Capital requirements and loan market conditions insight into Portuguese Banking system (2004-2011)

Capital Requirements have been gaining importance in the current macroeconomic and financial environment and Portugal is no exception. Nonetheless, despite the several media articles on this subject, the associations with Loan Market Conditions, namely availability and pricing are still unstudied. Thus, this project adds to the existing literature a characterization of Portuguese four biggest banks on capital reporting and requirements fulfillment. It is concluded that banks under analysis need to increase capital and that there is an association between the variables under study: Share Capital is negatively correlated with Credit Volume, and it is positively correlated with Net Commercial Income.

Mental health and neuroscience. A perspective from the magazine market

Mental health awareness has been rising worldwide, motivated by its social and economic costs. Despite the investment in research in neuroscience in the recent years, little is known about the underlying mechanisms in the brain that are correlated with psychiatric conditions. This project, through two feature articles suitable to be published in magazines, provides perspectives onto mental health research. First it presents an example where psychiatry joins forces with neuroscience and computer science in an interdisciplinary effort to improve the life of those affected by mental disorders. The second article gathers opinions which claim that mental health research priorities should be set by patients themselves, or even that people with lived experience of mental health issues should have an active role in that research. This project was planned and researched while I was an Erasmus student at Nottingham Trent University, in the United Kingdom.

Avaliação do potencial anti-inflamatório, antioxidante e antimicrobiano de extratos de segurelha, salsa e coentros

Recentemente tem-se observado um crescente interesse pelo uso de plantas aromáticas, devido às inúmeras propriedades benéficas que lhes têm sido associadas, e a sua aplicação em diversas indústrias, como a indústria alimentar e farmacêutica. Este estudo incidiu sob três ervas aromáticas utilizadas comummente em Portugal: coentros, salsa e segurelha. O objetivo do mesmo foi contribuir para um melhor conhecimento das propriedades bioativas das plantas estudadas, através da determinação do seu teor em compostos fenólicos totais e em flavonoides, e avaliação das suas atividades antioxidante, antimicrobiana e anti-inflamatória. A atividade antioxidante foi determinada através de diferentes tipos de ensaios, nomeadamente avaliação da capacidade redutora, com os ensaios FRAP e CUPRAC, avaliação da capacidade de sequestro do radical DPPH• e avaliação da capacidade de sequestro do radical anião superóxido. A atividade antimicrobiana foi determinada utilizando três estirpes microbianas, Staphylococcus aureus, Escherichia coli e Candida albicans. Por sua vez, a ação anti-inflamatória foi determinada através de ensaios in-vivo apenas para a segurelha, utilizando dois modelos, um para a inflamação aguda (modelo de edema da pata induzido pela carragenina) e outro para a inflamação crónica (modelo da colite ulcerativa). Os resultados demonstraram que todos os extratos de plantas aromáticas possuem atividade antioxidante, sendo que o extrato de segurelha foi aquele que apresentou um maior teor de compostos fenólicos e flavonoides, bem como o que demonstrou possuir uma maior atividade antioxidante relativamente aos restantes extratos estudados, o que sugere o envolvimento destes compostos neste tipo de atividade antioxidante. Entre o extrato de coentros e salsa, o extracto de coentros apresentou um teor em compostos fenólicos e uma actividade antioxidante significativamente superior relativamente ao extracto de salsa. O extrato de segurelha foi o único que apresentou ação antimicrobiana, o que poderá indicar que os compostos fenólicos se encontram também interligados com esta propriedade. A atividade anti-inflamatória foi determinada apenas para o extrato de segurelha, sendo que se observou que este possui efeitos benéficos para a inflamação aguda e crónica, o que poderá estar novamente relacionado com o seu teor em fenóis e flavonoides. O efeito anti-inflamatório observado com o extrato de segurelha no modelo de colite pode ser muito útil do ponto de vista de profilaxia pois o extrato foi administrado aos animais logo a seguir à indução da colite e os resultados demonstram haver uma diminuição significativa da extensão e violência dos sinais da inflamação crónica observados no grupo controlo positivo.

Universal banks and corporate control: Evidence from the global syndicated loan market

We investigate the effects of bank control over borrower firms whether by representation on boards of directors or by the holding of shares through bank asset management divisions. Using a large sample of syndicated loans, we find that banks are more likely to act as lead arrangers in loans when they exert some control over the borrower firm. Bank-firm governance links are associated with higher loan spreads during the 2003-2006 credit boom, but lower spreads during the 2007-2008 financial crisis. Additionally, these links mitigate credit rationing effects during the crisis. The results are robust to several methods to correct for the endogeneity of the bank- firm governance link. Our evidence, consistent with intertemporal smoothing of loan rates, suggests there are costs and benefits from banks’ involvement in firm governance.

Potencial do Sienito Nefelínico de Monchique para incorporação na indústria cerâmica

A procura de novos materiais aumenta dia após dia, obrigando o Homem a procurar e encontrar novas soluções, tendo sempre como critério decisivo, uma exploração económica e ambiental sustentável. É neste âmbito que surge o tema desta dissertação. O objetivo é tirar um maior proveito do sienito nefelínico de Monchique (Portugal), à semelhança de países como a Rússia, Canadá e Noruega, que utilizam esta rocha a nível industrial. Neste trabalho, a investigação foi no sentido de estudar o potencial da rocha portuguesa para a indústria cerâmica. O elevado teor de alumina e álcalis que o sienito nefelínico apresenta na sua constituição, serve de substituto aos minerais atualmente utilizados neste sector, os feldspatos isolados. A alumina serve de estabilizador, promovendo a durabilidade dos materiais pelo aumento da resistência e o conteúdo em álcalis funciona como fundente, diminuindo a temperatura de queima. Desta forma, o Maciço de Monchique ganha uma nova importância económica, sendo uma mais-valia para o país. Para tal, elaboraram-se provetes cerâmicos constituídos por 0, 20, 40 e 60% em peso de sienito nefelínico em mistura com argila. Posteriormente, sujeitaram-se os provetes a três temperaturas diferentes, 900 °C, 1000 °C e 1100 °C e submeteram-se cada um deles a ensaios físicos e mecânicos, para determinar o potencial da incorporação do sienito de Monchique na indústria cerâmica. Os resultados indicaram que a adição de sienito nefelínico melhora as propriedades físicas da argila. Relativamente às propriedades mecânicas, o ensaio de resistência à flexão indicou que, dos vários teores testados, o mais positivo encontra-se na percentagem de 20% de sienito nefelínico, apresentando valores próximos da argila pura utilizada como referência.

