A performance analysis of conventional and fundamental exchange traded funds: ETFs and their risk-return characteristics in relation to building institutional investor’s passive portfolio

An exchange traded fund (ETF) is a financial instrument that tracks some predetermined index. Since their initial establishment in 1993, ETFs have grown in importance in the field of passive investing. The main reason for the growth of the ETF industry is that ETFs combine benefits of stock investing and mutual fund investing. Although ETFs resemble mutual funds in many ways, also many differences occur. In addition, ETFs not only differ from mutual funds but also differ among each other. ETFs can be divided into two categories, i.e. market capitalisation ETFs and fundamental (or strategic) ETFs, and further into subcategories depending on their fundament basis. ETFs are a useful tool for diversification especially for a long-term investor. Although the economic importance of ETFs has risen drastically during the past 25 years, the differences and risk-return characteristics of fundamental ETFs have yet been rather unstudied area. In effect, no previous research on market capitalisation and fundamental ETFs was found during the research process. For its part, this thesis seeks to fill this research gap. The studied data consist of 50 market capitalisation ETFs and 50 fundamental ETFs. The fundaments, on which the indices that the fundamental ETFs track, were not limited nor segregated into subsections. The two types of ETFs were studied at an aggregate level as two different research groups. The dataset ranges from June 2006 to December 2014 with 103 monthly observations. The data was gathered using Bloomberg Terminal. The analysis was conducted as an econometric performance analysis. In addition to other econometric measures, the methods that were used in the performance analysis included modified Value-at-Risk, modified Sharpe ratio and Treynor ratio. The results supported the hypothesis that passive market capitalisation ETFs outperform active fundamental ETFs in terms of risk-adjusted returns, though the difference is rather small. Nevertheless, when taking into account the higher overall trading costs of the fundamental ETFs, the underperformance gap widens. According to the research results, market capitalisation ETFs are a recommendable diversification instrument for a long-term investor. In addition to better risk-adjusted returns, passive ETFs are more transparent and the bases of their underlying indices are simpler than those of fundamental ETFs. ETFs are still a young financial innovation and hence data is scarcely available. On future research, it would be valuable to research the differences in risk-adjusted returns also between the subsections of fundamental ETFs.

The impact of companies’ demergers to the stock prices: a Finnish perspective

Tässä kauppatieteiden kandidaatintyössä tutkittiin millaisia vaikutuksia julkisesti noteerattujen yhtiöiden osakekurssissa tapahtuu, kun jo valmiiksi Helsingin pörssissä listattu yritys jakautuu kahdeksi uudeksi pörssiyritykseksi. Molempien yrityksien osakkeita voi tämän jakautumisen jälkeen vapaasti ostaa tai myydä. Aikaisempi tutkimus on pääsääntöisesti keskittynyt Yhdysvaltojen markkinoille ja näiden tutkimusten tuloksien perusteella on monessa tapauksessa havautta, että on mahdollista saavuttaa ylinormaaleja tuottoja, kun pörssiyritys jakautuu kahdeksi uudeksi pörssiyritykseksi. Tässä analyysissä jakautumiset ajallisesti tapahtuivat vuosien 1994 ja 2013 välisenä aikana Suomessa ja näitä jakautumia oli yhteensä 16 kappaletta. Tutkimuksessa on hyödynnetty tilastollisten menetelmien analyysiä sekä CAP-mallia, jotta voitaisiin löytää vastauksia seuraaviin kysymyksiin: Vaikuttaako pörssiyrityksen jakautuminen kahdeksi pörssiyritykseksi alkuperäisen yhtiön ja uuden yhtiön osakekursseihin? Onko vaikutus positiivinen, negatiivinen vai onko jakautumisella mitään havaittavaa vaikutusta? Tämän tutkimuksen tulokset antavat uutta tietoa tutkijoille, analyytikoille, opettajille, opiskelijoille, yrityksille ja yritysten johdolle sekä erityisesti sijoittajille. Tulosten mukaan on nähtävissä monia vaikutuksia osakekursseissa, kun pörssiyritys jakautuu. Vaikutus näyttää kuitenkin olevan jossain määrin yritys-riippuvainen. Kun sijoitetaan oikeaan aikaan, on monia jakautuvia yrityksiä, jotka antavat hyvän tuoton keskimäärin, mutta kuten tavallista ja tyypillistä osakemarkkinoille, on myös jakautuvia yhtiöitä, jotka antavat negatiivisia tuottoja tai tuotot ovat nollassa

