Investment Management and Financial Innovations最新文献_第3页

Uncovering the greenium: Investigating the yield spread between green and conventional bonds 揭开绿色债券的面纱：调查绿色债券与传统债券之间的收益差

Investment Management and Financial Innovations Pub Date : 2024-04-09 DOI: 10.21511/imfi.21(2).2024.05

Paola Fandella, Valentina Cociancich

{"title":"Uncovering the greenium: Investigating the yield spread between green and conventional bonds","authors":"Paola Fandella, Valentina Cociancich","doi":"10.21511/imfi.21(2).2024.05","DOIUrl":"https://doi.org/10.21511/imfi.21(2).2024.05","url":null,"abstract":"Green bonds are an increasingly used instrument to catalyze cash flows towards a low-carbon economy. Nonetheless, the existence of an actual price advantage is still uncertain. This research paper aims to assess whether there is a green bond premium (“greenium”) for green bonds relative to conventional bonds with similar characteristics, and how liquidity may affect the determination of a price advantage. It analyzes the yield differentials between green and conventional bonds using three different methods. First, a Nelson-Siegel-Svensson method is executed, estimating the premium both as the yield spreads and as the differentials in Z-spreads. Using a matching method and creating a sample of green and synthetic conventional bonds, the second methodology consists in calculating the distances between each categories’ yield for the same duration. Finally, a fixed-effect regression is performed to better control the liquidity bias. In the first case, a positive premium emerges when analyzing the yield spreads (+37.89 basis points) and the Z-spreads (+10.62 basis points). The second method mitigates the liquidity risk by creating a sample of synthetic bonds and reveals a yield spread of –15.89 basis points. Lastly, the regression method shows a negative greenium equal to –17.1487 basis points. Thus, a greenium emerges from all the three different methods, but its nature, sign, and real determinants are still uncertain. It is, therefore, not possible to conclude a definite price advantage for issuers of green bonds.","PeriodicalId":507796,"journal":{"name":"Investment Management and Financial Innovations","volume":"43 3","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-09","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140724180","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Testing event-based day of the week anomaly and trading opportunities: Evidence from Indian sectoral indices 测试基于事件的星期异常和交易机会：印度行业指数的证据

Investment Management and Financial Innovations Pub Date : 2024-04-08 DOI: 10.21511/imfi.21(2).2024.03

P. Bhatia, Sudhi Sharma, Vaibhav Aggarwal, Niyati Chaudhary

{"title":"Testing event-based day of the week anomaly and trading opportunities: Evidence from Indian sectoral indices","authors":"P. Bhatia, Sudhi Sharma, Vaibhav Aggarwal, Niyati Chaudhary","doi":"10.21511/imfi.21(2).2024.03","DOIUrl":"https://doi.org/10.21511/imfi.21(2).2024.03","url":null,"abstract":"The study is an attempt to examine the day-of-the-week anomaly of fourteen Indian sectoral indices and identify profitable opportunities, considering multiple positive and negative events. The aim of this study is to analyze the day-of-the-week effect on fourteen Indian sectoral indices and find profitable opportunities while considering multiple events that have positive and negative impacts. The study takes into consideration event-based anomalies, both national and global, and provides timing for trading to generate abnormal returns from the market. At first, dummy variable regression analysis was used to understand the initial anomalies. Later, time-varying symmetrical and asymmetrical volatility models, such as Generalized Autoregressive Conditional Heteroscedasticity (1, 1) and Exponential Generalized Autoregressive Conditional Heteroscedasticity (1, 1) were applied to determine the short-term and long-term volatility persistence. These models capture the leverage effect from various events that occurred during the study. The results showed mixed outcomes during multiple positive and negative shocks. After the recession, anomalies were observed across all sectoral indices, except for commodities, energy, and information technology. During the scam period, anomalies occurred in all sectors, except for consumer durables, financial services, and information technology. However, after the new government took over, anomalies persisted in all sectors. During the pandemic, anomalies persisted in all sectors except for finance, IT, pharmaceuticals, and services. Hence, national and global events have shown varied impacts on the Indian markets. The study provides investors with implications on strategies and timing techniques for planning their investments in different sectors of the Indian economy.","PeriodicalId":507796,"journal":{"name":"Investment Management and Financial Innovations","volume":"34 24","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-08","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140728056","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Anti-takeover provisions, managerial overconfidence, and corporate cash holdings in Korean listed firms 韩国上市公司的反收购条款、管理者过度自信和公司现金持有量

