AUT Business School
Permanent link for this collection
The AUT Business School conducts disciplinary research that is at the fore front of international knowledge. Their researchers are recognised experts in their fields and produce research of relevance to their academic and non-academic stakeholders. The AUT Business School has particular research strength in: Accounting, Business Information Systems, Economics, Finance, International Business, Management (including Human Resource Management and Employment Relations), Marketing, Advertising, Retailing and Sales.
Browse
Browsing AUT Business School by Subject "1502 Banking, Finance and Investment"
Now showing 1 - 9 of 9
Results Per Page
Sort Options
- ItemBoard Cultural Diversity and Firm Performance Under Competitive Pressures(Wiley, 2023-08-25) Dodd, Olga; Frijns, Bart; Gong, Robin; Liao, ShushuWe examine the impact of board cultural diversity, based on directors' ancestry, on firm performance conditional on product market competition. We argue that culturally diverse boards foster critical thinking and offer creative solutions that help firms thrive in competitive environments. We document that culturally diverse boards are associated with superior performance for firms operating in highly competitive industries. To address potential endogeneity issues, we use a quasi‐natural experiment of the U.S. import tariff cuts. The positive impact of board cultural diversity on firm performance in competitive markets manifests itself in firms that innovate more, require creative inputs, and face heightened predation risk due to their high interdependence with industry rivals, in line with culturally diverse boards effectively performing their advisory role. Lastly, we find no evidence that board cultural diversity is associated with enhanced monitoring as its benefits fade in the presence of powerful CEOs.
- ItemEconomic Policy Uncertainty and Fund Flow Performance Sensitivity: Evidence from New Zealand(Wiley, 2023-01-29) Ali, Sara; Badshah, Ihsan; Demirer, Riza; Hegde, PrasadUtilizing a large sample of actively managed equity funds and a recently developed EPU index for New Zealand, we show that fund flow performance sensitivity decreases with policy uncertainty. The role of policy uncertainty as a determinant of fund flow performance sensitivity is found to be stronger, particularly for funds with global focus, large sized funds, high momentum funds and those with high idiosyncratic volatility and low downside risk. The findings support the argument that high policy uncertainty dampens investors' ability to process information that allows them to distinguish fund manager skill from luck. The results remain strong after accounting for various macroeconomic factors.
- ItemHow Impact Investing Firms Use Reference Frameworks to Manage Their Impact Performance: An Industry-Level Study(Wiley, 2023-06-21) Islam, Syrus M; Habib, AhsanUsing meaning-oriented content analysis, we show how impact investing firms use various reference frameworks (e.g., International Finance Corporation (IFC) Performance Standards, Impact Management Project framework, UN Sustainable Development Goals) to manage their impact performance throughout the investment lifecycle. Our study provides an industry-level picture of the various roles that different reference frameworks play to help impact investors attain their impact goals. We also discuss the potential industry effects on management accounting practice, that is, how reference frameworks used in performance management in the impact investing industry differ from those used in some other industries.
- ItemImpact Investment Deal Flow and Sustainable Development Goals: “Mind the gap?”(Wiley, 2023-02-05) Islam, SM; Rahman, AWe examine the linkage between the available impact investment deals and Sustainable Development Goals (SDGs) to ascertain to what extent those deals are likely to achieve the aims of the SDGs, that of a sustainable and prosperous world. Drawing on 292 available deals, we find that most deals are directly or indirectly linked to only four of the 17 SDGs and are concentrated in two regions of the world. Accordingly, we conclude that impact investing has a significant imbalance in the SDG–deal flow–region nexus. Without addressing such an imbalance, impact investing will have only a limited impact on overall SDG attainment. Therefore, we also share some thoughts on addressing the imbalance.
