Follow the leader: fund managers trading in signal‐strength sequence*

When fund managers trade sequentially in the same direction, the information confirmation hypothesis predicts the long‐term profitability of the leader trade to be increasing in the number of subsequent trades. The information cascade hypothesis predicts a non‐positive relationship. Using active equity funds’ daily trading data, we document a transition from information confirmation to information cascades as the number of followers increase. We find that highly disguised multiple‐broker packages exhibit higher market impact, higher long‐term returns and are associated with fewer followers. Our study also documents that lead fund managers face portfolio risk constraints in trading on private information.     

FURTHER ANALYSIS OF THE PUT-CALL PARITY IMPLIED RISK-FREE INTEREST RATE

In this paper the put-call parity implied riskless rate of borrowing and lending is re-examined. Using a rigorous model, it is shown that, given the level of an observable proxy of the risk-free rate of lending (T-bill rates, for example), the put-call parity provides an opportunity to borrow at rates substantially below the market rate of lending. This is especially true when high interest rates prevail. The major conclusion is either that American option prices may invalidate the parity, or that option markets are not as frictionless as one might wish.     

WHAT MOTIVATES GOING PRIVATE?: AN ANALYSIS OF AUSTRALIAN FIRMS

We investigate going private transactions in Australia between 1988 and 1991. Approximately ten percent of all takeovers during this period are instances of going private. In contrast to studies of similar transactions in the United States, we find no direct evidence to support a free cash flow explanation for going private, although going private is frequently preceded by the threat of a takeover offer. However, the free cash flow explanation for going private may not be applicable in Pacific Basin countries where exchange-traded investment activity is in relatively high growth sectors and foreign ownership accounts for a large part of those investment sectors where managerial abuse of free cash flow has been alleged.     

一种用于雷达可编程信号处理机的通用开发系统

本文介绍一种由微机、逻辑分析仪和一块通用接口电路板组成的简易通用数字开发系统(SVDDS),在不增加任何新的专用设备条件下,能有效地调试和开发多功能雷达可编程数字信号处理机(PDSP)的功能模板及其PDSP系统.同时,还能测试各种LSI、VLSI的静、动态特性.经实用表明,SVDDS具有开发任何数字系统(硬件和软件)的能力,而且实用性广,通用性强,经济效益极高.     

The Use of Forward Contracts for Hedging Currency Risk

This paper derives an optimal rule for hedging currency risk in a general utility framework. Ex ante hedging performance of the forward markets is examined using the optimal hedge ratio derived from the utility model and an optimal rule derived from another model (excess return per unit risk) suggested in the hedging literature. Results of this study indicate a naive (one-to-one) hedge performs similarly to the optimal hedge ratios under either model. An implication of this study is that financial managers of multinational firms should simply follow a one-to-one rule when hedging foreign exchange risk in the forward markets.     

Individual Investors' Sentiment and Temporary Stock Price Pressure

Using data for the Hong Kong stock market, where individual investors' sentiment is likely to be influential, this study finds that the publication of individual investors' sentiment temporarily affects stock prices regardless of the publication's incompetence in predicting stock returns. Specifically, when the publication reports that more and more investors are optimistic, the return on the day just after the publication is higher and the return several days later is lower. Furthermore, the results are strongest for small stocks, and weakest for large stocks. It seems that some individual investors buy (sell) stocks when others, as reported by the publication, are optimistic (pessimistic), and that the trading causes temporary buying (selling) pressure initially and price reversals afterwards.     

Dollarization,Seigniorage, and Prices: The Case of North Korea

This study employs a general equilibrium monetary search model to examine the effects of the recent dollarization in North Korea on seigniorage and prices. Maximum seigniorage is generated at a high rate of money growth when dollarization is mild. However, under a high degree of dollarization seigniorage declines sharply when the money growth rate is high. Accordingly, seigniorage can be increased by de-dollarizing the economy through lowering the money growth rate. This finding implies that the post-2013 price stabilization may be a result of the restriction on printing of money with the aim of increasing seigniorage. This finding also recognizes that the North Korean authorities have little room for maneuver on monetary policy under the conditions of widespread dollarization.     

Long-term health-related burden of adult congenital heart diseases in Hong Kong

Aims: This study aimed to examine the long-term clinical and economic burden of adults with congenital heart disease (ACHD) in Hong Kong.

Methods: It retrospectively analyzed 336 consecutive ACHD patients who attended the Adult Congenital Heart Clinic between January 1, 2009 and December 31, 2014. Direct medical costs and clinical outcomes over the 5 years were calculated and documented. The economic evaluation was from the hospital’s perspective.

Results: The median age of ACHD patients was 47 (31–62) years old, with female predominance (61.5%). Ventricular and atrial septal defects accounted for 70% and severe ACHD for 10% of the study cohort. The prevalence of arrhythmia and heart failure increased with the complexity of CHD. The total mean annual cost for managing each ACHD patient was USD 2,913. The annual cost of management of simple ACHD was USD 2,638 vs complex ACHD (USD 6,425) (p?=?0.013).

Conclusions: This study demonstrated severe ACHD patients accounted for higher cardiovascular morbidities in arrhythmias and heart failure with a higher cost of management.     

An Exploratory Content Analysis of Product Placement in Top Grossing Films

ABSTRACT

The current study examines the prevalence and characteristics of brand appearances in the top grossing films broadcast in the United Kingdom (U.K.) and Hong Kong (H.K.). An average of 13 brand appearances per film was recorded and similarities and differences in brand execution features were revealed in the two cultural markets. Most of the films registered on the U.K. and H.K. top grossing lists are US production, which demonstrates that product placements are increasingly exported to other cultures. It suggests the importance of examining product placement effectiveness across cultures and provides valuable insights for brand practitioners.