Investment Management and Financial Innovations Pub Date : 2024-04-03 DOI: 10.21511/imfi.21(2).2024.02

Kevin Troy Chua, A-Young Lee, Hansol Lee

{"title":"Anti-takeover provisions, managerial overconfidence, and corporate cash holdings in Korean listed firms","authors":"Kevin Troy Chua, A-Young Lee, Hansol Lee","doi":"10.21511/imfi.21(2).2024.02","DOIUrl":"https://doi.org/10.21511/imfi.21(2).2024.02","url":null,"abstract":"The management of an entity faces diverse decisions concerned with corporate operations and financing choices. Investigating various factors affecting a company’s cash holdings provides valuable insights into the decision-making processes of an organization. This study examines the effect of Anti-Takeover Provisions (ATPs), Managerial Overconfidence, and their interaction on the level of an entity’s cash holdings. Conducting a regression analysis, this study examines 3,409 firm-year observations from Korean listed entities covering 2011 to 2018. Results reveal that anti-takeover provisions positively influence an entity’s cash holdings (coefficient = 0.464, t-stat value = 7.83). Additionally, managerial overconfidence negatively affects cash holdings (coefficient = –0.140, t-stat value = –2.77). Furthermore, the interaction between anti-takeover provisions and managerial overconfidence significantly influences cash holdings (coefficient = –0.402, t-stat value = –3.46), especially in firms employing specific provisions such as supermajority vote requirements for executive dismissal (coefficient = –0.445, t-stat value = –2.73), issuance of convertible preferred stock (coefficient = –0.341, t-stat value = –1.76), and golden parachutes (coefficient = –0.715, t-stat value = –3.02). This study provides empirical evidence on how anti-takeover provisions and managerial traits influence corporate cash reserves. The study offers valuable insights for regulators, investors, and corporate management. It also emphasizes prudent cash management, urging firms, especially those with anti-takeover provisions and overconfident management, to reconsider financial policies to mitigate risks associated with aggressive decision-making.","PeriodicalId":507796,"journal":{"name":"Investment Management and Financial Innovations","volume":"197 ","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-04-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140750404","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Examining the bonus mechanisms’ role in real earnings management dynamics in an Indonesian manufacturing company 研究印度尼西亚一家制造企业的奖金机制在实际收益管理动态中的作用

Investment Management and Financial Innovations Pub Date : 2024-03-25 DOI: 10.21511/imfi.21(1).2024.33

Taufiq Akbar, Ridarmelli, Inung Wijayanti, Septo Pramesworo, Hedwigis Esti Riwayati

{"title":"Examining the bonus mechanisms’ role in real earnings management dynamics in an Indonesian manufacturing company","authors":"Taufiq Akbar, Ridarmelli, Inung Wijayanti, Septo Pramesworo, Hedwigis Esti Riwayati","doi":"10.21511/imfi.21(1).2024.33","DOIUrl":"https://doi.org/10.21511/imfi.21(1).2024.33","url":null,"abstract":"Real Earnings Management (REM) and financial success may have different relationships depending on how managers act. Bonus mechanisms are a significant factor that influences management behavior. The study seeks to examine the impact of bonus systems on the correlation between financial performance and REM practices in manufacturing companies in Indonesia. Moderated Regression Analysis (MRA) is employed to evaluate the influence of bonus mechanisms in moderating the association of financial performance on REM. The technique of purposive sampling was used to pick the sample. The study utilized data from manufacturing firms listed on the Indonesian Stock Exchange from 2017 to 2021, including a total of 400 observed data points. The research findings demonstrate that sales growth is the sole factor that significantly influences REM in manufacturing organizations, as indicated by a p-value below 10%. Other financial performance factors, on the other hand, with p-values for each variable above 10%, have not been shown to have a significant impact on REM. These factors include ROA, leverage, operating cash flow, and cash. The findings also demonstrate that, with a p-value for each variable above 10%, the bonus mechanism is a variable that modifies the effect of all financial performance variables on REM.","PeriodicalId":507796,"journal":{"name":"Investment Management and Financial Innovations","volume":" 44","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-03-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140384146","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Enhancing the public value of mobile fintech services through cybersecurity awareness antecedents: A novel framework in Jordan 通过网络安全意识前因提升移动金融科技服务的公共价值：约旦的新框架

