Relatório de estágio curricular no Julgado de Paz de Lisboa

This project is the result of a four months internship at the “Julgado de Paz de Lisboa” between September and December of 2014. The internship was a necessary requirement for completing the Master’s degree in Law. In the first section we describe all the work developed during the internship and expose the main topic of the thesis. The second section describes the structure of the “Julgados de Paz” as well as its competences and its procedures. We also highlight the main differences between the “Julgados de Paz” and the “Tribunais Judiciais”. In the third section we describe the figure of the lawyer taking a historical perspective as well the most relevant principles for the topic of the thesis. The fourth section analyses the present legislation both at the “Julgados de Paz” as well as the “Tribunais Judiciais” it what respects mandatories of the requirement of a lawyer. In the final section we present our conclusions and our proposals for solving the existing anomalies that arise from the present regime.

Proxy statement proposals after the 2008 financial crash

In traumatic financial times, both shareholders and the media promptly blame companies for lack of decent corporate governance mechanisms. Proxy statement proposals have increasingly been used by the more active shareholders as to vindicate managers to correct anomalies and restore financial markets’ confidence. I examine the proposals of the largest companies in the S&P 500 index after the Lehmann Brothers crash and their effect on stock prices. Proposals initiated by shareholders negatively impact the company’s stock price, particularly if the proposers are unions, pension funds and institutional investors. Also, I find corporate governance proposals to harm firm’s market performance, unlike compensation and social policy proposals whose effects are intangible. The exception to these disappointing attempts to improve companies’ conduct relies on proposals shared by several investors.

Introducing risk parity on momentum and carry portfolios

The momentum and carry anomalies have been extensively documented in the literature. However, there are still many issues relating to the risks associated to them that are left unexplained. One is the fact that an investor holds for too long the most volatile assets, both under momentum and carry strategies. Therefore, they present a level of risk and a probability of extreme events to happen inconsistent. This work project hypothesizes and proves the introduction of risk parity rules on the weights of the portfolios do increase risk rewarding of carry strategies. However, it fails under momentum strategies.

Money never sleeps – overnight returns in equity markets

The present research analyses overnight returns’ outperformance in relation to daytime returns. In a first stage, it will be assessed whether these returns are robust throughout time, markets and across different scopes of analysis (e.g. weekdays, months, states of the economy). In a second stage, several hypothesis will be empirically tested, in an attempt to understand what drives non-trading period returns (e.g. liquidity, market volatility). Even though several authors have analysed overnight returns and suggested several explanatory factors, there seems to be no consensus in the literature regarding its drivers.