TAKING ADVANTAGE OF THE LOCAL ADVANTAGE? - Investment value of the analyst local advantage in the Finnish stock market in 2006–2014

An investor can either conduct independent analysis or rely on the analyses of others. Stock analysts provide markets with expectations regarding particular securities. However, analysts have different capabilities and resources, of which investors are seldom cognizant. The local advantage refers to the advantage stemming from cultural or geographical proximity to securities analyzed. The research has confirmed that local agents are generally more accurate or produce excess returns. This thesis tests the investment value of the local advantage regarding Finnish stocks via target price data. The empirical section investigates the local advantage from several aspects. It is discovered that local analysts were more focused on certain sectors generally located close to consumer markets. Market reactions to target price revisions were generally insignificant with the exception to local positive target prices. Both local and foreign target prices were overly optimistic and exhibited signs of herding. Neither group could be identified as a leader or follower of new information. Additionally, foreign price change expectations were more in line with the quantitative models and ideas such as beta or return mean reversion. The locals were more accurate than foreign analysts in 5 out of 9 sectors and vice versa in one. These sectors were somewhat in line with coverage decisions and buttressed the idea of local advantage stemming from proximity to markets, not to headquarters. The accuracy advantage was dependent on sample years and on the measure used. Local analysts ranked magnitudes of price changes more accurately in optimistic and foreign analysts in pessimistic target prices. Directional accuracy of both groups was under 50% and target prices held no linear predictive power. Investment value of target prices were tested by forming mean-variance efficient portfolios. Parallel to differing accuracies in the levels of expectations foreign portfolio performed better when short sales were allowed and local better when disallowed. Both local and non-local portfolios performed worse than a passive index fund, albeit not statistically significantly. This was in line with previously reported low overall accuracy and different accuracy profiles. Refraining from estimating individual stock returns altogether produced statistically significantly higher Sharpe ratios compared to local or foreign portfolios. The proposed method of testing the investment value of target prices of different groups suffered from some inconsistencies. Nevertheless, these results are of interest to investors seeking the advice of security analysts.

Analysis of a temperature sensitive mutation affecting aldehyde oxidase activity in Drosophila melanogaster

A strain of Drosophila melanogaster (mid america stock culture no. hl16) has been reported to be deficient in aldehyde oxidase activity (Hickey and Singh 1982). This strain was characterized during the course of this study and compared to other mutant strains known to be deficient in aldehyde oxidase activity. During the course of this investigation, the hl16 strain was found to be temperature sensitive in its viability. It was found that the two phenotypes, the enzyme deficiency, and the temperature sensitive lethality were the result of two different mutations, both mapping to the X-chromosome. These two mutations were found to be separable by recombination. The enzyme deficiency was found to map to the same locus as the cinnamon mutation, another mutation which affects aldehyde oxidase production. The developmental profile of aldehyde oxidase in the hl16 strain was compared to the developmental profile in the Canton S wild type strain. The aldehyde oxidase activity in adult hl16 individuals was also compared to that of various other strains. It was also found that the aldehyde oxidase activity was temperature sensitive in the adult flies. The temperature sensitive lethality mutation was mapped to position 1-0.1.

The Impact of a Corporate Name Change on Stock Price and Trading Volume of Canadian Companies

This thesis examines the impact of a corporate name change on stock price and trading volume of Canadian companies around the announcement date, the approval date, and the adoption date over the time period from 1997 to 2011. Name changes are classified into six categories: major and minor, structural and pure, diversified and focused, accompanied with a change in ticker symbol and without a change in ticker symbol, “Gold” name addition and deletion, and different reasons for name changes (e.g., merger and acquisition, change of structure, change of strategy, and better image). The thesis uses the standard event study methodology to perform abnormal return and trading volume analyses. In addition, regression analysis is employed to examine which type of a name change has the largest impact on cumulative abnormal returns. Sample stocks exhibit a significant positive abnormal return one-day prior to the approval day and one day after the adoption date. Around the approval date we observe significant abnormal returns for stocks with a structural name change. On the day after the adoption date we document abnormal returns for stocks with major, minor, structural, pure, focused, and ticker symbol name changes. If a merger or acquisition is the reason for a name change, companies tend to experience a significant positive abnormal return one-day before the approval date and on the adoption date. If a change of structure is the reason for a name change, companies exhibit a significant positive abnormal return on the approval date and a significant negative abnormal return on the adoption date. In case of a change of strategy as the reason for a name change, companies show a significant negative abnormal return around the approval date and a significant positive abnormal return around the adoption date.

