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Ownership structure and firm value in Brazil Estructura de propiedad
Ownership structure and firm value in Brazil Estructura de propiedad

... private benefits of control. Besides the possibility of expropriation mentioned above as the entrenchment effect, Dick and Zingales (2002) and Burkart and Lee (2007) also quote as private benefits of control: (i) psychological value and prestige that some investors attribute to being in control; (ii ...
Searching for Determinants of Pay or Not to Pay Cash Dividend in
Searching for Determinants of Pay or Not to Pay Cash Dividend in

... expenditures and acquisitions. Descriptions above show the relationship between the accumulation of cash with the possibility of expropriation through dividend policy. Accumulated cash and dividend restrictions are necessary to keep companies from losing profitable investment opportunities. Yet on t ...
Chapter 17: Evaluating Quality of Financial Reports
Chapter 17: Evaluating Quality of Financial Reports

18 Asset Factor White Paper
18 Asset Factor White Paper

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METLIFE INC (Form: 8-K, Received: 05/21/2013 06

... Excludes hedges and reinsurance For present value, discount at 4% 1 Excludes block without living benefit guarantees, which represents approximately 30% of the U.S. variable annuity business. ...
Determinants of capital structure
Determinants of capital structure

... the company makes profits. These arguments, however, fail to differentiate between accounting profits and cash-flows which are far more useful when borrowing needs are estimated. The free cash flow theory also supports the view that the companies with abundant profits should use more debt as a safeg ...
2015 Full Year Financial Report for Lend Lease Trust
2015 Full Year Financial Report for Lend Lease Trust

estimating terminal value
estimating terminal value

This PDF is a selection from a published volume from... Bureau of Economic Research Volume Title: National Economic Planning
This PDF is a selection from a published volume from... Bureau of Economic Research Volume Title: National Economic Planning

... given output from the project in question remains constant through time, and is not reduced as a consequence of improvements in "productivity." This is the case for many types of projects, in which labor and materials requirements are established by the initial design of the project and its associat ...
2017 LONG-TERM CAPITAL MARKET EXPECTATIONS
2017 LONG-TERM CAPITAL MARKET EXPECTATIONS

... Franklin Templeton Solutions (FT Solutions)1 is a team of multi-asset and alternative investment experts embedded within the global integrated platform of Franklin Templeton—a trusted partner in asset management with clients in more than 170 countries. Our FT Solutions team has been dedicated to man ...
2017 Long-Term Capital Market Expectations
2017 Long-Term Capital Market Expectations

... Franklin Templeton Solutions (FT Solutions)1 is a team of multi-asset and alternative investment experts embedded within the global integrated platform of Franklin Templeton—a trusted partner in asset management with clients in more than 170 countries. Our FT Solutions team has been dedicated to man ...
Basics and Problems - Ace MBAe Finance Specialization
Basics and Problems - Ace MBAe Finance Specialization

... firms are multiproduct and multi-industry in nature. Inappropriate comparisons can arise when a multiindustry firm is evaluated against the ratios from a single industry. Two approaches can help mitigate this problem. First, you can use a cross-sectional analysis by comparing the firm against a riva ...
Benefits Accruing to Companies Listed at the
Benefits Accruing to Companies Listed at the

... that organized exchanges provide a more liquid market for the trading of stocks. Aside from improved liquidity, listing provides information about the future prospects of the firm. Grammatikos and Papaioannou (1986), Edelman and Baker (1990) and Baker and Edelman (1991) examine the liquidity benefit ...
Negotiated Shareholder Value: the German Variant of an Anglo
Negotiated Shareholder Value: the German Variant of an Anglo

1305501187_526858
1305501187_526858

The Value-Relevance of Earnings and Book Value
The Value-Relevance of Earnings and Book Value

... since there is less classical separation of ownership and control (Jensen, Meckling, Field, & Park, 1976) thus lowering the potential for owner manager agency conflict. However, where family control and management are high, there exists greater potential for the family to expropriate wealth from non ...
Data Definitions
Data Definitions

