💰 Essays on Finance

Ethical Investing and Islamic Stock Market Indexes

Abstract This thesis examines the emergence, theoretical and practical value of Islamic market indices. The first two goals rely on straightforward secondary research that initially highlights the conceptual simplicity of stock market indexes for investors, the financial press and other stakeholders like government. For the pious individual and institutional investor,...

Investment Environment in Al-Mazunah Free Zone

The Image of the Current Investor: A Resulting Matrix Investing requires assessing existing market trends comprehensively, which, in turn, affects the image of investors and their business behavior. Operating in Al-Mazunah Free Zone as a region with rich opportunities and active market participants is dynamic. Based on the interviews with...

Monetary Policy and Stock Price Volatility

Introduction Today’s financial markets are more interlocked than interlinked than ever. The effects of any major economic event have the potential to sprawl globally, affecting local economies and transforming the global economy on the whole. The last few decades have been marked with unprecedented economic volatility that has compelled the...

Why Nigeria Lng Has Been Restricted in Development

Delays in Brass LNG Project Takeoff The Brass LNG project, estimated to be among the biggest natural gas projects in the world in terms of its capacity, is failing to woo investors. The previous anticipation of the company’s expected production performance now appears to be unrealistic because investors who were...

DSO and Profit Margin for Schneider Electrics Analysis

Introduction The recent history of the financial crisis faced by businesses, lowering of the banks’ cuts of loan balances, rise of the interest spreads and intensified red tape, firms have realized that the daily finances of the firm and the cash flow has to be strictly regulated and controlled. Further,...

Determinants of Exchange Rate in Nigeria

Abstract Nigeria has witnessed endless periods of volatile exchange rates. To date, the country has still not been able to stabilise its exchange rates, despite the growing importance of the Nigerian economy in Africa’s growth potential. Exchange rate fluctuations remain a very important macroeconomic concern among many economists in Nigeria...

Financial Services Authority in the UK: Case Study

Introduction Financial regulation is a very important aspect in any country. A regulator ensures that banks and other financial institutions carry out financial transactions in a proper way. This encompasses protecting the interests of their customers as well as avoiding financial misconduct. In the UK, Financial Services Authority is the...

Calendar Effect in Hong Kong Stock Market HSI

Introduction Hong Kong Stock Exchange (HKSE) is the second largest stock exchange market in Asia. The HKSE was established in the 19th century (McGuinness 2006). Today the market ranks among top ten in the market capitalisation. The market hit a record market capitalisation of US$1,063.9 trillion in 2010 and was...

Corporate Governance Effects on the National Banks in the UAE

Study Background The UAE ranks among the best investment destinations in the world, probably due to the political and economic stability enjoyed, despite challenges in the region. Apart from undoubted stability demonstrated to the investor world, the investor community needs tangible assurances of management competence. Aware of the attention that...

Hong Kong Stock Market Hang Seng Index: The Calendar Effect

Background Hong Kong Stock Exchange (HKSE) is the second largest stock exchange market in Asia. The HKSE was established in the 19th century (McGuinness 2006). Today the market ranks among top ten in market capitalisation. The market hit a record market capitalisation of US$1,063.9 trillion in 2010 and was ranked...

Calendar Effect in Hong Kong Stock Market

Background The Hong Kong Stock Exchange (HKSE) is the second largest stock exchange market in Asia. The HKSE was established in the 19th century (McGuiness 2006, p. 892). Today the market ranks among top ten in the market capitalization. The market hit a record market capitalisation of US$1,063.9 trillion in...

The Future of Investment Arbitration in Iraq

Introduction Investment arbitration is usually instigated by local or international investors on issues encompassing the settlement of disputes regarding investment treaties. Usually, such arbitrations are governed by investment laws, bilateral treaties, and multilateral treaties (and regulations) which are often referenced in times of problem-solving. Common arbitration procedures often occur between...

The Impact of a Working Capital Management on Firm’s Profitability

Introduction Rationale of the Topic The author’s discussion concerning retail industry and working capital management has been motivated by living amidst members who operated retail business. This, therefore, signals the presence of in-built experience and cohesion as well as eagerness to evaluate the management of various components of working capital...

The Future of Investment Arbitration in Iraq

Investment arbitration is usually instigated by local or international investors on issues encompassing the settlement of disputes regarding investment treaties. Usually, such arbitrations are governed by investment laws, bilateral treaties and multilateral treaties (and regulations) which are often referenced in times of problem solving. Common arbitration procedures often occur between...

Islamic Mortgage System as a Solution for the Credit Crisis

Abstract The purpose for this proposal is to lay out the study foundation and also give light on the Islamic Mortgage system as a solution in insulating against credit crisis. The study will use comparative approach, descriptive design and analytical method to examine the Islamic Mortgage System and Conventional Mortgage...

