Effective working capital management assists a firm in achieving improved liquidity through the management of the components of receivables, inventory and payables. Previous studies have established that changes in working capital have a strong positive correlation to profitability and that...

The Insider Trading Act of 1999 and Johannesburg Stock Exchange (JSE) regulations require transparency in director dealings. Directors are required to report all share trading in companies of which they are principals, and this information has been regarded as a signal to the market. We examine...

A company's entry into (or exit from) a major share index provides a special opportunity to examine price discovery. In an efficient market, we expect the demand curve to remain horizontal and to be unaffected by external events that do not communicate new information to the public, even if...

Directors need to guide and govern companies on behalf of and for the benefit of shareholders and stakeholders (Adams, Hermalin, & Weisbach, 2010; "Duties of directors," 2011). However questions remain as to whether boards with higher levels of diversity amongst directors are better equipped to...

The ability to accurately estimate systematic risk (or beta) in the presence of reference-day risk is an ineluctable requirement for all applications of the capital asset pricing model (CAPM). This research documents evidence of reference-day risk for shares on the Johannesburg All Share Index....

Black Economic Empowerment has been the South African government's primary mechanism for addressing the economic imbalances of the apartheid era. Voluntary sector ldquo;chartersrdquo;, and more recently legislation, have required the largely white owned business enterprises to become more...

Sell-side company analysts are most likely to be closest to a company’s financial health, will be privy to new information, and run models that process new information into meaningful expected changes to future earnings per share. Importantly, data vendors collate analyst’s individual Eps...

The relationship between unit trust (mutual funds) performance and subsequent investment flows into and out of funds has been, for decades, the focus of many international studies. This study builds on the prior findings of the flow-performance relationship and aims to quantify the inflow into...