Traditional finance teaching on derivatives suggests that they can be utilized to reduce portfolio and market risk. Such outcome hinges on the assumption that derivatives are used as risk management tools and there is at least one true hedger in the transaction. In the absence of hedgers,...

This note provides an overview of the deal structuring process between company founders and venture capital firms. Specifically, the note: (1) reviews the use of the venture capital method to value venture investment opportunities and structure the financing arrangement between the founders of...

There are few things more constant in life than the rise and fall of financial markets. When markets crash, however, we are forced to restore them while learning from our mistakes. In the wake of the recent subprime mortgage crisis, Congress has drastically but deservedly overhauled the...

The Securities and Exchange Commission has recently attempted to establish a new form of insider trading: the use of nonpublic information about mutual fund portfolio holdings to engage in fund arbitrage. In a series of settled cases, the SEC has alleged that fund managers violated rules...

Since September 2003, the U.S. mutual fund industry has been mired in the worst scandal in its 65-year history. The scandal has produced in excess of 40 civil and criminal prosecutions, more than $2 billion in monetary sanctions, numerous Congressional hearings and bills, and a bevy of new...

Finance journal quality is a critical issue for faculty annual evaluations, for the tenure and promotion process, and for the administration of faculty workload plans. Unlike other studies that use objective measures(such as citation frequencies) to rate journals, this study focuses on the...

The study is to review the disclosure quality rank on income-smoothing and informativeness by means of four hypotheses. The timescale is between 2010 and 2016, and 149 TSE's listed companies are studied. The first hypothesis examines the effect of higher disclosure quality rank on income...

Money is not everything in life but money is the most important need of everyone's life. This paper describes the value of money which changed over a period of time. It also explain the important factor i.e. interest, due to which the value of money changes. This paper also discussed the...

The present study is a comparative study between modern investment tools and old investment tools. The study has been conducted in Rajasthan (India) and therefore the old tools of investment available in Rajasthan have been identified and compared with the modern tools. The primary purpose of...

This paper extends existing scholarship that questions the existing materiality standard used under Rule 10b-5 (and elsewhere in U.S. securities regulation) and its touchstone notion of the reasonable investor. Specifically, the paper asks and answers a seemingly straightforward, yet...