Application of different heuristic classes in memory-based and stimulus-based decisions

This paper studies the drivers of heuristic application in different decision types. The study compares differences in frequencies of heuristic classes' such as recognition, one-reason choice and trade-off applied in, respectively, memory-based and stimulus-based choices as well as in high and low involvement decisions. The study has been conducted online among 205 participants from 28 countries.

Tests of Conditional Asset Pricing Models in the Brazilian Stock Market

In this paper, we test a version of the conditional CAPM with respect to a local market portfolio, proxied by the Brazilian stock index during the 1976-1992 period. We also test a conditional APT model by using the difference between the 30-day rate (Cdb) and the overnight rate as a second factor in addition to the market portfolio in order to capture the large inflation risk present during this period. The conditional CAPM and APT models are estimated by the Generalized Method of Moments (GMM) and tested on a set of size portfolios created from a total of 25 securities exchanged on the Brazilian markets. The inclusion of this second factor proves to be crucial for the appropriate pricing of the portfolios.

Tests of Conditional Asset Pricing Models in the Brazilian Stock Market

In this paper, we test a version of the conditional CAPM with respect to a local market portfolio, proxied by the Brazilian stock index during the 1976-1992 period. We also test a conditional APT model by using the difference between the 30-day rate (Cdb) and the overnight rate as a second factor in addition to the market portfolio in order to capture the large inflation risk present during this period. the conditional CAPM and APT models are estimated by the Generalized Method of Moments (GMM) and tested on a set of size portfolios created from a total of 25 securities exchanged on the Brazilian markets. the inclusion of this second factor proves to be crucial for the appropriate pricing of the portfolios.

Clique Irreducibility of Some Iterative Classes of Graphs

In this paper, two notions, the clique irreducibility and clique vertex irreducibility are discussed. A graph G is clique irreducible if every clique in G of size at least two, has an edge which does not lie in any other clique of G and it is clique vertex irreducible if every clique in G has a vertex which does not lie in any other clique of G. It is proved that L(G) is clique irreducible if and only if every triangle in G has a vertex of degree two. The conditions for the iterations of line graph, the Gallai graphs, the anti-Gallai graphs and its iterations to be clique irreducible and clique vertex irreducible are also obtained.

On The Center Sets and Center Numbers of Some Graph Classes

For a set S of vertices and the vertex v in a connected graph G, max x2S d(x, v) is called the S-eccentricity of v in G. The set of vertices with minimum S-eccentricity is called the S-center of G. Any set A of vertices of G such that A is an S-center for some set S of vertices of G is called a center set. We identify the center sets of certain classes of graphs namely, Block graphs, Km,n, Kn ���e, wheel graphs, odd cycles and symmetric even graphs and enumerate them for many of these graph classes. We also introduce the concept of center number which is defined as the number of distinct center sets of a graph and determine the center number of some graph classes

Early experiences of children attending classes at Central Institute for the Deaf

This paper reviews the results of a questionnaire sent out to parents of children attending Central Institute for the Deaf.

Analyzing the performance of non-listed real estate funds: an panel data analysis

The rapid growth of non-listed real estate funds over the last several years has contributed towards establishing this sector as a major investment vehicle for gaining exposure to commercial real estate. Academic research has not kept up with this development, however, as there are still only a few published studies on non-listed real estate funds. This paper aims to identify the factors driving the total return over a seven-year period. Influential factors tested in our analysis include the weighted underlying direct property returns in each country and sector as well as fund size, investment style gearing and the distribution yield. Furthermore, we analyze the interaction of non-listed real estate funds with the performance of the overall economy and that of competing asset classes and found that lagged GDP growth and stock market returns as well as contemporaneous government bond rates are significant and positive predictors of annual fund performance.

Aligning asset allocation and real estate investment: some lessons from the last cycle

Asset allocation is concerned with the development of multi--���asset portfolio strategies that are likely to meet an investor���s objectives based on the interaction of expected returns, risk, correlation and implementation from a range of distinct asset classes or beta sources. Challenges associated with the discipline are often particularly significant in private markets. Specifically, composition differences between the ���index��� or ���benchmark��� universe and the investible universe mean that there can often be substantial and meaningful deviations between the investment characteristics implied in asset allocation decisions and those delivered by investment teams. For example, while allocation decisions are often based on relatively low--���risk diversified real estate ���equity��� exposure, implementation decisions frequently include exposure to higher risk forms of the asset class as well as investments in debt based instruments. These differences can have a meaningful impact on the contribution of the asset class to the overall portfolio and, therefore, lead to a potential misalignment between asset allocation decisions and implementation. Despite this, the key conclusion from this paper is not that real estate investors should become slaves to a narrowly defined mandate based on IPD / NCREIF or other forms of benchmark replication. The discussion suggests that such an approach would likely lead to the underutilization of real estate in multi--���asset portfolio strategies. Instead, it is that to achieve asset allocation alignment, real estate exposure should be divided into multiple pools representing distinct forms of the asset class. In addition, the paper suggests that associated investment guidelines and processes should be collaborative and reflect the portfolio wide asset allocation objectives of each pool. Further, where appropriate they should specifically target potential for ���additional��� beta or, more marginally, ���alpha���.