Investment Management and Financial Innovations Pub Date : 2024-03-22 DOI: 10.21511/imfi.21(1).2024.32

Hasan Alhanatleh, Amineh A. Khaddam, Farah Abudabaseh, Mahmoud Alghizzawi, Amro Alzghoul

{"title":"Enhancing the public value of mobile fintech services through cybersecurity awareness antecedents: A novel framework in Jordan","authors":"Hasan Alhanatleh, Amineh A. Khaddam, Farah Abudabaseh, Mahmoud Alghizzawi, Amro Alzghoul","doi":"10.21511/imfi.21(1).2024.32","DOIUrl":"https://doi.org/10.21511/imfi.21(1).2024.32","url":null,"abstract":"The study aimed to link cybersecurity awareness and its antecedents to discover the level of public value of using mobile financial services from the perspective of ‘citizens in the government context in Jordan. The quantitative approach was customized to serve the purposes of this study. A convenience sampling method was used based on 550 e-survey Jordanians from whom data were collected. A total of 449 responses were used in the analysis process. A structural equation model was specified to evaluate the developed research model. The results revealed that all hypotheses are accepted at less than P<0.001, cybersecurity awareness and predictions of financial services systems play a significant role in determining the use of financial services systems and generating the value of using financial services. Moreover, combining cybersecurity awareness with public value theory is an important approach to measure the performance of government institutions, especially in the financial services industry. Therefore, these results can be used to develop financial services and meet Jordanians’ requirements. Therefore, providing well-understood dimensions that influence the value of microfinance service use among Jordanians is a necessary process that probably ensures long-term sustainability of microfinance services. Finally, future efforts can explore the benefits and challenges of adopting digital transformation technologies in the public sector and financial services. Furthermore, the term government resilience is likely provided new insights to enhance public administration performance based on technology trends. Digital transformation, integrating government flexibility with the existing research model may influence the overall value of Mobile Fintech Services in Jordan.","PeriodicalId":507796,"journal":{"name":"Investment Management and Financial Innovations","volume":" 42","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-03-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140211679","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

The impact of audit committee dimensions on financial reporting efficiency of limited partnership companies listed on the Amman Stock exchange 审计委员会对安曼证券交易所上市的有限合伙公司财务报告效率的影响

Investment Management and Financial Innovations Pub Date : 2024-03-22 DOI: 10.21511/imfi.21(1).2024.31

Qasim Ahmad Alawaqleh, Mahmoud Aleqab, Ruba Bsoul, Saqer AL-Tahat

{"title":"The impact of audit committee dimensions on financial reporting efficiency of limited partnership companies listed on the Amman Stock exchange","authors":"Qasim Ahmad Alawaqleh, Mahmoud Aleqab, Ruba Bsoul, Saqer AL-Tahat","doi":"10.21511/imfi.21(1).2024.31","DOIUrl":"https://doi.org/10.21511/imfi.21(1).2024.31","url":null,"abstract":"Currently, the Jordanian economy needs more investment due to the growing financial deficit facing the Jordanian state. Therefore, this study came to increase investors' trust in financial reports issued by Jordanian companies to attract more investments. Based on that, this study will investigate the impact of audit committee dimensions on the efficiency of financial reports of limited partnership companies listed on the Amman Stock Exchange. The data were collected from financial reports issued by 52 limited partnership companies for the year 2021. The study used multiple regression to test the hypotheses. Based on the findings, audit committee dimensions explained the variation in financial reports' efficiency which reached 0.629. The audit committee members' size does not significantly affect the financial reports' efficiency. The significance reached 0.287. However, the knowledge of financial management has a significant positive effect on financial report efficiency; the significance reached 0.000 and the effect volume arrived at 0.699. Also, the findings showed that audit committee meetings have a greater effect on financial reporting efficiency than financial management knowledge. The impact was significantly positive, arriving at 0.790, while the significance reached 0.000. The main research conclusion is that limited partnership companies listed on the Amman Stock Exchange adopt corporate governance to achieve control effectiveness of audit committees to increase financial reporting efficiency to achieve more investments.\u0000AcknowledgmentThe publication of this research has been supported by the Deanship of Scientific Research and Graduate Studies at Philadelphia University – Jordan.","PeriodicalId":507796,"journal":{"name":"Investment Management and Financial Innovations","volume":" 2","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-03-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140216135","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Impact of internal control system managers’ education on financial reporting: Focusing on manager-auditor disagreement 内部控制系统管理人员教育对财务报告的影响：关注管理者与审计师之间的分歧

