Despite its shortcomings, the IRR method continues to be a widely employed evaluation technique in capital budgeting. This paper demonstrates the reasons for its continued popularity. Specifically, the non‐requirement of a discount rate is suggested to be an important factor in the choice of...

Purpose – This study examines whether or not holding a greater percentage of real assets significantly impacts the risk and risk‐adjusted return of U.S. based multinational companies. Design/methodology/approach – A series of rolling Two Stage Least Squares (2SLS) regression models are...

Using an instant response device within the context of a controlled experiment, we find that people’s self‐assessment of susceptibility to normative influence (SNI) differs substantially from the actual, or true, degree to which they are influenced by the actions of others. Actual SNI, a...

This study examines the historical return behavior surrounding foreseeable or expected special closings of the New York Stock Exchange. Pre and Post special closing return behavior supports no existing hypothesis, but instead clearly demonstrates a new pre and post special closing effect similar...

Reviews previous research on the announcement effects of changes in US Federal Reserve policies and presents a study of the impact of federal funds rate and discount rate changes since the current chairman took office (1988) on the treasury bills/bonds and stock markets. Uses event study...

Refers to previous research on the relationship between returns for different asset classes and on cointegration; and applies Johansen’s (1988) methodology to develop a prediction model. Uses 1978‐1995 data on five US asset classes (treasury bills, long‐term bonds, large capitalization...

Traces the history of the Community Reinvestment Act (CRA), which requires US lenders to meet the credit needs of their local customers, and presents a study of its effect on profitability. Looks at financial institutions which received revized CRA ratings between 1990 and 1995, analysing their...

Outlines previous research on reasons for the many failures of US thrifts and loans during the 1980s, and suggests that crime played a larger part than is generally supposed. Explains the regulatory system set up to deal with failed thrift institutions and analyses all disposals made by the...

Given the paucity of good international unsecuritized real estate data and the growing interest in diversifying real estate only and mixed‐asset portfolios beyond national borders, this study introduces an unsecuritized Japanese total return index for office real estate dating back to 1970....