 using the Solow growth model and ARDL bounds test approach. The results of the bounds test are highly significant and lead to cointegration. The negative and significant coefficients of the error correction term illustrate the expected convergence process in the long-run dynamic of per capita GDP. The estimated empirical results show that, the coefficients of military expenditure and conflict are negative and statistically significant in the short-run as well as in the long-run in determining per capita GDP growth rate in Sri Lanka. Hence, it is critically important to take necessary action to decrease military expenditure and provide an efficient political solution to the problem of minorities, specifically in the post-war period.

LEARNING DYNAMICS AND NONLINEAR MISSPECIFICATION IN AN ARTIFICIAL FINANCIAL MARKET

2009 ◽  
Vol 13 (5) ◽  
pp. 625-655 ◽  
Author(s):  
Christophre Georges ◽  
John C. Wallace
Keyword(s):  
Time Series ◽  
Financial Market ◽  
Consistency Condition ◽  
Nonlinear Structure ◽  
State Variable ◽  
Bounded Memory ◽  
Long Run ◽  
Finite Memory ◽  
Aggregate Dynamics ◽  
True Structure

In this paper, we explore the consequence of learning to forecast in a very simple environment. Agents have bounded memory and incorrectly believe that there is nonlinear structure underlying the aggregate time series dynamics. Under social learning with finite memory, agents may be unable to learn the true structure of the economy and rather may chase spurious trends, destabilizing the actual aggregate dynamics. We explore the degree to which agents' forecasts are drawn toward a minimal state variable learning equilibrium as well as a weaker long-run consistency condition.

Institutional variations in practice of demand responsive approach: evidence from rural water supply in India

Water Policy ◽  
2014 ◽  
Vol 16 (4) ◽  
pp. 650-668 ◽  
Author(s):  
Satyapriya Rout
Keyword(s):  
Drinking Water ◽  
Water Supply ◽  
Rural Areas ◽  
The State ◽  
Indian Society ◽  
Institution Building ◽  
Rural Water Supply ◽  
Long Run ◽  
Rural Water ◽  
Village Communities

The paper reports the main findings of a study, designed to develop a better understanding of institutional variations in working with the demand responsive approach (DRA) in rural water supply in the state of Odisha in India. Data for the paper were collected from twelve village communities, where water is being supplied either through their community based institution or through the local government institution of the Gram Panchayat. The findings suggest that the two types of institutions performed differently in implementing the DRA. It depicted that the DRA under the broader rubric of institutional reforms in the water sector has failed to address the question of social inequality, and rather had reinforced and extended the already existing inequity of Indian society to access to safe and secure drinking water in rural areas. The study highlights that participation, cost recovery, full operation and management transfer may be an efficient proposition, but not sustainable in the long run without proper investment in institution building and support from the state, especially in provisioning of basic services like drinking water to rural poor.

scholarly journals From Shareholder Value to CEO Power: The Paradox of the 1990s

2005 ◽  
Vol 9 (1) ◽  
pp. 7-47 ◽  
Author(s):  
Robert Boyer
Keyword(s):  
Financial Market ◽  
Moral Philosophy ◽  
Bargaining Power ◽  
Stock Options ◽  
Ceo Power ◽  
Economic Theories ◽  
Long Run ◽  
Legal Sanctions ◽  
Top Manager ◽  
Wage Earners

Why did CEO remuneration explode during the 1990s and persist at high levels, even after the Internet bubble burst? This article surveys the alternative explanations that have been given of this paradox, mainly by various economic theories with some extension to political science, business administration, social psychology, moral philosophy and network analysis. It is argued that the diffusion of stock options and financial market-related incentives, supposed to discipline managers, have entitled them to convert their intrinsic power into remuneration and wealth, both at micro and macro level. This is the outcome of a de facto alliance of executives with financiers, who have exploited the long-run erosion of wage earners' bargaining power. The article also discusses the possible reforms that could reduce the probability and the adverse consequences of CEO and top-manager opportunism: reputation, business ethic, legal sanctions, public auditing of companies, or a shift from a shareholder to a stakeholder conception.

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