Investment Management and Financial Innovations Pub Date : 2024-03-22 DOI: 10.21511/imfi.21(1).2024.30

Suyon Kim

{"title":"Impact of internal control system managers’ education on financial reporting: Focusing on manager-auditor disagreement","authors":"Suyon Kim","doi":"10.21511/imfi.21(1).2024.30","DOIUrl":"https://doi.org/10.21511/imfi.21(1).2024.30","url":null,"abstract":"The purpose of this study is to explore the correlation between internal control system (ICS) managers and the quality of financial reporting, assessed through the disagreements observed between managers and auditors. Using the regression model, an analysis of 5,007 firms from 2018 to 2021 shows a negative relationship. This suggests that as the education level of ICS managers increases, their proficiency in preparing initial financial statements improves, resulting in fewer errors and more accurate application of accounting policies. Consequently, a higher level of alignment between managers and auditors is anticipated, contributing to an overall enhancement in the quality of financial reporting. Additionally, this study thoroughly examines the correlation within firms operating in environments characterized by increased complexity and a heightened susceptibility to financial statement vulnerabilities. This evaluation is predicated upon the engagement in research and development (R&D) investments. The result suggests that higher education levels of ICS managers mitigate the disagreement between managers and auditors, even within intricate business environments.","PeriodicalId":507796,"journal":{"name":"Investment Management and Financial Innovations","volume":" 14","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-03-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140214143","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Determinants of UK companies’ dividend policy 英国公司股利政策的决定因素

Investment Management and Financial Innovations Pub Date : 2024-03-19 DOI: 10.21511/imfi.21(1).2024.29

M. Momany, Khaled Bataineh, Omar Al-Bataineh

{"title":"Determinants of UK companies’ dividend policy","authors":"M. Momany, Khaled Bataineh, Omar Al-Bataineh","doi":"10.21511/imfi.21(1).2024.29","DOIUrl":"https://doi.org/10.21511/imfi.21(1).2024.29","url":null,"abstract":"This study examines the major factors influencing UK companies listed on the Financial Times Stock Exchange (FTSE) 100 stock market's dividend policy (as determined by the dividend payout ratio) over 32 years, from 1990 to 2022. The dividend premium and free cash flow components make up the catering dividend. The outcomes of a wide range of panel data analysis regressions, such as Generalized Method of Moments (GMM) and Two-Stage Least Squares (2SLS) regressions, clearly show that the catering dividend significantly impacts UK firms' dividend policy. On the other hand, the dividend policy benefits from the dividend premium, which increases it by 12% to 17% on average. Free cash flow, on the other hand, has a negligible negative impact on the dividend policy by just 5%. It is crucial to mention that this outcome varies depending on the models and regression techniques used. Furthermore, this study emphasizes how important it is for a firm's size and profitability to play a key role in determining how it will implement its dividend policy. Financial leverage also becomes important since a company's dividend payment ratio decreases when it relies more heavily on debt in its capital structure. By using GMM and 2SLS regressions, this study carefully tackles the endogeneity issue, and the results hold up even when the endogeneity effect is reduced. Ultimately, this study emphasizes how important dividend catering components are in guiding UK companies' dividend policies, arguing that CEOs and legislators should pay more attention to this.","PeriodicalId":507796,"journal":{"name":"Investment Management and Financial Innovations","volume":"66 9","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-03-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140228765","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Exploring the role of corporate governance in driving financial performance: An empirical investigation of Nepalese commercial banks 探索公司治理在推动财务业绩方面的作用：对尼泊尔商业银行的实证调查

Investment Management and Financial Innovations Pub Date : 2024-03-19 DOI: 10.21511/imfi.21(1).2024.28

