Managing authenticity: the paradox of great leadership

Leaders and followers both associate authenticity with sincerity, honesty, and integrity. It's the real thing--the attribute that uniquely defines great managers. But while the expression of a genuine self is necessary for great leadership, the concept of authenticity is often misunderstood, not least by leaders themselves. They often assume that authenticity is an innate quality--that a person is either genuine or not. In fact, the authors say, authenticity is largely defined by what other people see in you and, as such, can to a great extent be controlled by you. In this article, the authors explore the qualities of authentic leadership. To illustrate their points, they recount the experiences of some of the authentic leaders they have known and studied, including the BBC's Greg Dyke, Nestlé's Peter Brabeck-Letmathe, and Marks & Spencer's Jean Tomlin. Establishing your authenticity as a leader is a two-part challenge. You have to consistently match your words and deeds; otherwise, followers will never accept you as authentic. But it is not enough just to practice what you preach. To get people to follow you, you also have to get them to relate to you. This means presenting different faces to different audiences--a requirement that many people find hard to square with authenticity. But authenticity is not the product of manipulation. It accurately reflects aspects of the leader's inner self, so it can't be an act. Authentic leaders seem to know which personality traits they should reveal to whom, and when. Highly attuned to their environments, authentic leaders rely on an intuition born of formative, sometimes harsh experiences to understand the expectations and concerns of the people they seek to influence. They retain their distinctiveness as individuals, yet they know how to win acceptance in strong corporate and social cultures and how to use elements of those cultures as a basis for radical change.     

Options as a predictor of common stock price changes

Since rather novel techniques such as neural nets allow investigation of nonlinear model specification previously untested, it may be that traditional models of price formation underperform through misspecification rather than market efficiency. This paper explores whether a multilayer backpropagation model offers exploitable profit opportunities for some limited period. Using an intradaytransaction dataset obtained from the European Options Exchange (Amsterdam), We attempted to predict the return on Philips. Two neural nets are contrasted to ordinary linear regression analysis on the basis of three benchmarks (MSE, and net realized returns). An adaptively trained 33-14-1 architecture scored best on all criteria and yielded an annualized 11% return following a simple one-period trading strategy.     

Prospect theory and the risk-return paradox: some recent evidence

There is extensive evidence indicating a negative risk–return relation when a firm’s performance is measured based on accounting measures such as return on asset (ROA) and return on equity (ROE). Previous studies show that the risk-return paradox can be explained by the prospect theory, which predicts that managers’ risk attitudes are different for firms of different performances. However, those studies mostly use earlier data from the COMPUSTAT database, which suffers from a survivorship bias. Failure to account for delisting firms may understate the risk–return relation. We reexamine the mixture of risk-seeking and risk-averse behaviors based on an updated 20-year sample period that is free from the survivorship problem. Interestingly, our results show stronger and robust evidence supporting the prospect theory during the period from 1984 to 2003.     

The paradox of interest rates of the Greenback Era: A reexamination

The two leading explanations for the counterintuitive behavior of interest rates during the Greenback Era (1862-1878) - the resumption expectations model of Calomiris (1988) and the capital flow argument of Friedman and Schwartz (1963) - are inconsistent with each other in terms of their treatment of financial arbitrage. A methodology to identify unexploited arbitrage opportunities in financial data is proposed. Observable returns strongly suggest that the money market of the Greenback Era did not systematically admit arbitrage, except possibly around the times of the Gold Corner of 1869 and the Panic of 1873, which implies that Calomiris provides a more plausible explanation.     

The paradox of development in the middle east

At a time of rapid change in the Middle East, the enforcement of Western models of development has eroded traditional Islamic values and undermined Muslims' confidence in themselves and their cultural heritage. The Islamic idea of development cannot be reduced to any of the models prevailing in the West, which are based on concepts of progress and evolution alien to the Islamic worldview. Middle Easterners need to reconstruct an Islamic concept of development rooted in their own cultural values and reflecting the historical development of Islam. Islamic traditions provide a set of political precepts with universal implications, and Islam can make an important contribution to an integrative world order.     

Life table methodology applied to NHANES II database for analysis of mortality associated with cholesterol/HDL ratios

This article describes the association between total cholesterol to high-density lipoprotein (HDL)-cholesterol ratios and all-cause mortality in a large cohort of Americans with nearly 17 years of follow-up. Detailed actuarial life table methodology was used. It concludes that the relationship is best described as a J-shaped curve.     