Syndicated Loan Market for Developing Countries

Abstract The purpose for this research is to evaluate the financial sector market of the UK and use the same to give light on how developing countries can build strong syndicated loan market in the future based on lessons learned. The study uses comparative approach, descriptive design, and analytical method...

A Strong Syndicated Loan Market in Developing Countries

Abstract The reason for this proposal is to lay out the study foundation and also give light on how developing countries can build strong syndicated loan market in the future. The study will use comparative approach, descriptive design and analytical method to analyze the United Kingdom experiences on the financial...

A Study on the Growth of Islamic Finance

Literature Review History and Overview of Growth of Islamic Finance According to El-Gamal (2006), Islamic finance started such a diminutive industry in several GCC nations in the 1970s, which differentiates this commencing conventional finance in its noticeable consistency with the dogma of Islamic regulation named Shari’a; while its progress has...

Personal Financial Planning

Introduction Good budgeting and financial planning can be the determining factors in an individual’s financial future. However, good personal financial planning is not an easy fete to achieve; it requires a lot of discipline, dedication, and sacrifice. In order to have a financial base that is stable for the future,...

Impacts of Dividend Payments on Performance

Abstract The purpose of this dissertation shall be to evaluate the impacts of dividends on a company’s performance. The undertaking shall focus on both domestic and foreign entities which have invested in the various stock markets across the globe and analyze the extent to which these shares and their dividends...

Methods for Estimation of Profitability From Real Estate Projects

Abstract The purpose of the study is to examine the factors affecting the profitability of real estate investment projects and their impact on the profitability of such projects. The study explores in detail the different methods and techniques available for use by the real estate developers for estimating the profitability...

Investment: Real Estate in Turkey

Creation of decision-model for second home real estate development in Turkey by foreign developers Outline This study seeks to examine the techniques by which intended revenues and project results of second home development projects by international property development businesses could be ensured. While it is seen that the investment climate...

Exchange Rate in the UK: Empirical Examination of the Monetary Model

Introduction The exchange rate that prevails in the market is of great value to many government policy makers and economists in today’s world because of globalization. The determination of the exchange rate becomes of paramount importance due to the impact it has on the economic performance of the economy. Early...

Mergers and Acquisitions with Chinese Related Entities

Abstract This study sought to evaluate the factors that affect the stock performance of listed companies after mergers or acquisitions with Chinese-related entities. It utilized the CAPM analysis, financial method, and regression analysis to achieve its objectives. The study came up with interesting and insightful findings. First, the shares ownership...

Decision Theory and Real Estate Development

Like any long-term investment, the weighing of return and profit potential must be balanced against the availability and costs of the factors of production, alternative investment opportunities, and numerous risks. In this section, we address decision stages, theory and models in general while justifying and mining the decision model in...

Risk Management in the United Arab Emirates’ Public Sector

Introduction Risk governance strategies are evolving in line with the changing internal and external forces in an organizational setting. According to Bai (2014), the emerging technologies, increasing globalization, and advancements in various sectors of the economy have created a new platform for auditing and managing risks in modern society. The...

The Impact of Financial Risks on the Governmental Projects in Dubai

Introduction The government of Dubai has committed a lot of resources to a series of public projects that are meant to change the phase of this city. These megaprojects are meant to turn this city into the world’s leading tourist destination. These ambitious projects have received praises from various members...

The Sabernes-Oxley Act: History and Ethical Components

Introduction One of the main purposes of the law is the protection of society and the government to ensure that the peoples’ rights are properly protected. This purpose is the core reason behind the formulation of most laws, particularly about the property. For instance, institutions involved in the financial markets...

Dynamic Pricing of Hotel

Hotel capacity is defined as a product that cannot be stored or transported (Schutze, 2008). It is defined as an immaterial hospitality product. Owing to these vital features, various hotels offering airline services are likely to use prices that can easily be changed when they are supply the perishable goods...

The Causes and Possible Future Outcomes of the European Debt Crisis

Introduction The economic and financial crisis in 2008 and 2009 considerably affected both the emerging and poor economies around the world. In 2008, worldwide industrial output decreased by 20 percent, while developed and emerging economies’ output fall by around 24% and 14%, respectively (Blundell-Wignall, 2012, P. 4). Uncertainties of a...

Sales Staff Behaviour of Credit Card Sales in Penang

Acknowledgments This dissertation may not be completed without the mutual aid, guidance and support of a few personalities and organisation where the University adopted Supervisor, Dr. Chua, Principal, Mantissa College, was the foremost resource of the inspiration and motivation to this dissertational effort. He has extended his vital backing through...