Le peptide natriurétique auriculaire induit la différenciation cardiaque dans les cellules souches embryonnaires carcinomateuses de souris P19

Traditionnellement associée à la reproduction féminine, l'ocytocine (OT), une hormone peptidique synthétisée par les noyaux paraventriculaire et supraoptique de l'hypothalamus et sécrétée par l'hypophyse postérieure (neurohypophyse), a été récemment revue et a été démontrée avoir plusieurs nouveaux rôles dans le système cardio-vasculaire. En effet, notre laboratoire a montré que l’OT peut induire la différenciation des cellules souches embryonnaires (CSE) en cardiomyocytes (CM) fonctionnels. À l’aide du modèle cellulaire embryonnaire carcinomateux de souris P19, il a été démontré que ce processus survenait suite à la libération de la guanosine monophosphate cyclique (GMPc) dépendante du monoxyde d’azote. De même, il est connu que le peptide natriurétique auriculaire (ANP), un peptide produit, stocké et sécrété par les myocytes cardiaques, peut aussi induire la production du GMPc. De nombreuses études ont démontré que le cœur ayant subi un infarctus pouvait être régénéré à partir d’une population isolée de cellules souches et progénitrices transplantées. Une de ces populations de cellules, fréquemment isolées à partir d'organes provenant d'animaux aux stades de développement embryonnaire et adulte, appelée « Side Population » (SP), sont identifiées par cytométrie en flux (FACS) comme une population de cellules non marquées par le colorant fluorescent Hoechst 33342 (Ho). Les cellules SP expriment des protéines de transport spécifiques, de la famille ATP-binding cassette, qui ont pour rôle de transporter activement le colorant fluorescent Ho de leur cytoplasme. La sous-population de cellules SP isolée du cœur affiche un potentiel de différenciation cardiaque amélioré en réponse à un traitement avec l’OT. Récemment, l'hétérogénéité phénotypique et fonctionnelle des CSE a été mise en évidence, et cela a été corrélé avec la présence de sous-populations cellulaires ressemblant beaucoup aux cellules SP issues du cœur. Puisque l’ANP peut induire la production du GMPc et qu’il a été démontré que la différenciation cardiaque était médiée par la production du GMPc, alors nous émettons l'hypothèse selon laquelle l’ANP pourrait induire la différenciation cardiaque. Étant donné que les CSE sont composés d’un mélange de différents types cellulaires alors nous émettons aussi l’hypothèse selon laquelle l’utilisation d’une sous-population de CSE plus homogène renforcerait le potentiel de différenciation de l'ANP. Méthodes : Les SP ont été isolées des cellules P19 par FACS en utilisant la méthode d’exclusion du colorant fluorescent Ho. Puis, leur phénotype a été caractérisé par immunofluorescence (IF) pour les marqueurs de l’état indifférencié, d’auto-renouvellement et de pluripotence octamer-binding transcription factor 4 (OCT4) et stage-specific embryonic antigen-1 (SSEA1). Ensuite, la dose pharmacologique optimale d’ANP a été déterminée via des tests de cytotoxicité sur des cellules P19 (MTT assay). Pour induire la différenciation en cardiomyocytes, des cellules à l’état de sphéroïdes ont été formées à l’aide de la technique du « Hanging-Drop » sous la stimulation de l’ANP pendant 5 jours. Puis, des cryosections ont été faites dans les sphéroïdes afin de mettre en évidence la présence de marqueurs de cellules cardiaques progénitrices tels que GATA4, Nkx2.5 et un marqueur mitochondrial spécifique Tom22. Ensuite, les cellules SP P19 ont été stimulées dans les sphéroïdes cellulaires par le traitement avec de l'ANP (10-7 M) ou de l’OT (10-7 M), de l’antagoniste spécifique du guanylate cyclase particulé (GCp) A71915 (10-6 M), ainsi que la combinaison des inducteurs OT+ANP, OT+A71915, ANP+A71915. Après la mise en culture, la différenciation en cardiomyocytes a été identifié par l’apparition de colonies de cellules battantes caractéristiques des cellules cardiaques, par la détermination du phénotype cellulaire par IF, et enfin par l’extraction d'ARN et de protéines qui ont été utilisés pour le dosage du GMPc par RIA, l’expression des ARNm par RT-PCR et l’expression des protéines par immunobuvardage de type western. Résultats : Les sphéroïdes obtenus à l’aide de la technique du « Hanging-Drop » ont montré une hausse modeste de l’expression des ARNm suivants : OTR, ANP et GATA4 comparativement aux cellules cultivées en monocouches. Les sphéroïdes induits par l’ANP ont présenté une augmentation significative des facteurs de transcription cardiaque GATA4 et Nkx2.5 ainsi qu’un plus grand nombre de mitochondries caractérisé par une plus grande présence de Tom22. De plus, L’ANP a induit l’apparition de colonies de cellules battantes du jour 7 (stade précoce) au jour 14 (stade mature) de façon presque similaire à l’OT. Cependant, la combinaison de l’ANP avec l’OT n’a pas induit de colonies de cellules battantes suggérant un effet opposé à celui de l’OT. Par IF, nous avons quantifié (nombre de cellules positives) et caractérisé, du jour 6 au jour 14 de différenciation, le phénotype cardiaque de nos cellules en utilisant les marqueurs suivants : Troponine T Cardiaque, ANP, Connexines 40 et 43, l’isoforme ventriculaire de la chaîne légère de myosine (MLC-2v), OTR. Les SP différenciées sous la stimulation de l’ANP ont montré une augmentation significative du GMPc intracellulaire comparé aux cellules non différenciées. À notre grande surprise, l’antagoniste A71915 a induit une plus grande apparition de colonies de cellules battantes comparativement à l’OT et l’ANP à un jour précoce de différenciation cardiaque et l’ajout de l’OT ou de l’ANP a potentialisé ses effets, augmentant encore plus la proportion de colonies de cellules battantes. De plus, la taille des colonies de cellules battantes était encore plus importante que sous la simple stimulation de l’OT ou de l’ANP. Les analyses radioimmunologiques dans les cellules SP P19 stimulés avec l’ANP, A71915 et la combinaison des deux pendant 15min, 30min et 60min a montré que l’ANP stimule significativement la production du GMPc, cependant A71915 n’abolit pas les effets de l’ANP et celui-ci au contraire stimule la production du GMPc via des effets agonistes partiels. Conclusion : Nos résultats démontrent d’une part que l’ANP induit la différenciation des cellules SP P19 en CM fonctionnels. D’autre part, il semblerait que la voie de signalisation NPRA-B/GCp/GMPc soit impliquée dans le mécanisme de différenciation cardiaque puisque l’abolition du GMPc médiée par le GCp potentialise la différenciation cardiaque et il semblerait que cette voie de signalisation soit additive de la voie de signalisation induite par l’OT, NO/GCs/GMPc, puisque l’ajout de l’OT à l’antagoniste A71915 stimule plus fortement la différenciation cardiaque que l’OT ou l’A71915 seuls. Cela suggère que l’effet thérapeutique des peptides natriurétiques observé dans la défaillance cardiaque ainsi que les propriétés vasodilatatrices de certains antagonistes des récepteurs peptidiques natriurétiques inclus la stimulation de la différenciation des cellules souches en cardiomyocytes. Cela laisse donc à penser que les peptides natriurétiques ou les antagonistes des récepteurs peptidiques natriurétiques pourraient être une alternative très intéressante dans la thérapie cellulaire visant à induire la régénération cardiovasculaire.

