Template-Type: ReDIF-Article 1.0
Author-Name: Stoyu I. Ivanov
Title: Analysis of the Effects of Pre Announcement of S&P 500 Index Changes
Abstract: In this study we attempt to answer the question – does the start of pre-announcing of S&P 500 index
changes in October 1989 have an effect on the trading pattern of added or deleted firms? We document
that prior to October 1989 the excess returns of added or deleted firms follow a white noise process
around the event, whereas after the start of pre-announcing the excess returns can be described as nonstationary.
This indicates significant excess profits to be captured around the addition or deletion event
after S&P started pre-announcing changes in October 1989 but not prior to that date.
Classification-JEL: G12, G14
Keywords: S&P 500, Discretionary Deletions, S&P 500 Changes, Excess Returns
Journal: The International Journal of Business and Finance Research
Pages: 1-10
Volume: 7
Issue: 5
Year: 2013
File-URL: http://www.theibfr2.com/RePEc/ibf/ijbfre/ijbfr-v7n5-2013/IJBFR-V7N5-2013-1.pdf
File-Format: Application/pdf
Handle: RePEc:ibf:ijbfre:v:7:y:2013:i:5:p:1-10

Template-Type: ReDIF-Article 1.0
Author-Name: Yoku Mimura
Title: Variations in Retirement Account Holdings:  Evidence from Native and Immigrant Women in the U.S.
Abstract: This study investigated how immigrant status and life expectancy in the country of origin relate to
variations in retirement savings among working age women in the U.S. Specifically, utilizing the National
Longitudinal Survey of Youth 1979 Cohort data, this study compared native-born Americans, naturalized
citizens, and female, non-U.S. citizens in regards to retirement-specific accounts. Overall, naturalized
U.S. citizens had higher odds of saving for retirement than non-U.S. citizens; however, after controlling
for socio-economic backgrounds, the difference was not significant. Variations in female life expectancies
provided weak support to correlate with saving for retirement among female immigrants. Rather,
variations in the demographic characteristics of these women explained the differences in the odds of
having savings in a U.S. retirement account. The findings gave support for immigrants’ economic
assimilations corresponding with delayed cultural assimilations and implications for financial service
professionals who work with immigrant clients.
Classification-JEL: G14, G11
Keywords: Foreign Born, Immigrant, Naturalized Citizen, Retirement, Savings, Women
Journal: The International Journal of Business and Finance Research
Pages: 11-22
Volume: 7
Issue: 5
Year: 2013
File-URL: http://www.theibfr2.com/RePEc/ibf/ijbfre/ijbfr-v7n5-2013/IJBFR-V7N5-2013-2.pdf
File-Format: Application/pdf
Handle: RePEc:ibf:ijbfre:v:7:y:2013:i:5:p:11-22

Template-Type: ReDIF-Article 1.0
Author-Name: Erie Febrian
Author-Name: Aldrin Herwany
Author-Name: Adi Primadhi
Title: Market REsponse to the Composition Change of Islamic Index:  Evidence from Indonesia
Abstract: Many studies have investigated how markets react to the change of conventional market index
composition. Nevertheless, how investors in emerging markets react to changes to an Islamic Index
composition still needs to be answered. This study empirically investigates market responses to
composition changes of an Islamic Index using Jakarta Islamic Index (JII) daily data. The study also
investigates five conventional Indices on the Indonesian Stock Exchange, i.e. LQ45, Kompas 100, Bisnis
27, Sri Kehati, and Pefindo25, and compares the results with those of JII. The goal is to see whether
difference between the two indices explain the market reaction. To measure market reaction, we
calculate the abnormal return, relative abnormal volume, relative abnormal frequency, and relative
abnormal bid-ask spread around the announcement of index composition change. Our finding shows the
market reacts positively to stocks newly included in an Islamic index, which is in line with the reaction to
stock added in conventional indices. Similarly, the market responds to the stocks excluded from JII and
from conventional indices in the same way.
Classification-JEL: G14, G28
Keywords: Market Reaction, Market Index, Abnormal Return, Abnormal Volume
Journal: The International Journal of Business and Finance Research
Pages: 23-34
Volume: 7
Issue: 5
Year: 2013
File-URL: http://www.theibfr2.com/RePEc/ibf/ijbfre/ijbfr-v7n5-2013/IJBFR-V7N5-2013-3.pdf
File-Format: Application/pdf
Handle: RePEc:ibf:ijbfre:v:7:y:2013:i:5:p:23-34

