Risk under performance-based contracting in the UK construction sector

As a method of procuring the services of the built environment, performance-based contracting (PBC) seeks to link the building supplier to longer term commitments than has traditionally been the case in the construction sector. By rewarding the building producer according to the way that building or structure delivers the users' requirements, rather than according to a list of assembled parts, a number of additional risks are taken by contractors, including fitness for purpose, costs and briefing. The extent to which contractors recognize these risks and their methods of dealing with them vary considerably and are influenced by their attitudes towards risk. As the risks associated with PBC are seen as large, uninsurable, and vulnerable to changing client requirements, the majority of respondents would reject the use of PBC as a method of contracting. Nevertheless, PBC may be used under particular conditions, where rewards are deemed sufficient to compensate for the additional risk to the contractor of undertaking work on the basis of a stream of payments paid over the life of a structure depending on the satisfactory performance of the building or as part of a private finance initiative.

The recent development and performance of ethical investments

In this chapter, we assess the recent development and performance of ethical investments around the world. Ethical investments include both socially responsible investments (following Environmental, Social and Governance criteria) and faith-based investments (following religious principles). After presenting the development of each type of funds in a historical context, we analyse their ethical screening process, highlighting similarities and differences across funds and regions. This leads us to investigate their characteristics in terms of return and risk, and finally evaluate their historical performance using various risk-adjusted performance measures on a small sample of US funds. Hence we are able to not only compare the performance of each fund with each other and with traditional investments, but also assess their relative resilience to the 2007-08 financial crisis.

On the structure, convergence and performance of an adaptive I/Q mismatch corrector

The I/Q mismatches in quadrature radio receivers results in finite and usually insufficient image rejection, degrading the performance greatly. In this paper we present a detailed analysis of the Blind-Source Separation (BSS) based mismatch corrector in terms of its structure, convergence and performance. The results indicate that the mismatch can be effectively compensated during the normal operation as well as in the rapidly changing environments. Since the compensation is carried out before any modulation specific processing, the proposed method works with all standard modulation formats and is amenable to low-power implementations.

On the structure and performance of a novel blind source separation based carrier phase synchronization error compensator

In this paper we carry out a detailed performance analysis of a novel blind-source-seperation (BSS) based DSP algorithm that tackles the carrier phase synchronization error problem. The results indicate that the mismatch can be effectively compensated during the normal operation as well as in the rapidly changing environments. Since the compensation is carried out before any modulation specific processing, the proposed method works with all standard modulation formats and lends itself to efficient real-time custom integrated hardware or software implementations.

Cross-Industry Product Diversification and Contagion in Risk and Return: The Case of Bank-Insurance and Insurance-Bank Takeovers

We investigate the impact of domestic/international bancassurance deals on the risk-return profiles of announcing and non-announcing banks and insurers within a GARCH model. Bank-insurance deals produce intra- and inter-industry contagion in both risk and return, with larger deals producing greater contagion. Bidder banks and peers experience positive abnormal returns, with the effects on insurer peers being stronger than those on bank peers. Insurance-bank deals produce insignificant excess returns for bidder and peer insurers and positive valuations for peer banks. Following the deal, the bank bidders’ idiosyncratic (systematic) risk falls (increases), while insurance bidders exhibit a lower systematic risk and maintain their idiosyncratic risk.

Personality and performance on digit span tests in online and offline settings.

This paper describes two studies examining links between personality and performance on a cognitive test in online and laboratory settings. Study 1 was completed online. 345 participants passively recruited through a personality assessment website completed a Five Factor Model personality inventory derived from the International Personality Item Pool. They then completed an online text-based digit span test. This required participants to repeat increasingly longer strings of digits, either in the same order (forward) or in the opposite of the presentation order (reverse). Conventional digit span tasks ask participants to respond verbally; in this instance they responded by typing the digits. Agreeableness and Openness to Experience each had small but significant associations with forward and reverse digit span. In a second, laboratory based, study, 103 participants completed paper versions of the IPIP Five Factor inventory, the NEO-FFI, and a battery of cognitive tests including the WAIS 4 digit span test. In this instance, Agreeableness and Openness to Experience were not significantly correlated with digit span measures. Taken together, these studies suggest that personality characteristics may influence performance on an online cognitive test. This effect was not seen in an offline version of the study. The paper will consider potential implications for online testing, for equivalence of online and offline methods, and for links between personality and performance on this cognitive test.

The motives and performance of cross-border acquirers from emerging economies: Comparison between Chinese and Indian firms

During the recent decade, the world has witnessed the rapid growth of MNEs from emerging economies. Their increasing participation in cross-border mergers and acquisitions has raised great attention in the extant literature. This study evaluates the value creation from these cross-border transactions from two representative emerging countries, namely China and India, and determines factors that result in the different performance of these international acquisition activities. Cross-border acquisitions conducted by these countries’ companies indeed lead to significant shareholder wealth creation. Furthermore, Indian shareholders are more likely to benefit from deals in small cultural distance countries, while Chinese investors gain from the cross-border expansion of manufacturing companies. Location also affects the performance of cross-border acquisitions, with acquisitions into developed countries generating higher returns to shareholders. Our sample consists of 203 Indian and 63 Chinese cross-border deals over the period 2000–2010 and our results hold after controlling for various deal-level and firm-level characteristics.