A wave of change: Labor market and social security impacts of the EU refugee inflow

The recent massive inflow of refugees to the European Union (EU) raises a number of unanswered questions on the economic impact of this phenomenon. To examine these questions, we constructed an overlapping-generations model that describes the evolution of the skill premium and of the welfare benefit level in relevant European countries, in the aftermath of an inflow of asylum-seekers. In our simulation, relative wages of skilled workers increase between 8% and 11% in the period of the inflow; their subsequent time path is dependent on the initial skill premium. The entry of migrants creates a fiscal surplus of about 8%, which can finance higher welfare benefits in the subsequent periods. These effects are weaker in a scenario where refugees do not fully integrate into the labor market.

What do broadband consumers want? Design and execution of a questionnaire on demand for bundled services on the Portuguese telecomunications market

The report addresses the question of what are the preferences of broadband consumers on the Portuguese telecommunication market. A triple play bundle is being investigated. The discrete choice analysis, adopted in the study, base on 110 responses, mainly from NOVA students. The data for the analysis was collected via manually designed on-line survey. The results show that the price attribute is relatively the most important one while the television attribute is being overlooked in the decision making process. Main effects examined in the research are robust. In addition, "extras" components are being tested in terms of users' preferences.

Assessing the role of social networks on migrant labor market outcomes: Evidence from a representative immigrant survey

What role do social networks play in determining migrant labor market outcomes? We examine this question using data from a random sample of 1500 immigrants living in Ireland. We propose a theoretical model formally predicting that immigrants with more contacts have additional access to job offers, and are therefore better able to become employed and choose higher paid jobs. Our empirical analysis confirms these findings, while focusing more generally on the relationship between migrants’ social networks and a variety of labor market outcomes (namely wages, employment, occupational choice and job security), contrary to the literature. We find evidence that having one more contact in the network is associated with an increase of 11pp in the probability of being employed and with an increase of about 100 euros in the average salary. However, our data is not suggestive of a network size effect on occupational choice and job security. Our findings are robust to sample selection and other endogeneity concerns.

The impact of credit conditions on market liquidity – a case for European stock markets

The recent financial crisis has drawn the attention of researchers and regulators to the importance of liquidity for stock market stability and efficiency. The ability of market-makers and investors to provide liquidity is constrained by the willingness of financial institutions to supply funding capital. This paper sheds light on the liquidity linkages between the Central Bank, Monetary Financial Institutions and market-makers as crucial elements to the well-functioning of markets. Results suggest the existence of causality between credit conditions and stock market liquidity for the Eurozone between 2003 and 2015. Similar evidence is found for the UK during the post-crisis period. Keywords: stock

Predicting market movement with Artificial Neural Networks

This paper presents an application of an Artificial Neural Network (ANN) to the prediction of stock market direction in the US. Using a multilayer perceptron neural network and a backpropagation algorithm for the training process, the model aims at learning the hidden patterns in the daily movement of the S&P500 to correctly identify if the market will be in a Trend Following or Mean Reversion behavior. The ANN is able to produce a successful investment strategy which outperforms the buy and hold strategy, but presents instability in its overall results which compromises its practical application in real life investment decisions.

Microstructural changes befor macroeconomic announcements: Predictability of economic surprises in the U.S. market

Flow of new information is what produces price changes, understanding if the market is unbalanced is fundamental to know how much inventory market makers should keep during an important economic release. After identifying which economic indicators impact the S&P and 10 year Treasuries. The Volume Synchronized Probability of Information-Based Trading (VPIN) will be used as a predictability measure. The results point to some predictability power over economic surprises of the VPIN metric, mainly when calculated using the S&P. This finding appears to be supported when analysing depth imbalance before economic releases. Inferior results were achieved when using treasuries. The final aim of this study is to fill the gap between microstructural changes and macroeconomic events.

MarketOpolis: A market simulation based on investors decisions

This study aims to replicate Apple’s stock market movement by modeling major investment profiles and investors. The present model recreates a live exchange to forecast any predictability in stock price variation, knowing how investors act when it concerns investment decisions. This methodology is particularly relevant if, just by observing historical prices and knowing the tendencies in other players’ behavior, risk-adjusted profits can be made. Empirical research made in the academia shows that abnormal returns are hardly consistent without a clear idea of who is in the market in a given moment and the correspondent market shares. Therefore, even when knowing investors’ individual investment profiles, it is not clear how they affect aggregate markets.

Macroeconomic risk in commodities market

The thesis studies the presence of macroeconomic risk in the commodities futures market. I present strong evidence that there is a strong relationship between macroeconomic risk and individual commodities future returns. Furthermore, long-only trading strategies seem to be strongly exposed to systematic risk, while long-short trading strategies (based on basis, momentum and basis-momentum) are found to present no such risk. Instead, I found a strong sentiment exposure in the portfolio returns of these long-short strategies, mainly during recessions. The advantages of following long-short strategies become even clearer when analyzing different macroeconomic regimes.