Cash Flow Disruptions
Cash Flow Disruptions

... Policies should be designed to take advantage of float in the payment and disbursement system. To speed cash collections, customers should be instructed to send their payments to the company’s headquarters or a nearby collection center to minimize mail delay. Customers can also be instructed to mail ...
Demand for SME finance - Greater London Authority
Demand for SME finance - Greater London Authority

... but reinforced the fact that demand is, and will continue to, outstrip supply. The situation is fairly fluid, as there has been a marked rise over the last two years in the rate at which new business angel/HNW individuals have entered the market, and new funds have been marketed in London with diffe ...
Deconstructing Equity: Public Ownership, Agency Costs, and
Deconstructing Equity: Public Ownership, Agency Costs, and

... Second, we suggest a number of ways in which focused risk management at the firm level may be more efficient than broadband risk bearing by diversified shareholders. The potential to increase firm value may fuel the "self-interested maximizing behavior" of managers that Jensen and Meckling view as t ...
Uncertainty shocks, asset supply and pricing over the business cycle
Uncertainty shocks, asset supply and pricing over the business cycle

... both of which are included as observables in the estimation. We thus confront the excess volatility puzzle from two sides: asset prices must be consistent not only with investors’ decisions to buy assets, but also with firms’ decisions to supply them. In contrast, most existing literature on busines ...
Structural Models of Credit Risk are Useful: Evidence
Structural Models of Credit Risk are Useful: Evidence

... course, widely used in practice and are seen as one of the major successes of financial theory. The failure of such models to explain satisfactorily actual corporate debt prices and spreads is therefore surprising. The poor performance of these models in this area has been recognized for many years ...
Regulation af Debt and Equity
Regulation af Debt and Equity

... Because many employers and households participate in pension plans, these intermediaries also represent a broad source of funds for investors. Life insurance reserves today account for only 3 percent of households’ financial assets, less than one-half their share of the 1950s. ...
MSN Money Articles By Michael Burry 2000/2001
MSN Money Articles By Michael Burry 2000/2001

Supplementary Material to - University of Notre Dame
Supplementary Material to - University of Notre Dame

... For seven out of the 15 industry portfolios, I am not able to reject the unit root hypothesis, indicating that the key assumption that cash flow share is mean-reverting might not be very appropriate for industry portfolios. As a result, the cash flow covariance defined in my paper might not be measu ...
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Corporate finance

Corporate finance is the area of finance dealing with the sources of funding and the capital structure of corporations and the actions that managers take to increase the value of the firm to the shareholders, as well as the tools and analysis used to allocate financial resources. The primary goal of corporate finance is to maximize or increase shareholder value. Although it is in principle different from managerial finance which studies the financial management of all firms, rather than corporations alone, the main concepts in the study of corporate finance are applicable to the financial problems of all kinds of firms.Investment analysis (or capital budgeting) is concerned with the setting of criteria about which value-adding projects should receive investment funding, and whether to finance that investment with equity or debt capital. Working capital management is the management of the company's monetary funds that deal with the short-term operating balance of current assets and current liabilities; the focus here is on managing cash, inventories, and short-term borrowing and lending (such as the terms on credit extended to customers).The terms corporate finance and corporate financier are also associated with investment banking. The typical role of an investment bank is to evaluate the company's financial needs and raise the appropriate type of capital that best fits those needs. Thus, the terms ""corporate finance"" and ""corporate financier"" may be associated with transactions in which capital is raised in order to create, develop, grow or acquire businesses. Recent legal and regulatory developments in the U.S. will likely alter the makeup of the group of arrangers and financiers willing to arrange and provide financing for certain highly leveraged transactions.Financial management overlaps with the financial function of the Accounting profession. However, financial accounting is the reporting of historical financial information, while financial management is concerned with the allocation of capital resources to increase a firm's value to the shareholders.
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