This paper studies the incentive effect of linear performance-adjusted contracts in delegated portfolio management under a value-at-risk (VaR) constraint. It is shown that a linear performance-based contract can provide incentives for the portfolio manager to work at acquiring private...

Fund managers in delegated portfolio management face asymmetries in their compensation contracts and in the fund flows contingent on their funds' performance relative to a benchmark. In this study we investigate the impacts of contract asymmetry and fund flow asymmetry on the risk-taking...

This paper incorporates the well-documented managerial optimism bias into a standard portfolio delegation problem to study its impact on investment strategies and the optimal incentive contract offered by the investor to the manager. It is shown that the optimistic manager trades a larger...

This article imports a behavioural perspective into a team context to study the effort-coordination problem among agents. Specifically, we investigate how the presence of optimism bias impacts the severity of the free-rider problem, the organizational structure of the team and the compensation...

A method for the prediction of Energy Production (EP) in Concentrating Photovoltaic (CPV) installations is examined in this study. It presents a new method that predicts EP by using Global Horizontal Irradiation (GHI) and the Photovoltaic Geographical Information System (PVGIS) database, instead...

One standard that is used to compare different energy generation technologies or systems is the levelized cost of energy (LCOE). The relatively high LCOE of photovoltaics (PV) is an obstacle to adopting it as a major electricity source for terrestrial applications. In a conventional PV system,...

The ELECTRE II and III methods enjoy a wide acceptance in solving multi-criteria decision-making (MCDM) problems. Research results in this paper reveal that there are some compelling reasons to doubt the correctness of the proposed rankings when the ELECTRE II and III methods are used. In a...

In this paper, we re-examine various previous experimental studies of the Centipede Game in the literature. These experiments found that players rarely follow the subgame-perfect equilibrium strategies of the game, and various modifications to the game were proposed to explain the outcomes of...

This paper analyses time allocations of a sample of farmers, from four southwest counties in China that are representative of the poor areas of the country. The allocations of time toward two different activities - farming and non-paid domestic work - are modeled as semi-logarithmic input demand...