The effect of investor sentiment and the structure of shareholder ownership on corporate investment

Purpose This paper aims to investigate the relations amongst investor sentiment, the structure of shareholder ownership and corporate investment.Design/methodology/approach This paper develops a theoretical model, proposes hypotheses based on the predictions of the model and conducts empirical tests. The primary method is panel regression with fixed effects. The sample covers the US data for the period between 1980 and 2018.Findings This paper finds that firms with a higher proportion of retail investors invest more than otherwise similar firms. In the low-sentiment periods, the financially constrained firms invest less than the non-financially constraint firms. The positive effect of residual retail ownership on the investment level is higher for firms with a higher idiosyncratic risk.Practical implications The results suggest that larger share ownership of the relatively informed institutional investors may serve as a mechanism that could reduce the degree of overinvestment caused by higher investor sentiment and the over-optimistic of the relatively uninformed investors.Originality/value This paper provides an incremental theoretical and empirical contribution to the relations amongst investor sentiment, corporate investment and the structure of shareholder ownership.

EFEKTIVITAS PELAYANAN DINAS PENANAMAN MODAL DAN PELAYANAN TERPADU SATU PINTU DALAM MENINGKATKAN INVESTASI DI KABUPATEN PANGKEP

Penelitian ini bertujuan untuk mengetahui dan menganalisis: 1) pengaruh secara parsial variabel independen (kualitas pelayanan) terhadap variabel dependen (tingkat investasi) di Dinas PMPTSP Kabupaten Pangkep. 2) pengaruh secara simultan variabel independen (kualitas pelayanan) terhadap variabel dependen (tingkat investasi) di Dinas PMPTSP Kabupaten Pangkep. Jenis penelitian yang akan digunakan dalam penelitian ini adalah penelitian kuantitatif dengan tipe studi kasus (Case Study). Populasi dalam penelitian ini sebanyak 55 orang, teknik pengambilan sampel dalam penelitian ini menggunakan Sampling Jenuh, sampel sebanyak 55 orang sebagai responden, teknik pengumpulan data menggunakan kuesioner dan dukumentasi. Teknik analisis data dalam penelitian ini menggunakan analisis deskriptif dan analisis inferensial. Hasil penelitian menunjukan bahwa pengaruh secara parsial dan simultan variabel independen (kualitas pelayanan) terhadap variabel dependen (tingkat investasi) di Dinas PMPTSP Kabupaten Pangkep terdapat kualitas pelayanan Dinas PMPTSP dalam meningkatkan investasi di Kabupaten Pangkep seperti kejelasan tujuan, kejelasan strategi, proses analisis kebijakan, perencanaan, penyusunan program, sarana dan prasarana, sistem pengawasan, dan sistem pengendalian. This study aims to determine and analyze: 1) the partial effect of the independent variable (service quality) on the dependent variable (investment level) in the PMPTSP Office of Pangkep Regency. 2) the simultaneous influence of the independent variable (service quality) on the dependent variable (investment level) in the PMPTSP Office of Pangkep Regency. The type of research that will be used in this research is quantitative research with case study type. The population in this study was 55 people, the sampling technique in this study used saturated sampling, a sample of 55 people as respondents, data collection techniques used questionnaires and documentation. The data analysis technique in this study used descriptive analysis and inferential analysis. The results showed that the partial and simultaneous influence of the independent variable (quality of service) on the dependent variable (level of investment) in the PMPTSP Office of Pangkep Regency there was the quality of service of the PMPTSP Service in increasing investment in Pangkep Regency such as clarity of objectives, clarity of strategy, policy analysis process, planning, program preparation, facilities and infrastructure, supervision system, and control system.

ASSESSMENT OF THE STATE OF THE FORESTRY COMPLEX OF THE VORONEZH REGION: PROBLEMS AND PROSPECTS

The article analyzes and evaluates the state of forest resources, including the Voronezh region. Based on the assessment and analysis, the following problems of the forestry complex were identified: failure to perform thinning; insufficient investment level; lack of development of the use of forests for the purpose of carrying out recreational activities; wear and tear of vehicles; the lack of information on the markets for the sale of wood from the Voronezh region in other constituent entities of the Russian Federation, here the negative aspects are that almost all the wood of the region is consumed within the region, only a small part of the wood is exported. The main problem of the forestry complex is the lack of a comprehensive information resource (lack of up-to-date forest inventory data in electronic formats; centralized database; inconsistency and dissociation of forest data stored in various information systems of subordinate institutions of Rosleskhoz; lack of reliable information on the volumes of harvesting, turnover and export of timber etc.). In addition to the problems, the article outlines the prospects for the development of the forest complex of the Voronezh region: zoning of the forest fund by the types of planned forest development; formation of forest plots for use and putting them up for auctions taking into account demand; determination of the initial rent, taking into account the demand for forest plots in various forest districts.