Padam Dongol, Sajeeb Kumar Shrestha

{"title":"Exploring the role of corporate governance in driving financial performance: An empirical investigation of Nepalese commercial banks","authors":"Padam Dongol, Sajeeb Kumar Shrestha","doi":"10.21511/imfi.21(1).2024.28","DOIUrl":"https://doi.org/10.21511/imfi.21(1).2024.28","url":null,"abstract":"This study delves into the substantial impact of corporate governance practices on a company’s financial performance, focusing specifically on Nepalese commercial banks in the Kathmandu Valley. With 419 participants from all 27 «A» grade commercial banks, the study concentrates on employees currently working in these banks, particularly top-level staff such as managers, department heads, and officers. The primary objective is to investigate the role of corporate governance in driving financial performance, using Return on Assets (ROA) and Return on Equity (ROE) as financial performance indicators of banks. The study explores various factors influencing corporate governance’s impact, including corporate governance policies, disclosure policies, board size, income diversity, and ethnic diversity. Data collection involves primary data from participants associated with the banks, and the analysis is conducted using the Statistical Package for the Social Sciences (SPSS). Descriptive, correlation, and regression analyses are employed to understand the relationship between corporate governance and financial performance variables. Notably, regular evaluations of the board of directors are found to have a beneficial impact on financial performance. A bank’s transparency in sharing performance information exhibits a stronger positive correlation with ROE (R=0.183) compared to ROA (R=0.060), suggesting that ROE is more sensitive to disparities in information availability. Furthermore, the study identifies a negative impact of board size on financial performance, with low-income diversity positively influencing it and board ethnic diversity exerting a negative and statistically significant influence.","PeriodicalId":507796,"journal":{"name":"Investment Management and Financial Innovations","volume":"13 4","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-03-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140230457","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0

Leverage-induced profitability in Bangladeshi firms: An empirical analysis 孟加拉国公司的杠杆诱导盈利能力：实证分析

Investment Management and Financial Innovations Pub Date : 2024-03-18 DOI: 10.21511/imfi.21(1).2024.27

Ummay Mahima Ima, Maliha Rabeta, Nurun Nahar, Mst. Sharmin Sultana Sumi

{"title":"Leverage-induced profitability in Bangladeshi firms: An empirical analysis","authors":"Ummay Mahima Ima, Maliha Rabeta, Nurun Nahar, Mst. Sharmin Sultana Sumi","doi":"10.21511/imfi.21(1).2024.27","DOIUrl":"https://doi.org/10.21511/imfi.21(1).2024.27","url":null,"abstract":"The intent of the inquiry is to extensively examine the impact of leveraged financing on firm performance in Bangladesh, revealing the subtle dynamics of leverage-induced profitability and emphasizing the importance of a balanced debt and equity structure for financial sustainability in emerging markets. To explore how financial leverage in an entity’s capital structure affects a business’s financial sustainability and analyze how it may be used to improve company performance, the study has employed a 22-year data set (2000–2021) from the Dhaka Stock Exchange. To perform Fixed Effect Regression based on the Hausman test, ‘Firm performance’ is used as the regressand, which was further proxied by Earnings per Share, Return on Assets, Return on Equity, and Basic Earning Power respectively. Alternatively, proxy variables for the regressor ‘Financial leverage’ include Debt-to-Equity, Debt-to-Asset, Current Liability-to-Equity, and Current Liability-to-Asset. The test has shown that leverage in the capital structure could lead to both favorable and unfavorable effects in emerging countries like Bangladesh. Age, along with Debt-to-Asset, has shown a substantial negative impact on Earnings per Share. Also, the Debt-to-Asset and Current Liability-to-Asset negatively affect the Return on Assets. However, Debt-to-Equity, Current Liability-to-Equity and Size have a substantial positive impact, however Age has a negative effect on Return on Equity. Lastly, Debt-to-Asset has shown a positive impact on Basic Earning Power. The findings suggest that balancing debt and equity is crucial to benefit from leverage-induced profitability, and the models can be extended or amended across industries to expand the study on this persistent leverage-induced profitability argument.","PeriodicalId":507796,"journal":{"name":"Investment Management and Financial Innovations","volume":"81 3","pages":""},"PeriodicalIF":0.0,"publicationDate":"2024-03-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140233942","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}

引用次数: 0