Decision Making in Finance

Executive summary The purpose of this paper is to develop a comprehensive managerial report for the decision-making procedures in solving financial problems. Seneca Hill Winery, a hypothetical company specializing in winemaking, is used as the case study to examine the appropriate decision the company should make when considering plating one...

Socio-Economic Background of Saudi Society and Its Impact on the Financial Sector

Introduction The Kingdom of Saudi Arabia is one of the largest countries in the Middle East, bordering Iraq, Jordan, Oman, Yemen, United Arab Emirates, Kuwait, and Qatar. The country is largely an Islamic nation given the fact that most of its citizens are Muslims. According to Al-Mulhim (2009), Saudi Arabia...

Linear Regression Modeling of GoldCorp Share Price vs. Spot Gold

Introduction The study sought to determine if Spot Gold prices and Treasury bill returns can be used to predict the returns on Goldcorp’s share price. Goldcorp’s share prices were the dependent variable while spot gold prices and Treasury bill returns were the independent variables. The daily prices for all assets...

KiKos and the South Korean Won Analysis

The international system of banks, loans, and transactions is based on the sanctity of agreements between different parties participating in the process. In theory, unless the agreement was made on an unlawful basis, its power is absolute, and the sides that signed it are expected to follow the agreement to...

Diversifying Funds and County Libraries

Introduction to the Study The amount of funding that libraries receive, affects the quality of services they can offer. In the United States of America, federal, state, and local i.e., municipal and government funding are the main sources of money for public libraries (Institute of Museum and Library Services, 2010;...

International Currency and Exchange Rates in China

Abstract This paper discusses the international currency structure and proceeds to investigate the Chinese exchange rate. As such, it is evident that most countries use different currencies and exchange rates to trade with different countries according to the comparative trading capabilities of those countries. Up to 1994, China was using...

Financial Crisis Impact on Global Economies

Abstract The 2007-2008 financial disaster was a blow to many global economies, including the US money market. This paper presents some of the proceedings that are thought to have led to the catastrophe. It shows how the US played a key role in fueling the crisis. It also provides some...

Argentina’s Expansionary Monetary Policies

Introduction Expansionary monetary policies have been extensively used by governments for combatting inflation and encouraging economic growth, although the case of Argentina in the 1990s shows that not all countries can benefit from them. To deal with the decline of the economy in the 1970-the 80s, the country adopted a...

Financing Global Climate Change Projects Using Bonds

Many people in the world suffer from the negative effects of climate change and other sustainability- and environment-related issues; however, the situation can be even worse in the future if serious action is not taken today (Schaeffer et al., 2012). The necessary action consists not only in reducing the environmental...

Production and Cost in the Short-Term and Long-Term

Introduction In economics, firms are known to produce their output to make profits. However, the costs of production normally affect this objective by reducing the profit margin a firm expects to enjoy. The relationship between production and costs is therefore an important relationship for firms because it virtually determines the...

Financial Diversification in Public Sector

Problem Statement In economics, financial diversification refers to having financial investments in several portfolios to reduce risk exposures (Collins, 2012; Weston & Vullo, 2014). People diversify their resources because of several reasons. While some seek financial liberty, others do so to survive. Corporate portfolio models show that financial diversification can...

Micro Finance and Women Empowerment in Sierra Leone

Introduction In the past 20 years, micro-finance has received a lot of attention from policymakers and scholars alike. Microfinance has been seen as one of the most effective ways of supporting and maintaining development, especially in third-world countries. It has however been criticized by economic scholars and researchers as well...

Role of Internal Prices Within Corporations

Introduction Internal prices are the rates of prices, which are made use of when making transactions involving goods and services between company divisions and departments or to a greater extent between a parent company and a subsidiary. Over the past century, large corporations have used internal prices in the aim...

Microfinance Trends Nowadays Analysis

Abstract Systems of credit targeting the poor people have evolved tremendously over the past three decades inspired by the pioneering innovations from the Far East. Microfinance Institutions are nowadays viewed as a very important tool in fighting poverty in society. Microfinance institutions are continuously growing and innovating new products that...

Economic Theorists Approach to Pricing

Introduction Pricing is one of the major goals of the firm. Every firm needs to determine the price at which they will sell their product s in the market. Almost all the goals of the firm are dependent on the pricing objectives of the firm. For example, the profit maximization...

Economic Effect of Private Equity Industry

Introduction Private equity is a term that is used in economics to describe a class of assets that do not directly trade on the stock exchange. This term has quite often been used synonymously with buyout investments. Private equity involves investment in an already operating company through the purchase of...

