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NEWSLETTER of April 5, 2019

 

The following content has been added at finexpert:


Studies > Performance

The Boston Consulting Group

(EM)POWER WOMEN: BCG GENDER DIVERSITY INDEX DEUTSCHLAND 2018 - WO CHEFETAGEN IN SACHEN VIELFALT STEHEN

Germany's executive floors are still extremely male-dominated: in the 100 largest German listed companies there are only two female CEOs and just seven percent female board members. On the supervisory boards of these companies, every third member is now a woman. Five out of 100 supervisory boards have a female chairman. This means that the proportion of women at the top of companies - board members and supervisory board members combined - is still a low 19 percent. One could say that progress in Germany is slow at best. This is shown by the results of the BCG Gender Diversity Index 2018, presented by the Boston Consulting Group in cooperation with the Technical University of Munich. >more

Studies > Performance

PwC

BANKING AND CAPITAL MARKETS TRENDS 2019

Emerging technologies are revolutionising customer intelligence, engagement and experience within both corporate and retail banking. Yet it’s people who drive enterprise transformation and ultimately derive the value. This manifests itself in everything from the empathy and creativity to understand and meet changing customer demands to your workforce’s readiness to embrace change and capitalise on the opportunities. It’s therefore concerning that so many of the 235 Banking and Capital Markets (BCM) CEOs taking part in PwC’s 22nd Global CEO Survey believe that this vital human element of transformation is falling short. Nearly 80% see skills shortages as a threat to their growth prospects. Their ability to innovate effectively and provide a winning customer experience is suffering as a result. >more

Studies > Alternative Investments

PwC

PRIVATE EQUITY RESPONSIBLE INVESTMENT SURVEY 2019

Private equity (PE) houses and their investors are increasingly engaging with responsible investment. Environment, Social and Governance (ESG) considerations are becoming important factors in investment decision making and portfolio management. We surveyed 162 PE firms (General Partners or GPs) and investors (Limited Partners or LPs) to explore how they were implementing and developing their responsible investment approach. It’s clear that the approach is maturing, particularly in Europe. 91% of respondents have already adopted or are currently developing a responsible investment policy. And a vast majority (72%) either currently use or are developing KPIs to track, measure and report on the progress of their policy. The number of dedicated responsible investment or ESG teams is also on the rise at 35% (compared to 27% in 2016). >more

Studies > Macro

UBS

TAKING THE LEAD: HOW CHINA IS DRIVING THE GLOBAL ECONOMY AND CREATING OPPORTUNITIES

In a year when the US economy accelerated, it is worth bearing in mind that it is still China that drove the world economy, delivering an estimated 25%+ of total global growth during 2018. That is a reality that we'll have to get used to, with a range of estimates forecasting that China will eventually overtake the US as the largest and most influential economy in the world within the next ten years. But as we move into 2019, near-term challenges, like trade tensions, debt and the sustainability of reforms, dominate the outlook. We don't underestimate the importance or scale of these challenges, but we feel that – properly managed – China still has undoubted potential to grow sustainably over the longer term. >more


Research Papers > Corporate Valuation

ARE THE LARGEST BANKS VALUED MORE HIGHLY?

Bernadette Minton, René Stulz, and Alvaro G. Taboada
2018
Some argue too-big-to-fail (TBTF) status increases the value of the largest banks. In contrast, we find that the value of the largest banks is negatively related to asset size in normal times, but not during the financial crisis when TBTF status was most valuable. Further, shareholders lose when large banks cross a TBTF threshold through acquisitions. The negative relation between bank value and bank size for the largest banks cannot be explained by differences in ROA, ROE, equity volatility, tail risk, distress risk, or equity discount rates, but it can be partly explained by the market’s discounting of trading activities. >more

Research Papers  > Alternative Investments

THE LIFE CYCLE OF CORPORATE VENTURE CAPITAL

Song Ma
2019
This paper investigates why industrial firms conduct Corporate Venture Capital (CVC) investment in entrepreneurial companies. I test alternative views on CVC by exploiting the entry, investment, and termination decisions of CVC divisions. CVC entry concentrates in firms that experience deteriorations of internal innovation. At the investment stage, CVCs select startups with a similar technological focus but that have a non-overlapping knowledge base, and they integrate technologies generated from these ventures that create strategic value. CVCs are terminated when parent firms' innovation recovers. Overall, the strategic desire to fix innovation weaknesses after adverse shocks motivates firms to adopt CVCs. >more