Performance of Finnish Mutual Funds: A Decomposition Approach

Mutual funds have increased in popularity among Finnish investors in recent years. In this study returns on domestic funds have been decomposed into several elements that measure different aspects of fund performance. The results indicate that fund managers in the long run tend to allocate fund capital between different stock categories in a profitable way. When it comes to the short term timing of their allocation decisions they are however unable to further improve overall performance. The evidence also suggests that managers possess the ability to pick above average performing stocks within the individual stock categories. During the investigated period most funds returned more than a broad benchmark index even after fees and indirect costs were taken into account.

On the Importance of Mutual Fund Families in Emerging Markets

This study contributes to the mutual fund literature by looking at performance persistence on a fund family level, allowing for individual equity, bond and balanced funds to be included under single family umbrellas. The study is conducted on the emerging Finnish mutual fund market, an environment in which the importance of superior fund family teams is likely to be accentuated. Using both non–parametric and parametric tests we find robust evidence of performance persistence for the fund families. Persistence is particularly strong in the first half of the investigation period, which highlights the importance of fund families at early stages of market development.

The condensed nearest neighbor rule using the concept of mutual nearest neighborhood (Corresp.)

A two-stage iterative algorithm for selecting a subset of a training set of samples for use in a condensed nearest neighbor (CNN) decision rule is introduced. The proposed method uses the concept of mutual nearest neighborhood for selecting samples close to the decision line. The efficacy of the algorithm is brought out by means of an example.

Agglomerative clustering using the concept of mutual nearest neighbourhood

A method for determining the mutual nearest neighbours (MNN) and mutual neighbourhood value (mnv) of a sample point, using the conventional nearest neighbours, is suggested. A nonparametric, hierarchical, agglomerative clustering algorithm is developed using the above concepts. The algorithm is simple, deterministic, noniterative, requires low storage and is able to discern spherical and nonspherical clusters. The method is applicable to a wide class of data of arbitrary shape, large size and high dimensionality. The algorithm can discern mutually homogenous clusters. Strong or weak patterns can be discerned by properly choosing the neighbourhood width.

Disaggregative Clustering Using the Concept of Mutual Nearest Neighborhood

A nonparametric, hierarchical, disaggregative clustering algorithm is developed using a novel similarity measure, called the mutual neighborhood value (MNV), which takes into account the conventional nearest neighbor ranks of two samples with respect to each other. The algorithm is simple, noniterative, requires low storage, and needs no specification of the expected number of clusters. The algorithm appears very versatile as it is capable of discerning spherical and nonspherical clusters, linearly nonseparable clusters, clusters with unequal populations, and clusters with lowdensity bridges. Changing of the neighborhood size enables discernment of strong or weak patterns.

Credit Default Swaps and Insurance: Against the Potts Opinion

Little attention has been given to the possibility that CDS transactions might be construed as insurance contracts in English law. This article challenges the widespread “Potts opinion”, which states that CDSs are not insurance, because they do not require the protection buyer to sustain a loss or to have an insurable interest in the subject matter. CDSs often do provide protection against loss that the buyer is exposed to; loss indemnity is not a necessary characterisation of an insurance contract; insurable interest does not form part of the definition of insurance, but is an additional requirement of valid insurance; and what matters is the substance not the form of the contract. The situation in the US and Australia is also briefly considered.

Mutual diffusion coefficients of some binary liquid systems: benzene-n-alkyl alcohol

The mutual diffusion coefficients for binary liquid systems of benzene-n-alkyl alcohol at various compositions have been determined by the diaphragm cell method at 28-degrees-C. The alcohols used were the members of n-paraffinic alcohols ranging from C1 to C8. The maximum possible experimental error is 14%. The data were fitted with a generalized correlation, giving the deviation from the experimental data to within 2.75%, on average.

Synthesis, characterization, and fire retardancy of ferrocene containing polyphosphate esters

Polyphosphate esters containing ferrocene structures were synthesized from 1,1′-bis (p-hydroxyphenylamido) ferrocene and 1,1′-bis (p-hydroxyphenoxycarbonyl) ferrocene with aryl phosphorodichloridates by interfacial polycondensation using a phase transfer catalyst. The polymers were characterized by infrared, 1H-, 13C-, and 31-NMR spectroscopy. The molecular weights were determined by end group analysis using 31P-NMR spectral data. The thermal stability and fire retardancy were respectively determined by thermogravimetry and limiting oxygen index (LOI) measurements. The polyamide-phosphate esters showed better thermal stability and higher LOI values than the polyester-phosphate esters.

A geodesic constant method for computing high-frequency mutual coupling between antennas on general quadric cylinders

A Geodesic Constant Method (GCM) is outlined which provides a common approach to ray tracing on quadric cylinders in general, and yields all the surface ray-geometric parameters required in the UTD mutual coupling analysis of conformal antenna arrays in the closed form. The approach permits the incorporation of a shaping parameter which permits the modeling of quadric cylindrical surfaces of desired sharpness/flatness with a common set of equations. The mutual admittance between the slots on a general parabolic cylinder is obtained as an illustration of the applicability of the GCM.