Who Wants to Trade Around Ex‐Dividend Days?

We examine order flows around ex-dividend dates on the Taiwan Stock Exchange. By using Taiwan's data, we can examine the heterogeneity of investors' behavior around ex-dividend dates to test different hypotheses. We find that for both taxable and nontaxable samples, small investors sell before the ex date and buy from the ex date, suggesting that small investors prefer low-priced stocks. We find weaker evidence that tax-disadvantaged foreign and large domestic investors avoid participating in taxable dividends. We find strong evidence that tax- neutral institutions play the role of short-term arbitrageurs around ex-dividend dates.     

Forward market intervention,endogenous speculation,and exchange rate variability

In a stochastic macroeconomic model, this paper studies the desirability of intervention in the forward exchange market to stabilize the spot rate from the short-run and long-run perspectives. Behavior of forward speculation is endogenized in the light of the Lucas critique. Numerical simulation suggests that such intervention is much less desirable in the long-run than in the short-run. Only when domestic monetary disturbance is present, such intervention may be desirable both in the short-run and in the long-run, provided that price adjustment is sufficiently elastic.     

Corporate social responsibility in the tourism industry: evidence from seasoned equity offerings

This study examines the impact of corporate social responsibility (CSR) in the tourism industry using seasoned equity offerings (SEOs) from 1992 to 2015. We show that tourism SEO issuers engaging in CSR activities experience less negative market reactions to SEO announcements. The findings also reveal that the negative reactions around SEO announcements are significantly lessened for tourism firms with better CSR performance in the context of high information asymmetry, because such activities serve as an ethical commitment to outside investors, and thus align the interests between SEO issuers and outside investors, which eventually mitigates negative market reactions to SEO announcements. Overall, these results indicate that tourism issuers with better CSR performance are able to reduce the agency costs and adverse selection problem for uninformed investors in the process of issuing SEOs.     

Jump variance risk: Evidence from option valuation and stock returns

We study jump variance risk by jointly examining both stock and option markets. We develop a GARCH option pricing model with jump variance dynamics and a nonmonotonic pricing kernel featuring jump variance risk premium. The model yields a closed-form option pricing formula and improves in fitting index options from 1996 to 2015. The model-implied jump variance risk premium has predictive power for future market returns. In the cross-section, heterogeneity in exposures to jump variance risk leads to a 6% difference in risk-adjusted returns annually.     

Effects of ethical sales behaviour,expertise, corporate reputation,and performance on relationship quality and loyalty

This analysis examines the influence of ethical sales behaviour, salesperson expertise, service performance, corporate reputation, and corporate performance on relationship quality and its consequences from multi-level perspectives in order to identify the nature of mix relationships at different levels. A survey with 505 qualified observations from financial institutions' customers in Taiwan was conducted. A structural equation modelling approach was used. Ethical sales behaviour, salesperson expertise, service performance, corporate reputation, and corporate performance, that is, the antecedents of relationship quality, have significant effects on relationship quality. Relationships exist between salespeople and customers, but customers also establish relationship with the retailers themselves. Satisfactory relationship quality has positive effects on commitment and loyalty. Implications for research and practice are discussed.     

Making customer relationship management work: evidence from the banking industry in Taiwan

Soon after becoming a WTO member, Taiwan found the internationalisation and liberalisation in the financial industry ushered its domestic banks into a new era. In response to this global trend, all its banks strove to rely on customer relationship management (CRM) to enhance customer value (CV). This study aims to probe further into the connection between CV and CRM. A series of examinations revealed that (1) both functional and social value impact customer behaviour directly and positively; (2) customer satisfaction positively and directly affects customer loyalty; (3) a positive and direct relationship exists between customer loyalty and customer behaviour; and (4) the positive and significant relationship between CV and customer behaviour can be developed through mediators such as customer satisfaction and customer loyalty. Consequently, banks should offer their customers different services, products, and marketing channels to meet their diversified needs to cultivate a win-win environment of CRM for both parties.     

Configuration of innovation and performance in the service industry: evidence from the Taiwanese hotel industry

This study attempts to state some facts about the importance of innovation in the service economy, and especially the hotel industry by classifying the configurations of innovation in Taiwanese hotels, as well as considering the types of innovation configuration that will maximise performance. Technological innovation, organisational innovation, and human capital innovation may be key sources of innovation. This study classified the configurations of innovation based on several innovation activities with two-step cluster analysis. Numerous empirical findings facilitate improved understanding of the relationship between the configurations of innovation and firm performance in the Taiwanese hotel industry.     

Using accounting earnings and aggregate economic indicators to estimate firm-level systematic risk

Review of Accounting Studies - We revisit the literature on using accounting earnings to estimate firm-level systematic risk, using macroeconomic indicators rather than listed-firm indexes to...     

Fintech,Credit Market Competition,and Bank Asset Quality

Journal of Financial Services Research - This study explores bank screening incentives under credit market competition between traditional banks and a Fintech startup. The bank screening incentives...     

Are Patenting Activities in U.S. Universities Still Affected by Bayh-Dole Act？

Based on four data sources, the trends of the patent activities of US universities in the last 40 years are quantitatively assessed. It has been found that patenting activities in U.S. universities slowed down greatly after 2000 and remained flat until the period from 2010 to 2012, when activities recover to the level of strength characterizing the period before 2000 and after the enactment of the Bayh-Dole Act. The affects of the （Bayh-Dole） Act on the university patenting activities （UPAs） are specifically analyzed for the time span considered. We found that the impacts of the Act had been remaining strong until the year of 1999 and then greatly diminished. We also identify that economic recessions are the major cause to the flatness of the patenting activities during 2000s. Recently, many concerns on university patent activities have been raised; these concerns are reviewed and recommendations to resolute to these concerns are provided.