Template-Type: ReDIF-Article 1.0
Author-Name: Chin-Chen Yeh
Author-Name: Fan-Hua Kung
Title: Aligning Human Capital Measurement With Corporate Value Creation: Evidence From
The Taiwan Electronics Industry
Abstract: The aim of this study was to identify appropriate indicators of human capital and clarify the relationship
between investment in human capital and corporate value. We examined the relationship between proxy
variables and corporate value, using empirical models to analyze the explanatory power of human capital
indicators with regard to corporate value. We found that both financial and non-financial indicators of
human capital are associated with corporate value. However, this effect is more evident in companies in
the electronics industry. A number of managerial implications and research suggestions are also
proposed.
Classification-JEL: M12, G32
Keywords: Human Capital Effectiveness, Human Capital Measurement, Transferability of Human
Capital Indicators, Corporate Value
Journal: The International Journal of Business and Finance Research
Pages: 35-46
Volume: 7
Issue: 5
Year: 2013
File-URL: http://www.theibfr2.com/RePEc/ibf/ijbfre/ijbfr-v7n5-2013/IJBFR-V7N5-2013-4.pdf
File-Format: Application/pdf
Handle: RePEc:ibf:ijbfre:v:7:y:2013:i:5:p:35-46

Template-Type: ReDIF-Article 1.0
Author-Name: Chun An Li
Author-Name: Jia Chi Wang
Title: The Influences of Greed And Fear on Fund Performance
Abstract: This paper discusses if the psychological changes of investors would influence mutual funds from the
perspective of behavioral finance. In other words, we assess the psychological state of investors from the
deepest psychological factors of greed and fear, and discuss whether the psychological changes in these
investors would influence a mutual fund. This study presented evidence that the psychological changes of
investors were related to fund performance. It better illustrated how fund performance was affected by
the psychology of investors, especially from irrational behavior driven by fear and greed.
Classification-JEL: C33, C58, G02
Keywords: Volatility Index (VIX), Greed, Fear, Mutual Fund Performance
Journal: The International Journal of Business and Finance Research
Pages: 47-57
Volume: 7
Issue: 5
Year: 2013
File-URL: http://www.theibfr2.com/RePEc/ibf/ijbfre/ijbfr-v7n5-2013/IJBFR-V7N5-2013-5.pdf
File-Format: Application/pdf
Handle: RePEc:ibf:ijbfre:v:7:y:2013:i:5:p:47-57

Template-Type: ReDIF-Article 1.0
Author-Name: Michael Adusei
Title: Financial Development and Economic Growth: Evidence from Ghana
Abstract: The paper employs cointegration, Fully-Modified Ordinary Least Squares (FMOLS), Error Correction
and the Generalized Method of Moments (GMM) techniques to investigate the relationship between
economic growth and financial development using annual time series data (1971-2010) from Ghana.
Three measures of financial development are used: domestic credit as a share of GDP; domestic credit to
private sector as a share of GDP and broad money supply as a share of GDP. Evidence from our data
suggests that financial development undermines economic growth in Ghana. The paper, therefore,
cautions against financial liberalization in Ghana.
Classification-JEL: G20, D90, E02, E44, C13, C22
Keywords: Ghana, Financial Development, Economic Growth, Credit, Size of Government
Journal: The International Journal of Business and Finance Research
Pages: 61-76
Volume: 7
Issue: 5
Year: 2013
File-URL: http://www.theibfr2.com/RePEc/ibf/ijbfre/ijbfr-v7n5-2013/IJBFR-V7N5-2013-6.pdf
File-Format: Application/pdf
Handle: RePEc:ibf:ijbfre:v:7:y:2013:i:5:p:61-76

Template-Type: ReDIF-Article 1.0
Author-Name: Helmi Hamdi
Author-Name: Abdelaziz Hakimi
Author-Name: Mouldi Djelassi
Title: Did Financial Liberalization Lead to Bank Fragility? Evidence from Tunisia
Abstract: The aim of this study is to investigate the performance of the Tunisian banking sector following the
liberalization of its financial sector. To this end, we collected annual frequency data from nine banks for
the period 1980-2009. By using Seemingly Unrelated Regression (SUR), our estimations show that
financial liberalization negatively affected the profitability of Tunisian banks and increased the degree of
credit risk. However, empirical results reveal that financial liberalization significantly increased the
liquidity of banks due to liberalization of deposit interest rates.
Classification-JEL: E44, G21, L51, N24
Keywords: Financial Liberalization, Bank Frugality, Tunisian Banks, SUR Regression
Journal: The International Journal of Business and Finance Research
Pages: 77-88
Volume: 7
Issue: 5
Year: 2013
File-URL: http://www.theibfr2.com/RePEc/ibf/ijbfre/ijbfr-v7n5-2013/IJBFR-V7N5-2013-7.pdf
File-Format: Application/pdf
Handle: RePEc:ibf:ijbfre:v:7:y:2013:i:5:p:77-88

