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NEWSLETTER of October 4, 2019

 

The following content has been added at finexpert:


Studies > Performance

Deutsche Bank Research

CLIMATE CHANGE AND CORPORATES: PAST THE TIPPING POINT WITH CUSTOMERS AND STOCKMARKETS

Companies drag their heels on climate change because many managers believe that for the planet to win, profits must fall. This report argues the opposite using evidence from both the stockmarket and our own primary research into the unexpected shift in customer purchase habits over the last 12 months. >more

Studies > Performance

Deutsche Bank Research

BETTER Q2 RESULTS PROVIDE SOME RELIEF TO EUROPEAN BANKS

Improved performance in the second quarter has given European banks hope that 2019 may still end on a more conciliatory note and that longer-term prospects are not quite as gloomy as some fear. In H1, net interest income rose year-over-year, despite unrelenting margin pressure. Other revenue components were mixed, with fee and commission income disappointing again. Loans and total assets in general increased. Banks cut expenses further, while loan loss provisions picked up from record lows. In the end, profitability and capital levels remained largely stable. Once more, the transatlantic gulf in performance widened slightly, as US banks reported another rise in net income to a new all-time high. >more

Studies > M & A

CMS / Mergermarket

EUROPEAN M&A OUTLOOK 2019

Mergermarket is pleased to present Storms brewing: European M&A Outlook 2019, published in association with CMS. This report provides invaluable insights into the M&A landscape in Europe in 2019, and the opportunities and challenges facing dealmakers.>more

Studies > Alternative Investments

KfW Research

GERMAN VENTURE CAPITAL BAROMETER Q2 2019

The business climate in the VC market is recovering after two major setbacks. The business climate indicator of the early-stage segment rose by a strong 13.2 points to 23.2 balance points in the second quarter of 2019. VC investors are more positive about their current business situation but, in particular, they hold much more optimistic business expectations again. The sentiment indicators for the VC market environment, however, are increasingly deteriorating. >more


Research Papers > Corporate Governance

SHAREHOLDER GOVERNANCE AND CEO COMPENSATION: THE PEER EFFECTS OF SAY ON PAY

Diane K. Denis, Torsten Jochem, and Anjana Rajamani
2019
We document that firms whose compensation peers experience weak say on pay votes reduce CEO compensation following those votes. Reductions reflect proxy adviser concerns about peers' compensation contracts and are stronger when CEOs receive excess compensation, when they compete more closely with their weak-vote peers in the executive labor market, and when those peers perform well. Reductions occur following peers' disclosures of revised pay and are proportional to those needed to retain firms' relative positions in their peer groups. We conclude that the spillover effects of shareholder voting occur through both learning and compensation targeting channels. >more

Research Papers > Corporate Finance

ON THE RISE OF FINTECHS – CREDIT SCORING USING DIGITAL FOOTPRINTS

Tobias Berg, Valentin Burg, Ana Gombovi?, and Manju Puri
2019
We analyze the information content of the digital footprint – information that people leave online simply by accessing or registering on a website – for predicting consumer default. We show that even simple, easily accessible variables from the digital footprint match the information content of credit bureau scores. The digital footprint complements rather than substitutes for credit bureau information and it affects access to credit and reduces default rates. We discuss the implications for financial intermediaries’ business models, for access to credit for the unbanked, and for the behavior of consumers, firms, and regulators in the digital sphere. >more