Angel Investing in Finland: An Analysis Based on Agency Theory and the Incomplete Contracting Theory

Wealthy individuals - business angels who invest a share of their net worth in entrepreneurial ventures - form an essential part of an informal venture capital market that can secure funding for entrepreneurial ventures. In Finland, business angels represent an untapped pool of capital that can contribute to fostering entrepreneurial development. In addition, business angels can bridge knowledge gaps in new business ventures by means of making their human capital available. This study has two objectives. The first is to gain an understanding of the characteristics and investment behaviour of Finnish business angels. The strongest focus here is on the due diligence procedures and their involvement post investment. The second objective is to assess whether agency theory and the incomplete contacting theory are useful theoretical lenses in the arena of business angels. To achieve the second objective, this study investigates i) how risk is mitigated in the investment process, ii) how uncertainty influences the comprehensiveness of due diligence as well as iii) how control is allocated post investment. Research hypotheses are derived from assumptions underlying agency theory and the incomplete contacting theory. The data for this study comprise interviews with 53 business angels. In terms of sample size this is the largest on Finnish business angels. The research hypotheses in this study are tested using regression analysis. This study suggests that the Finnish informal venture capital market appears to be comprised of a limited number of business angels whose style of investing much resembles their formal counterparts’. Much focus is placed on managing risks prior to making the investment by strong selectiveness and by a relatively comprehensive due diligence. The involvement is rarely on a day-to-day basis and many business angels seem to see board membership as a more suitable alternative than involvement in the operations of an entrepreneurial venture. The uncertainty involved does not seem to drive an increase in due diligence. On the contrary, it would appear that due diligence is more rigorous in safer later stage investments and when the business angels have considerable previous experience as investors. Finnish business angels’ involvement post investment is best explained by their degree of ownership in the entrepreneurial venture. It seems that when investors feel they are sufficiently rewarded, in terms of an adequate equity stake, they are willing to involve themselves actively in their investments. The lack of support for a relationship between increased uncertainty and the comprehensiveness of due diligence may partly be explained by an increasing trend towards portfolio diversification. This is triggered by a taxation system that favours investments through investment companies rather than direct investments. Many business angels appear to have substituted a specialization strategy that builds on reducing uncertainty for a diversification strategy that builds on reducing firm specific (idiosyncratic) risk by holding shares in ventures whose returns are not expected to exhibit a strong positive correlation.

Synthesis, magnetic and electrical properties of Fe-containing SiO2 nanocomposite

Nanocrystalline Fe powders were synthesized by transmetallation reaction and embedded in silica to form Fe-SiO2 nanocomposite. Thermomagnetic study of the as-prepared Fe sample indicates the presence of Fe3O4 and Fe particles. Oxidation studies of Fe and Fe-SiO2 show an increased thermal stability of Fe-SiO2 nanocomposite over pure Fe. The Fe-SiO2 shows an enhanced oxidation temperature (i.e., 780 K) and a maximum saturation magnetization value of (135 emu/g) with 64 wt.% of Fe content in silica. Electrical and dielectric behaviour of the Fe-SiO2 nanocomposite has been investigated as a function of temperature and frequency. Low frequency ac conductivity and dielectric constants were found to be influenced by desorptions of chemisorbed moisture. High saturation magnetization, thermal stability, frequency-dependent conductivity and low power loss make Fe-silica a promising material for high frequency applications. (C) 2010 Elsevier B.V. All rights reserved.

Behaviour of power MOSFETs at cryogenic temperatures

In this paper an investigation is reported on Siemens-power-metal-oxide-semiconductor (SIPMOS) transistors of both p and n channel types, for their suitability for cryogenic applications. The drain characteristics, temperature dependence of Rds(on) and switching behaviour have been studied in the temperature range 4.2 – 300 K in BSS91 and BSS92 MOSFETs. The experiments reveal that these types of power transistors are well suited for operations down to ≈ 30 K. However, below 30 K the operating characteristics make them unsuitable for application. This arises because of carrier freeze-out in the n− region on the substrate, which forms a drain.