Modelling and Analysis of Some Time Series

The thesis deals with some of the non-linear Gaussian and non-Gaussian time models and mainly concentrated in studying the properties and application of a first order autoregressive process with Cauchy marginal distribution. In this thesis some of the non-linear Gaussian and non-Gaussian time series models and mainly concentrated in studying the properties and application of a order autoregressive process with Cauchy marginal distribution. Time series relating to prices, consumptions, money in circulation, bank deposits and bank clearing, sales and profit in a departmental store, national income and foreign exchange reserves, prices and dividend of shares in a stock exchange etc. are examples of economic and business time series. The thesis discuses the application of a threshold autoregressive(TAR) model, try to fit this model to a time series data. Another important non-linear model is the ARCH model, and the third model is the TARCH model. The main objective here is to identify an appropriate model to a given set of data. The data considered are the daily coconut oil prices for a period of three years. Since it is a price data the consecutive prices may not be independent and hence a time series based model is more appropriate. In this study the properties like ergodicity, mixing property and time reversibility and also various estimation procedures used to estimate the unknown parameters of the process.

Analysis of Some Single and Two Commodity Inventory Problems

This thesis is devoted to the study of some stochastic models in inventories. An inventory system is a facility at which items of materials are stocked. In order to promote smooth and efficient running of business, and to provide adequate service to the customers, an inventory materials is essential for any enterprise. When uncertainty is present, inventories are used as a protection against risk of stock out. It is advantageous to procure the item before it is needed at a lower marginal cost. Again, by bulk purchasing, the advantage of price discounts can be availed. All these contribute to the formation of inventory. Maintaining inventories is a major expenditure for any organization. For each inventory, the fundamental question is how much new stock should be ordered and when should the orders are replaced. In the present study, considered several models for single and two commodity stochastic inventory problems. The thesis discusses two models. In the first model, examined the case in which the time elapsed between two consecutive demand points are independent and identically distributed with common distribution function F(.) with mean  (assumed finite) and in which demand magnitude depends only on the time elapsed since the previous demand epoch. The time between disasters has an exponential distribution with parameter . In Model II, the inter arrival time of disasters have general distribution (F.) with mean  ( ) and the quantity destructed depends on the time elapsed between disasters. Demands form compound poison processes with inter arrival times of demands having mean 1/. It deals with linearly correlated bulk demand two Commodity inventory problem, where each arrival demands a random number of items of each commodity C1 and C2, the maximum quantity demanded being a (< S1) and b(

ANALYSIS, MODIFICATION, AND EVALUATION OF THE COLD FLOW PROPERTIES OF VEGETABLE OILS AS BASE OIL FOR INDUSTRIAL LUBRICANTS

Poor cold flow properties of vegetable oils are a major problem preventing the usage of many abundantly available vegetable oils as base stocks for industrial lubricants. The major objective of this research is to improve the cold flow properties of vegetable oils by various techniques like additive addition and different chemical modification processes. Conventional procedure for determining pour point is ASTM D97 method. ASTM D97 method is time consuming and reproducibility of pour point temperatures is poor between laboratories. Differential Scanning Calorimetry (DSC) is a fast, accurate and reproducible method to analyze the thermal activities during cooling/heating of oil. In this work coconut oil has been chosen as representative vegetable oil for the analysis and improvement cold flow properties since it is abundantly available in the tropics and has a very high pour point of 24 °C. DSC is used for the analysis of unmodified and modified vegetable oil. The modified oils (with acceptable pour points) were then subjected to different tests for the valuation of important lubricant properties such as viscometric, tribological (friction and wear properties), oxidative and corrosion properties.A commercial polymethacrylate based PPD was added in different percentages and the pour points were determined in each case. Styrenated phenol(SP) was added in different concentration to coconut oil and each solution was subjected to ASTM D97 test and analysis by DSC. Refined coconut oil and other oils like castor oil, sunflower oil and keranja oil were mixed in different proportions and interesterification procedure was carried out. Interesterification of coconut oil with other vegetable oils was not found to be effective in lowering the pour point of coconut oil as the reduction attained was only to the extent of 2 to 3 °C.Chemical modification by acid catalysed condensation reaction with coconut oil castor oil mixture resulted in significant reduction of pour point (from 24 ºC to -3 ºC). Instead of using triacylglycerols, when their fatty acid derivatives (lauric acid- the major fatty acid content of coconut oil and oleic acid- the major fatty acid constituents of monoand poly- unsaturated vegetable oils like olive oil, sunflower oil etc.) were used for the synthesis , the pour point could be brought down to -42 ºC. FTIR and NMR spectroscopy confirmed the ester structure of the product which is fundamental to the biodegradability of vegetable oils. The tribological performance of the synthesised product with a suitable AW/EP additive was comparable to the commercial SAE20W30 oil. The viscometric properties (viscosity and viscosity index) were also (with out additives) comparable to commercial lubricants. The TGA experiment confirmed the better oxidative performance of the product compared to vegetable oils. The sample passed corrosion test as per ASTM D130 method.