Template-Type: ReDIF-Article 1.0
Author-Name: Yahn-Shir Chen 
Author-Name: Joseph Hsu
Author-Name: Mei-Ting Huang
Author-Name: Ping-Sen Yang
Title: Quality, Size and Performance of Audit Firms
Abstract: This study examines the relations between audit quality, audit firm size, and financial performance. This
study estimates audit quality of audit firms from human capital-related factors, such as educational level
of auditors, work experience of auditors, and professional training. From the perspective of market
segmentation, the sample is divided into three categories: national, regional, and local firms. Empirical
results report a positive association between audit firm size and audit quality for the three categories of
audit firms. The positive relationship of national audit firms is higher than that of regional and local audit
firms. The relationship between audit quality and financial performance is positive. The positive
relationship of national audit firms is higher than that of regional and local audit firms.
Classification-JEL: M42
Keywords: Audit Quality, Audit Firm Size, Audit Firms
Journal: The International Journal of Business and Finance Research
Pages: 89-105
Volume: 7
Issue: 5
Year: 2013
File-URL: http://www.theibfr2.com/RePEc/ibf/ijbfre/ijbfr-v7n5-2013/IJBFR-V7N5-2013-8.pdf
File-Format: Application/pdf
Handle: RePEc:ibf:ijbfre:v:7:y:2013:i:5:p:89-105

Template-Type: ReDIF-Article 1.0
Author-Name: Laetitia Pozniak
Title: Internet Financial Communication: Evidence from Unregulated Markets of Brussels and Paris
Abstract: This paper examines the internet financial disclosure of 34 companies listed on un-regulated markets in
Brussels and 34 twin firms quoted in Paris. The purpose of this research is twofold. First, we study the
level of internet financial disclosure and we compare the levels of French and Belgian un-regulated
markets. Next we identify factors determine this level. We applied an analytical grid, based on
prescriptions in the literature concerning Internet financial disclosure to analyze 68 websites. A
communication score was thus obtained for each firm. We identify if differences in communication scores
are significant. This score was then regressed according to our hypotheses. The findings show Belgian
firms have a higher level of internet financial communication and that a firm’ size, age, membership of
the IT sector and market place have an impact on the internet financial disclosure of un-regulated market
listed companies.
Classification-JEL: M15, G10, C50, O32
Keywords: Financial Communication, Websites Analyses – Internet Financial Reporting (IFR), Non-
Regulated Financial Markets, Voluntary Disclosure
Journal: The International Journal of Business and Finance Research
Pages: 107-122
Volume: 7
Issue: 5
Year: 2013
File-URL: http://www.theibfr2.com/RePEc/ibf/ijbfre/ijbfr-v7n5-2013/IJBFR-V7N5-2013-9.pdf
File-Format: Application/pdf
Handle: RePEc:ibf:ijbfre:v:7:y:2013:i:5:p:107-122

Template-Type: ReDIF-Article 1.0
Author-Name: Guangdi Chang
Author-Name: Fulwood Chen
Title: An Agency Theory Approach to Sovereign Debt Crisis
Abstract: Governments are expected to be a stabilizing force when the economy is in trouble, but recently they are a
source of chaos. The cause behind the sovereign debt crisis is debt that far exceeds a government’s ability
to repay. Why do governments of debt-ridden countries lose the sense of risk that unlimited accumulation
of debt would bring their countries to the brink of insolvency? Economic factors alone can not provide a
complete explanation. This paper combines agency theory with studies on public finance to develop a
model to elucidate a government’s behavior in public finance. We find that too much political concern
underlies irresponsible fiscal polices. Enhancing the independence of budget offices and intensifying the
transparency of public finance can be prescriptions to contain the reoccurrence of sovereign debt crisis.
Classification-JEL: H61, H62, H63
Keywords: Budget Deficits, Deficit/GDP ratio, Sovereign Debt Crisis
Journal: The International Journal of Business and Finance Research
Pages: 123-134
Volume: 7
Issue: 5
Year: 2013
File-URL: http://www.theibfr2.com/RePEc/ibf/ijbfre/ijbfr-v7n5-2013/IJBFR-V7N5-2013-10.pdf
File-Format: Application/pdf
Handle: RePEc:ibf:ijbfre:v:7:y:2013:i:5:p:123-134