The Effect of Leverage in a Competitive Market

Abstract This research paper dwells on the effects of leverage in a competitive market. As such, the paper seeks to establish whether or not the practice of leverage impacts on the level of competitiveness of a firm relative to its competitors in the market. Besides, this research paper explores the...

The Roles of Foreign Direct Investment in the Egypt Economy

Introduction Foreign Direct Investment (FDI) has been widely considered as a major stimulus to economic growth and development in developing countries. This is mainly due to its perceived possession of the wherewithal to overcome the major operational obstacles that impede growth in these countries like technology, financial resources and skills...

The Impact of Foreign Stock Market Indices on a Islamic Index

Introduction History of Indexing Stock market indexes summarize movements in the stock market but the former developed centuries after markets came into being. The London Stock Exchange, for example, commenced informally in a coffeehouse with handwritten lists of stocks and commodity prices as far back as 1698. The English colonists...

Central Banks Monetary Policies

Introduction Economics is the basis for the development of human society. Today, all spheres of human activity are based on economic factors and work to achieve economic and financial goals. Accordingly, any difficulties faced by the economy of every particular country become instantly reflected in the social life, industrial development,...

Public Finance and the Budgetary Process

Introduction The cut throat competition in the current business world has forced government and non government agencies to adopt budgets as a technique of ensuring that the scarce resources at their exposure are well utilized. A good budget entails a list of all sources of revenue that a business or...

Dividends and Stock Prices

Introduction The interactions between dividends payouts and the effect this has on the stock prices is an issue that elicited mixed reactions amongst academicians and scholars alike. This is mainly because dividend impacts on stock valuation, in addition to tax policy, as they apply to the stockholders of a firm...

Legal Requirements for UK and Chinese IPOs

Introduction IPOs involve the sale of a company’s shares to the public for the first time.1 Based on the nature of traded securities in the stock exchange market, IPOs are generally risky because they involve speculative behaviors among investors.2 Most IPOs involve major global corporations, but cases of smaller firms...

Peugeot Citroen: Investment Plan for Russia

Background of Peugeot Citroen’s investment Russia The Chinese Automobile market has been flourishing from 2002. however, the country’s automotive sales have grown by 25 percent a year—up from 10 percent a year between 1997 and 2001—and in 2006 China overtook Japan, to become the world’s second-largest market for automobiles. What’s...

Short Run Versus Long Run Production

Introduction Short run is the period of time when quantity of one input is at fixed level and other inputs have varied quantities. In the long run, there are varied quantities of all the inputs. There is no fixed time for separating short run from long run because; distinction varies...

Regional Disparities in China Causes

Introduction Foreign Direct Investment (FDI) in China is one of the most flagrant outcomes of China’s open door policy, which was implemented in December 1978. China became the largest FDI recipient by replacing the United States (US). During the year 1998, China had engrossed $267 billion worth of FDI and...

Investigation of Foreign Exchange for Hedging in India

Introduction Derivatives as a risk management tool gained prominence during the period of oil shocks which marked a time of extreme volatility and market uncertainty. In 1971 the erstwhile fixed foreign exchange system was abolished and a system of market foreign exchange set in (Taylor)1. But in India, the policy...

Currency Risk Management: Simulating the Canadian Dollar

This study has been primarily conducted to assess the best Statistical Model that could be used for interpretation of Currency Returns under the Three required Models: Sharpe Model, Random walk model and VAR (α= 0.01). Risk and returns have complimentary influences in the context of investments and tend to be...

Foreign Direct Investment in Indian Retail Industry

Introduction “India is poised as the most favourite FDI destination in South East Asia, outpacing China” (IGRM 2006). FDI is the short form of Foreign Direct Investment. Direct investment means the involvement in direct ownership of foreign based assembly or manufacturing facilities. When the market is big enough, then the...

Tth Advantage Chain: Antecedents to Rent From Internal Corporate Ventures

An Analytical Approach The authors have dwelled at length on the necessity of generation of valuable new resources, combination specific to the firm, which alone it may exploit. Five thrust areas identified are 1) Causal understanding 2) Team proficiency 3) New competency 4) Distinctive competency 5) Competitive advantage, and these...

Portfolio Selection Using Futures Arbitrage Pricing

Abstract Arbitrage Pricing theories are a set of generalised methodologies used to calculate expected return on a riskless financial asset under different time-cost constraints which guarantee cash flow regardless of market direction. They find extensive application in diverse situations: inflation/GNP analysis, bonds, stocks, derivatives, commodities and foreign exchange currency trading...

Financial Scams: Issue Review

Introduction With the continuous technological development and the revolutionary progress of internet based communication system, life is becoming easier gradually. People are getting highest-level of benefits from the computer-based technologies, thus the prosperity in life becomes a function of technology. Besides, of the positive sides of the technology-based communication, it...