Empirical evidence from the corporate collapse literature suggesting re-examination of accounting standards in relation to valuation of assets

This paper examines the recent spectacular corporate collapses of Parmalat in Europe, Enron and WorldCom in the USA and HIH in Australia and argues for a re-examination of corporate governance regulations, particularly in relation to accounting standards regarding the valuation of assets. The recommendation that is put forward in this regard is based upon empirical evidence arising from further examination of the empirical results in (Hossari and Rahman, 2004). Specifically, the recommendation is based upon the realization that, among the 48 financial ratios across the 50-plus refereed studies, five financial ratios, all of which contained assets as one of the variables, were a relatively robust indicator of corporate collapse. The five ratios are: Net Income/Total Assets, Current Assets/Current Liabilities, Total Liabilities/Total Assets, Working Capital/Total Assets, and Earnings Before Interest and Taxes/Total Assets. This paper suggests that it's not the failure of the corporate collapse prediction models, rather it's the erosion of the reliability of some key input data, namely assets and the valuation thereof, that is largely responsible for the apparent failure of these models in capturing impending collapses, such as those that we witnessed in the recent past. Such empirical findings support the argument that assets are soft targets for misrepresentation, because of the leeway granted in accounting standards with regards to their valuation.<br />

An examination of conditional asset pricing models in the Australian equities market

This article examines the link between macroeconomic variables and equity returns in Australia by testing conditional asset pricing models. We find that conditioning the Fama-French model with a series of macroeconomic variables does not considerably improve its performance. However, we do find that the Fama-French factors, SMB and HML, retain their ability to explain equity returns even after the model is conditioned on macroeconomic variables. Our findings suggest that investors do not adjust their risk premiums according to the changes in the macroeconomic variables we employ.<br />

Tests of conditional asset pricing models in the brazilian stock market

In this paper, we test a version of the conditional CAPM with respect to a local market portfolio, proxied by the Brazilian stock index during the period 1976-1992. We also test a conditional APT modeI by using the difference between the 3-day rate (Cdb) and the overnight rate as a second factor in addition to the market portfolio in order to capture the large inflation risk present during this period. The conditional CAPM and APT models are estimated by the Generalized Method of Moments (GMM) and tested on a set of size portfolios created from individual securities exchanged on the Brazilian markets. The inclusion of this second factor proves to be important for the appropriate pricing of the portfolios.

Diversifica����o internacional no contexto brasileiro

Este trabalho contribui a discuss��o de diversifica����o internacional no contexto de investidores brasileiros com refer��ncia na moeda local (Reais). O trabalho testa as seguintes hip��teses: (1) se a adi����o de ativos internacionais n��o aumenta a efici��ncia (melhora na rela����o retorno/risco) de carteiras somente com ativos brasileiros, (2) se carteiras de menor risco exigem mais aloca����es internacionais e, (3) se aloca����o de ativos �� parecida para investidores com refer��ncias em d��lar ou em reais. Esse trabalho utiliza modelos j�� conhecidos de fronteiras eficientes com aplica����o de t��cnicas que utilizam rotinas de Monte Carlo para suavizar poss��veis erros na estima����o dos retornos das classes de ativos, que incorporam ainda incertezas sobre o c��mbio. Nas simula����es s��o utilizadas uma cesta de ativos locais e uma cesta de ativos que melhor representa o mercado internacional. Apesar da grande maioria dos investidores brasileiros utilizarem muito pouco ativos internacionais em suas carteiras, seja por motivos de Home Bias, fatores hist��ricos macroecon��micos evidenciados pelas altas taxas de juros ou limita����es regulat��rias, os resultados emp��ricos demonstram que existem ganhos de efici��ncia para as carteiras de investidores brasileiros ao se incluir ativos internacionais na aloca����o de ativos. Esses ganhos de efici��ncia s��o evidenciados para todos os perfis de risco, desde os mais conservadores at�� os perfis mais agressivos. Os resultados mostram que quanto maior o perfil de risco da carteira, maior �� a aloca����o internacional que maximiza a efici��ncia da carteira. E por ��ltimo, a refer��ncia da moeda muda significativamente a aloca����o eficiente de carteiras, carteiras com refer��ncia em d��lar exigem menos diversifica����o com ativos em reais do que carteiras com refer��ncia em Reais exigem diversifica����o com ativos internacionais.