News Media, Crime and Fear of Violence

Finland witnessed a surge in crime news reporting during the 1990s. At the same time, there was a significant rise in the levels of fear of crime reported by surveys. This research examines whether and how the two phenomena: news media and fear of violence were associated with each other. The dissertation consists of five sub-studies and a summary article. The first sub-study is a review of crime reporting trends in Finland, in which I have reviewed prior research and used existing Finnish datasets on media contents and crime news media exposure. The second study examines the association between crime media consumption and fear of crime when personal and vicarious victimization experiences have been held constant. Apart from analyzing the impact of crime news consumption on fear, media effects on general social trust are analyzed in the third sub-study. In the fourth sub-study I have analyzed the contents of the Finnish Poliisi-TV programme and compared the consistency of the picture of violent crime between official data sources and the programme. In the fifth and final sub-study, the victim narratives of Poliisi-TV s violence news contents have been analyzed. The research provides a series of results which are unprecedented in Finland. First, it observes that as in many other countries, the quantity of crime news supply has increased quite markedly in Finland. Second, it verifies that exposure to crime news is related to being worried about violent victimization and avoidance behaviour. Third, it documents that exposure to TV crime reality-programming is associated with reduced social trust among Finnish adolescents. Fourth, the analysis of Poliisi-TV shows that it transmits a distorted view of crime when contrasted with primary data sources on crime, but that this distortion is not as big as could be expected from international research findings and epochal theories of sociology. Fifth, the portrayals of violence victims in Poliisi-TV do not fit the traditional ideal types of victims that are usually seen to dominate crime media. The fact that the victims of violence in Poliisi-TV are ordinary people represents a wider development of the changing significance of the crime victim in Finland. The research concludes that although the media most likely did have an effect on the rising public fears in the 1990s, the mechanism was not as straight forward as has often been claimed. It is likely that there are other factors in the fear-media equation that are affecting both fear levels and crime reporting and that these factors are interactive in nature. Finally, the research calls for a re-orientation of media criminology and suggests more emphasis on the positive implications of crime in the media. Keywords: crime, media, fear of crime, violence, victimization, news

CM defect and Hilbert functions of monomial curves

In this article we consider a semigroup ring R = KGamma] of a numerical semigroup Gamma and study the Cohen- Macaulayness of the associated graded ring G(Gamma) := gr(m), (R) := circle plus(n is an element of N) m(n)/m(n+1) and the behaviour of the Hilbert function H-R of R. We define a certain (finite) subset B(Gamma) subset of F and prove that G(Gamma) is Cohen-Macaulay if and only if B(Gamma) = empty set. Therefore the subset B(Gamma) is called the Cohen-Macaulay defect of G(Gamma). Further, we prove that if the degree sequence of elements of the standard basis of is non-decreasing, then B(F) = empty set and hence G(Gamma) is Cohen-Macaulay. We consider a class of numerical semigroups Gamma = Sigma(3)(i=0) Nm(i) generated by 4 elements m(0), m(1), m(2), m(3) such that m(1) + m(2) = mo m3-so called ``balanced semigroups''. We study the structure of the Cohen-Macaulay defect B(Gamma) of Gamma and particularly we give an estimate on the cardinality |B(Gamma, r)| for every r is an element of N. We use these estimates to prove that the Hilbert function of R is non-decreasing. Further, we prove that every balanced ``unitary'' semigroup Gamma is ``2-good'' and is not ``1-good'', in particular, in this case, c(r) is not Cohen-Macaulay. We consider a certain special subclass of balanced semigroups Gamma. For this subclass we try to determine the Cohen-Macaulay defect B(Gamma) using the explicit description of the standard basis of Gamma; in particular, we prove that these balanced semigroups are 2-good and determine when exactly G(Gamma) is Cohen-Macaulay. (C) 2011 Published by Elsevier B.V.

Effect of sliding speed on friction and wear of uni-directional aramid fibre-phenolic resin composite

A previous study on the tribological performance of a compression-moulded aramid fibre-phenolic resin composite, containing 30% continuous fibre, showed that this composite provides a reasonable combination of the friction coefficient and wear rate to be used as a friction component, such as a brake shoe. In the present work, the effect of sliding speed on the friction and wear behaviour of this composite has been investigated. The sliding experiments were conducted in a speed range of 0.1-6 m s(-1) at two normal pressure levels of 1.0 and 4.9 MPa. The coefficient of friction was found to be stable over a wide range of sliding speeds and normal pressures. The wear of the composite was found to be insensitive to changes in the speed in the higher speed range. The results have been supplemented with scanning electron micrographs to help understand possible friction and wear mechanisms.