Optimal R&D Investment Strategy of Pollution Abatement and Incentive Mechanism Design under Asymmetric Information

The study examines optimal pollution control R&D investment strategy of firms under asymmetric information and further analyzes the impact of government incentive mechanism on it. We use stochastic optimal control theory to get the exact solution of R&D investment strategy and incentive mechanism. Our analysis reveals that if there is no supervisor, firms choose not to cooperate, but the government can take appropriate incentive compensation to make firms reach Nash equilibrium. If there are supervisors, the optimal strategy of the enterprise is to choose cooperation, and there will be Pareto optimum among the firms. Furthermore, the R&D investment level decreases with increasing environmental uncertainty.

Evolution of Tariff Government Regulation in Energy and Communal Markets on the Basis of Smart Regulation System

The Aim. Analysis of effects according to digital pricing system advent in energy and communal sphere in Russia as a part of new industrial revolution.Purpose of a research. Review of a current world trends on energy markets, determination of ways and instruments for tariff regulation digital development on the energy and communal markets, definition of possible results from complex digitalization of tariff regulation system.Methodology of a research. During research of this article were widely applied instruments of complex theoretical analysis, cause-effect relations were tested between theoretical hypothesis and practical realization of digital tariff regulation models.Result of a research. By the author were written and systematic defined concept of pricing digitalization system on the Russian energy and communal markets according to analysis of main world trends in this economic sphere. The term of digital platform of tariff regulation was developed.Output. Digitalization of tariff regulation could develop premises for deregulation of energy and communal spheres in Russia enable the competence development and lower the entrance barriers for new market players what can lead to higher innovation and investment level recruited in these important markets.

Stakeholder relationship capability and investment efficiency: a mosaic theory test

Purpose Considering the constraints on resources and the need for firms’ planning to avoid recession and underdevelopment, enhanced investment efficiency would promote the capital market attractiveness and increase the performance of capital market investment. Empowering these markets through investment efficiency requires to promote the flow of information disclosure to stakeholders to provide the greater coherence and integration of information, enhance equal decision-making capabilities and promote trust and confidence in the company. The present study aims to examine the impact of stakeholder relationship capability on investment efficiency through testing the mosaic theory. Design/methodology/approach In this study, two criteria (namely, the ratio of net fixed assets to total assets and investment level) were used to measure investment efficiency. Furthermore, meta-synthesis and Delphi analyses were adopted based on a five-point Likert scale to measure the development of stakeholder relationship capability. To collect the research data, the questionnaires were sent to 142 companies in 2019, of which 112 questionnaires were returned by the managers of the firms listed in Tehran Stock Exchange. To fit and test the research hypothesis, partial least squares analysis was used. Findings After confirming the fit of the model, the results revealed that the stakeholder relationship capability had a positive and significant effect on investment efficiency. Originality/value With regard to the mosaic theory, this finding confirms that the equity of information in reflecting news and knowledge among stakeholders can promote the role of the firm’s stakeholder relationship capability, thus enhancing the investment efficiency.

Financial Constraints across Pakistani Listed Firms

Using Q investment model to scrutinize investment-cash flow sensitivity, a measure of financial constraint, has been a subject of controversy in literature. By using an alternative model called Error Correction model, this study aims to check the sensitivity between firm’s internal finance and investment level for the case of lower middle income country. Literature has shown that firms’ specific characteristics affect the relation between investment and cash flow of the firms. By considering the unique characteristics of Pakistani corporate sector, this study further target to check whether the investment-cash flow sensitivity differs across size of the firms, group affiliation of the firms and dividend policy of the firms. Our findings indicate that Pakistani listed firms are financially constrained. We find a strong relationship between investment and cash flow for small and non-dividend-paying firms; whereas group-affiliation does not affect investment- cash flow sensitivity of firms.