Fundamental Approach to Valuation of Securities -A Study with reference to Information Technology(IT) Sector Shares in Indian Stock Market

Department of Applied Economics,Cochin University of Science and Technology

Some concepts and models usefulninthe analysis of discrete life time data

This thesis entitled Reliability Modelling and Analysis in Discrete time Some Concepts and Models Useful in the Analysis of discrete life time data.The present study consists of five chapters. In Chapter II we take up the derivation of some general results useful in reliability modelling that involves two component mixtures. Expression for the failure rate, mean residual life and second moment of residual life of the mixture distributions in terms of the corresponding quantities in the component distributions are investigated. Some applications of these results are also pointed out. The role of the geometric,Waring and negative hypergeometric distributions as models of life lengths in the discrete time domain has been discussed already. While describing various reliability characteristics, it was found that they can be often considered as a class. The applicability of these models in single populations naturally extends to the case of populations composed of sub-populations making mixtures of these distributions worth investigating. Accordingly the general properties, various reliability characteristics and characterizations of these models are discussed in chapter III. Inference of parameters in mixture distribution is usually a difficult problem because the mass function of the mixture is a linear function of the component masses that makes manipulation of the likelihood equations, leastsquare function etc and the resulting computations.very difficult. We show that one of our characterizations help in inferring the parameters of the geometric mixture without involving computational hazards. As mentioned in the review of results in the previous sections, partial moments were not studied extensively in literature especially in the case of discrete distributions. Chapters IV and V deal with descending and ascending partial factorial moments. Apart from studying their properties, we prove characterizations of distributions by functional forms of partial moments and establish recurrence relations between successive moments for some well known families. It is further demonstrated that partial moments are equally efficient and convenient compared to many of the conventional tools to resolve practical problems in reliability modelling and analysis. The study concludes by indicating some new problems that surfaced during the course of the present investigation which could be the subject for a future work in this area.

Predictability Of Share Prices In India: A Study Of The Applicability Of Technical Analysis

In spite of the far longed practices of technical analysis by many participants in Indian stock market, none have arrived at the exact position of technical analysis as a tool for foretelling share prices. There is no evidence supporting that one has established its definite role in predicting the behaviour of share price and also to see the extent of validity (how far reliable) of technical tools in Indian stock market. The problem is the vacuum in the arena of securities market analysis where an unrecognised tool is practised, i.e., whether to hold on to technical analysis or to drop it. Again, as already stated in this chapter, its validity need not continue forever. It may become futile as happened in developed markets. Continuous practice of a tool, which is valid only during discontinuous times is also an error. The efficacy of different market phenomena in terms of their ability to foretell the extent and direction of the price movements and reliability thereof remain as not yet proved in. This requires further study in this area so that this controversy may be settled. A solution to the problem requires enquiring and establishing the applicability of technical analysis, if any, there is in the Indian stock market. The study has the following two broad objectives for the purpose of confirming the applicability, if any, of technical analysis in the Indian stock market. The first objective is to ascertain the current validity of ‘traditional holding with respect to patterns’ and the second objective is to ascertain the ‘consistent superiority’, if any, of technical indicators over non-signal strategies in return generation. The study analyses the five patterns, which are widely known and commonly found in publications. They are: (1) Symmetrical Triangles, (2) Rising Wedges, (3) Falling Wedges, (4) Head and Shoulders Top and (5) Head and Shoulders Bottom.

Arbitrage Pricing Theory and Return Generating Process: A Macroeconomic Approach to Indian Stock Market

A study focusing on the identification of return generating factors and to the extent of their influence on share prices the outcome will be a tool for investment analysis in the hands of investors portfolio managers and mutual funds who are mostly concerned with changing share prices. Since the study takes into account the influence of macroeconomic variables on variations in share returns by using the outcome the government can frame out suitable policies on long term basis and that will help in nurturing a healthy economy and resultant stock market. As every company management tries to maximize the wealth of the share holders a clear idea about the return generating variables and their influence will help the management to frame various policies to maximize the wealth of the shareholders.

Compositional data analysis: where we are and where should we be heading?

We take stock of the present position of compositional data analysis, of what has been achieved in the last 20 years, and then make suggestions as to what may be sensible avenues of future research. We take an uncompromisingly applied mathematical view, that the challenge of solving practical problems should motivate our theoretical research; and that any new theory should be thoroughly investigated to see if it may provide answers to previously abandoned practical considerations. Indeed a main theme of this lecture will be to demonstrate this applied mathematical approach by a number of challenging examples

TU Graz: Course: 707.000 Web Science and Web Technology: Lecture 4: Social Network Analysis

What are fundamental entities in social networks and what information is contained in social graphs? We will discuss some selected concepts in social network analysis, such as one- and two mode networks, prestige and centrality, and cliques, clans and clubs. Readings: Web tool predicts election results and stock prices, J. Palmer, New Scientist, 07 February (2008) [Protected Access] Optional: Social Network Analysis, Methods and Applications, S. Wasserman and K. Faust (1994)