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NEWSLETTER of May 10, 2019

 

The following content has been added at finexpert:


Capital Market Data

We updated the capital market data

(Multiples, Betas and Returns) as to April 15, 2019 >more


Studies > Performance

The Boston Consulting Group

HOW ASSET MANAGERS CAN WIN IN A WINNER-TAKES-ALL WORLD

Making hay while the sun shines is a breeze. The real test is in doing the same when the weather turns stormy. After several years of stellar performance, the asset management industry found in 2018 that it had to adjust. Bouts of financial-market volatility, tightening monetary policy, and slowing global growth created a more challenging environment. >more

Studies > Performance

Oliver Wyman

STRIVING FOR OPERATIONAL RESILIENCE: THE QUESTIONS BOARDS AND SENIOR MANAGEMENT SHOULD ASK

Operational resilience is the ability of an organization to continue to provide business services in the face of adverse operational events by anticipating, preventing, recovering from, and adapting to such events. The fundamental principle is “bend, but don’t break.” Achieving operational resilience is inherently challenging given the increasing complexity of processes, technology infrastructure, and organizational silos. However, the business benefits go beyond pure risk and compliance, often forming an inherent part of a firm’s value proposition. >more

Studies > Alternative Investments

Invest Europe

EUROPEAN PRIVATE EQUITY ACTIVITY REPORT 2018

The Invest Europe Yearbook - 2018 European Private Equity Activity - is the most comprehensive source for European private equity fundraising, investment and divestment data. With data on more than 1,400 European private equity firms, the 2018 statistics cover 89% of the €688bn capital under management on the European market. >more

Studies > Alternative Investments

PwC

EMERGING TRENDS IN REAL ESTATE: THE GLOBAL OUTLOOK FOR 2019

The political and economic uncertainty of the past year will likely persist in key markets throughout 2019, yet real estate continues to attract capital and demonstrate its enduring appeal as an investment asset class. Granted, there was an ebb and flow of capital around the regions, but the fact that overall global deal volume increased at all is testimony to the strength of demand for the income real estate offers, given the turbulent geo-political and economic conditions for investment in 2018. If anything, however, 2019 is likely to present a greater test of the industry’s collective nerve. >more

Studies > Jobs | Opportunities

CMS Hasche Sigle

UPDATE ARBEITSRECHT MARCH 2019

The digitisation of the world of work not only has a massive impact on work content and conditions, but also on the cooperation between employers and works councils. This is also shown by the case law of recent years. In the first part of our main article you will find an overview of exciting decisions on this topic. Part 2 of the article deals with cooperation between employers and works councils in the digital age. >more


Research Papers > Corporate Finance

PRACTICE MAKES PROGRESS: EVIDENCE FROM DIVESTITURES

Mark Humphery-Jenner, Ronan Powell, and Emma Jincheng Zhang
2017
This paper examines the role of firm-level experience in the context of divestitures. We find that divesting firms that have recent divestiture experience (hereafter, experienced divestors) are more likely to sell peripheral or underperforming units, and to divest during industry merger waves. Experienced divestors earn higher returns on divestiture announcement, have stronger operating performance post-divestiture, and tend to reinvest sale proceeds in expansion programs using acquisitions. Importantly, we show that divestiture experience at the firm level dominates other measures of experience, including divestiture experience of CEOs or boards, and experience in acquisitions. We take steps to mitigate concerns about econometric and sampling issues. These findings suggest that a strategy of restructuring through divestitures can improve firm value. >more

Research Papers > Corporate Finance

WHAT IS THE ROLE OF INSTITUTIONAL INVESTORS IN CORPORATE CAPITAL STRUCTURE DECISIONS? A SURVEY ANALYSIS

Stephen Brown, Marie Dutordoir, Chris Veld, and Yulia V. Veld-Merkoulova
2018
We survey institutional investors about their role in capital structure decisions and views on capital structure theories. Over 82% of investors believe they influence corporate capital structure decisions, especially for smaller, younger, and more financially constrained firms. Unlike corporate managers, investors consider agency costs of free cash flow important drivers of capital structure. Investors’ responses also support pecking order and market timing theory. Most investors find financial constraints important, with components of the Kaplan–Zingales and Whited–Wu indexes dominating other proxies. Our findings suggest a first-order impact of investor preferences on securities issuance and design choices. >more