Sliding wear of YTZP ceramic against steel: observations on ceramic transfer and wear transition

Sliding tests were conducted, in air, of YTZP ceramic pins against steel discs at an applied pressure of 15.5 MPa over a speed range of 0.3 to 4.0 ms(-1). Pin wear was not detectable until 2.0 m s(-1), after which a finite but small wear rate was observed at 3.0 m s(-1), accompanied by a red glow at the contacting surface. A transition in wear behaviour and friction (mu) occurred at 4.0 ms(-1), increasing the former by over two orders of magnitude. Both mu and wear behaviour changed with time at 4.0 m s(-1). During initial periods mu was high and wear rate increased steadily with time accompanied by ceramic transfer onto the disc, which increased with time. When disc coverage exceeds a certain threshold value, mu decreased rapidly and the wear rate stabilized at a very high value. Metal transfer was not observed at any speed. High surface temperatures brought about significant adhesion between TZP and steel and this together with enhanced plastic deformation brought about a transition in wear behaviour.

Vibration and Stability of Fluid Conveying Pipes with Stochastic Parameters

Flexible cantilever pipes conveying fluids with high velocity are analysed for their dynamic response and stability behaviour. The Young's modulus and mass per unit length of the pipe material have a stochastic distribution. The stochastic fields, that model the fluctuations of Young's modulus and mass density are characterized through their respective means, variances and autocorrelation functions or their equivalent power spectral density functions. The stochastic non self-adjoint partial differential equation is solved for the moments of characteristic values, by treating the point fluctuations to be stochastic perturbations. The second-order statistics of vibration frequencies and mode shapes are obtained. The critical flow velocity is-first evaluated using the averaged eigenvalue equation. Through the eigenvalue equation, the statistics of vibration frequencies are transformed to yield critical flow velocity statistics. Expressions for the bounds of eigenvalues are obtained, which in turn yield the corresponding bounds for critical flow velocities.

Male-biased adult sex ratios and their significance for cooperative breeding in dhole, Cuon alpinus, packs

Two free-ranging packs of dholes (Asiatic wild dog, Cuon alpinus) were monitored for a period of 6 yr (Sep. 1990-Sep. 1996) in the Mudumalai sanctuary, southern India. Demographic data on age structure, litter-size, sex ratio and age and sex specific dispersal were collected. Behavioural data on social interactions and reproductive behaviour among pack members were obtained to determine the frequencies of dominant and subordinate behaviours shown by malt: and female pack members and a measure of each male's reproductive access to females. Behaviours displayed by pack members at dens were recorded to determine whether any age- or sex-specific role specialization existed during pup care. Tenures for dominant males and females within the pack were calculated to ascertain the rate of breeding vacancies occurring within packs. Approximate levels of genetic relatedness within packs were determined by studying pedigrees. In most years one study pack had a male-biased adult sex ratio. This was caused by almost twofold higher dispersal of adult females over adult males. A considerable variance existed in the percentage of sub-adults dispersing from the two packs. Differences existed in the frequencies of dominant and subordinate behaviours shown by males. For males, dominance ranks and ranks based on submissive behaviours were not correlated with frequencies of reproductive behaviours. Subordinate males also displayed reproductive behaviours. In packs, dominant males had lower tenures than dominant females indicating that among males breeding vacancies arose more quickly. The litter size was found to be negatively correlated with the age of the breeding female. There were no significant differences across individuals of varying age or sex classes in the display of pup care behaviours. Significant differences did exist among individual adults. Genetic relatedness among packs tended to vary temporally as a consequence of possible mating by subordinate animals and immigration of new males into the pack. In conclusion, it appears that males delay dispersal and cooperate within their natal packs because of the variety of reproductive strategies they could pursue within. A combination of ecological constraints and the difficulties of achieving breeding status within non-natal packs may make early dispersal and independent breeding less beneficial.

Control of shrinkage and swelling of expansive soils

Fly ashes are used to improve the properties of expansive soils. The paper brings out the effect of two different fly ashes containig different lime contents on shrinkage and swelling behaviour of expansive Indian Black cotton soil. Since the specific gravities of the fly ashes are considerably different,Void ratio at shrinkage limit and % of swelling are used to describe the shrinkage and swell behaviour of soils. Both fly ashes increase the shrinkage void ratio and decrease the % swell of the soil. While high lime fly ash is more effective in increasing the shrinkage void ratio, low lime flyash is more effective in reducing the swelling. Lime content which causes floculation of soil particle, is responsible for the differences.

