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NEWSLETTER of May 25, 2018

 

The following content has been added at finexpert:


Studies > Corporate Finance

Ernst & Young

HOW CAN DIVESTING FUEL YOUR FUTURE GROWTH? GLOBAL CORPORATE DIVESTMENT STUDY 2018

The annual EY study reveals that divestments are now a strategic imperative for senior corporate executives in every sector, and that technology – both as threat and an opportunity – is influencing their thinking. >more

Studies > Performance

Bain & Company

FOUR MODELS TO WEATHER THE TURBULENCE IN BANKING

Most banks’ current business models are not well equipped to deal with disruptions, as digital-native competitors take attractive slices of the profit pool. Bain & Company thinks that four models are emerging as viable. To thrive with any of the models, banks will likely have to accelerate partnerships with technology firms or retailers, and will need to invest in customer experience and improve technology capabilities. >more

Studies > Performance

BlackRock

GLOBAL INVESTMENT OUTLOOK Q2 2018

Blackrock sees the overall environment as positive for risk assets, but expects more muted returns and higher volatility than in 2017. It furthermore addresses two major risks to the global expansion and risk assets: trade wars and a spike in real yields. >more

Studies > Performance

Oliver Wyman

FINTECHS - VIEL LÄRM UM NICHTS!?

FinTechs are attacking the global financial sector at a rapid pace - at least in public perception. But how great is the economic impact on domestic banking? And which players will be successful in the market? Oliver Wyman's FinTech analysis addresses these questions and explains how banks should focus their investments in the future.
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Research Papers  > Alternative Investments

HOSTILE RESISTANCE TO HEDGE FUND ACTIVISM

Nicole M. Boyson, and Pegaret Pichler
2018
When facing hedge fund activists, target firms often fight back. Targets with agency problems and those confronting the threat of investor coordination frequently engage in hostile resistance by implementing governance changes associated with managerial entrenchment. The market negatively responds to hostile resistance, and unless hedge funds counter-resist, these campaigns have worse operating performance, faster activist exit, and fewer mergers than do campaigns without hostile target resistance. By contrast, when hedge funds counter-resist with proxy fights, lawsuits, or unsolicited tender offers, the impact of hostile target resistance is reversed, and these campaigns have similar outcomes to campaigns without hostile target resistance. >more

Research Papers >     M & A

DOES POLICY UNCERTAINTY AFFECT MERGERS AND ACQUISITIONS?

Alice A. Bonaime, Huseyin Gulen, and Mihai Ion
2017
Political and regulatory uncertainty is strongly negatively associated with merger and acquisition activity at the macro and firm levels. The strongest effects are for uncertainty regarding taxes, government spending, monetary and fiscal policies, and regulation. Consistent with a real options channel, the effect is exacerbated for less reversible deals and for firms whose product demand or stock returns exhibit greater sensitivity to policy uncertainty, but attenuated for deals that cannot be delayed due to competition and for deals that hedge firm-level risk. Contractual mechanisms (deal premiums, termination fees, MAC clauses) unanimously point to policy uncertainty increasing the target’s negotiating power. >more