The paradox of greater NGO accountability: A case study of Amnesty Ireland

Despite mounting public, governmental and corporate interest in issues of non-governmental organisation (NGO) accountability, there are few academic studies investigating the emergence of accountability mechanisms in specific advocacy NGO settings. Drawing on the theoretical constructs of hierarchical and holistic accountability, this paper addresses this research gap by investigating recent developments in accountability practices at the Irish section of the human rights advocacy NGO Amnesty International. Through analysis of a series of in-depth interviews with managers in Amnesty Ireland, supported by extensive documentary scrutiny, this study examines reasons why Amnesty’s historical reliance on internal forms of accountability has been augmented with a range of ad hoc external accountability mechanisms. The study reveals that while managers favoured the development of holistic accountability mechanisms exhibiting accountability to a wide range of stakeholders, a hierarchical conception of accountability privileging a narrow range of (potentially) powerful stakeholders, has begun to dominate external accountability discourse and practice. It was widely perceived that this trend could, somewhat paradoxically, prove counterproductive to the achievement of Amnesty’s mission. Resolving this paradox will, at a minimum, involve Amnesty Ireland’s leadership becoming more open to and more knowledgeable about a broader, more holistic accountability conception. The paper considers the possible implications of these findings for the development of NGO holistic accountability practice more generally.     

The association between the length of the QT interval and mortality in the Cardiovascular Health Study: a mortality analysis

Prolonged QT interval was found to be associated with increased cardiac and all-cause mortality in a subgroup of the Cardiovascular Health Study (CHS). A mortality analysis is presented of this study, underscoring the need to use the appropriate expected group.     

The roles of rating outlooks: the predictor of creditworthiness and the monitor of recovery efforts

Review of Quantitative Finance and Accounting - Using a comprehensive U.S. rating sample from S&P between 1981 and 2015, we examine the information content, responsiveness to credit risk...     

Globalization,paradox and the (un)making of identities: Immigrant Chartered Accountants of India in Canada

We study the labour market experiences of immigrant accountants in Canada, to reveal the tensions contradictions and paradoxes embedded in neoliberal globalization. Drawing on themes within pragmatic sociology (Boltanski & Thévenot, [1991] 2006), we argue that globalization has differentially impacted on the moral orders underpinning the identity projects of the Canadian state and the elite sector of the accountancy profession and this has in turn created three paradoxes: paradox of the state, paradox of the market and paradox of place.     

Marfan syndrome: literature review of mortality studies

Marfan syndrome is an autosomal dominant heritable disorder of fibrous connective tissue due to mutation in the fibrillin-1 gene, located on chromosome 15. Early mortality from Marfan syndrome results from aortic dilatation. The medical literature contains long-term follow-up series of patients with Marfan syndrome accrued at major medical centers that address overall survival following surgical intervention, and prognosis in relation to certain risk factors such as family history and aortic root diameter. Mortality analyses based on these data are presented in this paper. Advances in surgical and medical therapy have improved mortality of affected individuals over the past 2-3 decades. However, significant mortality occurs, peaking in the third and fourth decades of life. Although surgery is successful treatment of aortic dissection, one cannot conclude that surgical repair confers a mortality advantage. Emergency surgery and history of aortic complications in first-degree relatives are associated with a higher mortality. Chronic beta-blocker therapy may slow the rate of aortic dilatation and may be associated with more favorable prognosis. Clinical research evaluating beta-blockade, echo assessment of the aortic root diameter progression, and gene mutation analysis may provide tools useful for future morality assessments.     

Monetary unit sampling: Improving estimation of the total audit error

In the practice of auditing, for cost concerns, auditors verify only a sample of accounts to estimate the error of the total population of accounts. The most common statistical method to select an audit sample is by monetary unit sampling (MUS). However, common MUS estimation practice does not explicitly recognize the multiple distributions within the population of account errors. This often leads to excessive conservatism in auditors' judgment of population error. In this paper, we review the common MUS estimation practice, and introduce our own method which uses the Zero-Inflation Poisson (ZIP) distribution to consider zero versus non-zero errors explicitly. We argue that our method is better suited to handle the real populations of account errors, and show that our ZIP upper bound is both reliable and efficient for MUS estimation of accounting data.     

Rushing to Overpay: Modeling and Measuring the REIT Premium

We explore the questions of why Real Estate Investment Trusts (REITs) pay more for real estate than non-REIT buyers and by how much. First, we develop a search model where REITs optimally pay more for property because (1) they are willing, due to cost of capital advantages and, (2) they are occasionally rushed, due to external regulatory time constraints and internal incentives to deploy capital quickly. Second, using commercial real estate transactions, we find that the extant hedonic pricing models contain an unobserved explanatory variables bias leading to inflated estimates of the REIT premium. Third, using a repeat-sales methodology that controls for unobserved property characteristics, we derive more plausible estimates of the REIT premium. Consistent with our model, we also find the REIT-buyer premium depends on the size of the REIT advantage, the rush to deploy, and the relative presence of REITs in the market.