Analysis of residual tropical cemented soil behaviour

In -situ soils in gee-material spectrum might arise due to sedimentation or could be non-sedimentary residual formations. The inherent nature and diversity of geological processes involved in the soil formation stage itself are responsible for a wide variability in the in-situ state of the soil. In this paper the possibility of analyses to arrive at engineering parameters of residual soils with varied degrees of residual or acquired cementation by the use of physical and in-situ parameters normally determined in routine investigations, are examined. An Intrinsic State Line,(ISL), with reference to an intrinsic state parameter (e/e(L)) and its variation with effective stress for reconstituted clays has been developed for residual tropical soils of non-sedimentary origin. In relation to the Intrinsic State Line (ISL), the undisturbed state, e, the potential parameter, e(L), along with the overburden pressure data has been analyzed to identify the dominance of cementation or stress history or both in controlling the compressibility and strength behaviour of natural residual soil. The location of yield stress point in relation to the ISL, pre-, and post- yield stress, compression indices along the e- log sigma(v) path provide a simple means to the analysis of the compressibility characteristics of cemented soils for analysis.

Perspectives on Titanium Science and Technology

The basic framework and - conceptual understanding of the metallurgy of Ti alloys is strong and this has enabled the use of titanium and its alloys in safety-critical structures such as those in aircraft and aircraft engines. Nevertheless, a focus on cost-effectiveness and the compression of product development time by effectively integrating design with manufacturing in these applications, as well as those emerging in bioengineering, has driven research in recent decades towards a greater predictive capability through the use of computational materials engineering tools. Therefore this paper focuses on the complexity and variety of fundamental phenomena in this material system with a focus on phase transformations and mechanical behaviour in order to delineate the challenges that lie ahead in achieving these goals. (C) 2012 Acta Materialia Inc. Published by Elsevier Ltd. All rights reserved.

Effect of indium addition on microstructural, mechanical and oxidation properties of suction cast Nb-Si eutectic alloy

The paper reports effect of small ternary addition of In on the microstructure, mechanical property and oxidation behaviour of a near eutectic suction cast Nb-19.1 at-%Si-1.5 at-%In alloy. The observed microstructure consists of a combination of two kinds of lamellar structure. They are metal-intermetallic combinations of Nb-ss-beta-Nb5Si3 and Nb-ss-alpha-Nb5Si3 respectively having 40-60 nm lamellar spacings. The alloy gives compressive strength of 3 GPa and engineering strain of similar to 3% at room temperature. The composite structure also exhibits a large improvement in oxidation resistance at high temperature (1000 degrees C).

Effect of hybridizing micron-sized Ti with nano-sized SiC on the microstructural evolution and mechanical response of Mg-5.6Ti composite

In this work, the effect of hybridizing micro-Ti with nano-SiC particulates on the microstructural and the mechanical behaviour of Mg-5.6Ti composite were investigated. Mg materials containing micron-sized Ti particulates hybridized with different amounts of nano-size SiC particulates were synthesized using the disintegrated melt deposition method followed by hot extrusion. The microstructural and mechanical behaviour of the developed Mg hybrid composites were studied in comparison with Mg-5.6Ti. Microstructural characterization revealed grain refinement attributed to the presence of uniformly distributed micro-Ti particles embedded with nano-SiC particulates. Electron back scattered diffraction (EBSD) analyses of Mg-(5.6Ti + 1.0SiC)(BM) hybrid composite showed relatively more localized recrystallized grains and lesser tensile twin fraction, when compared to Mg-5.6Ti. The evaluation of mechanical properties indicated that the best combination of strength and ductility was observed in the Mg-(5.6Ti + 1.0SiC)(BM) hybrid composites. The superior strength properties of the Mg-(5.6Ti + x-SiC)(BM) hybrid composites when compared to Mg-5.6Ti is attributed to the presence of nano-reinforcements, the uniform distribution of the hybridized particles and the better interfacial bonding between the matrix and the reinforcement particles, achieved by nano-SiC addition.

Information and Efficiency in the Nervous System-A Synthesis

In systems biology, questions concerning the molecular and cellular makeup of an organism are of utmost importance, especially when trying to understand how unreliable components-like genetic circuits, biochemical cascades, and ion channels, among others-enable reliable and adaptive behaviour. The repertoire and speed of biological computations are limited by thermodynamic or metabolic constraints: an example can be found in neurons, where fluctuations in biophysical states limit the information they can encode-with almost 20-60% of the total energy allocated for the brain used for signalling purposes, either via action potentials or by synaptic transmission. Here, we consider the imperatives for neurons to optimise computational and metabolic efficiency, wherein benefits and costs trade-off against each other in the context of self-organised and adaptive behaviour. In particular, we try to link information theoretic (variational) and thermodynamic (Helmholtz) free-energy formulations of neuronal processing and show how they are related in a fundamental way through a complexity minimisation lemma.