- ItemStaff Responses to Management Control Systems Changes in an Australian University(Emerald, 2024-02-13) Billah, Mamun; Ahmed, Zahir Uddin; Ali, MohobootPurpose This study aims to examine staff responses to management control systems (MCS) changes in an Australian university. Through the analysis of the category of staff responses, it aims to understand the perception gaps among the staff at different levels of the university. Design/methodology/approach Using a case study approach on an Australian university, data was collected from interviews with staff across three hierarchical levels to explore their behavioural responses. Findings This study finds that staff at all levels largely complied with MCS changes due to institutional enforcement. Top management emphasised aligning with government policies and funding, often using manipulation and compartmentalisation tactics in implementing the new MCS. Mid-level managers generally favour research strategies but feel excluded from decision-making and have limited influence over funding. They adopted a balancing tactic within a compromise strategy. Meanwhile, operating-level academics had mixed experiences, feeling largely powerless in influencing MCS while also showing instances of self-motivated compliance. Overall, the study reveals varying responses across different hierarchical levels, highlighting the complexities of MCS changes in staff behaviour and attitudes. Research limitations/implications The insights from this study can guide university administrators and policymakers in understanding the intricate variations in staff reactions to institutional changes. By recognising the factors that drive compliance and defiance, institutions can better navigate and implement changes in MCS. Originality/value This research offers a unique perspective on the behavioural side of MCS changes in higher education. By focusing on varied hierarchical levels within a university, the study provides a granular understanding of individual responses, enriching the existing literature on MCS transitions in academia.
- ItemThe Competing-Risk Analysis of Post-IPO Delistings(Auckland Centre for Financial Research (ACFR), 2023-11-21) Chen, Jun; Rutherford, Ronald; Wang, PeimingThis paper is working on one IPO panel data to estimate the predicting power of some covariates on future status of IPO firms after going public. These new firms could be delisted due to two major reasons, either acquisition or liquidation. Specifically, our study aims to examine how the possibility of each type of delisting could be determined. There are two main findings in this paper. First, we find that the inclusion of the aftermarket performance in a competing-risk model helps distinguish the impact of those covariates on the two types of delistings. For example, profitability increases the chance of being delisted due to mergers but decreases the chance of being delisted due to bad performance. Second, our evidence indicates that time-varying covariates may impact the delistings in different ways. For instance, profitability appears to affect the voluntary delistings only until last year before delisting. In sum, our paper contributes to the prior literature by shedding light on how voluntary/forced post-IPO delistings are determined.
- ItemThe Shift in Firms’ Reliance on Debt Sources(Auckland Centre for Financial Research, 2019-05-20) Ho, Tu CamStructural changes in capital market and information innovations have altered characteristics of debt sources, make them more or less favourable to firms. This could possibly lead to a shift in firms' reliance on debt sources. Using a unique data set of debt mix of 1,100 U.S. non-financial firms, I conduct data analysis to reveal changes in firms' preference for different debt sources over a decade from 2004 to 2014. I find that bank debt remains the most common source of borrowing, followed by public debt and finally private placement debt. In addition, over time, firms have become more reliant on bank and public debt while less reliant on private placement debt. This pattern is consistent across different industries.
- ItemToxic Chemical Releases and Idiosyncratic Return Volatility: A Prospect Theory Perspective(Wiley, 2022-04-24) Bahadar, S; Nadeem, M; Zaman, RWe investigated whether and how firms’ toxic chemical releases (TCRs) affect idiosyncratic return volatility (IRV) using a prospect theory lens. Utilising a large sample of US public listed firms over the period 2001–2018, we find a significant and positive association between TCRs and IRV, suggesting that firms releasing more toxic chemicals have higher IRV. Additional analyses show that a positive association between TCR and IRV is more evident among firms with (i) high revenue, (ii) lower financial constraints and (iii) fewer environmental violations. A further test also suggests that a positive association between TCRs and IRV is contingent on political leadership ideology and market states. Our results remain consistent with weighted TCRs, IRV based on the Fama–French three-factor model, fixed-effect two-stage least square estimator (FE-2SLS), and other robustness checks. These findings shed light on the role of equity markets as a driver for capital-intensive pollution abatement activities and enhanced compliance with environmental laws, standards and best practices.
- ItemUS Cross-Listing and Domestic High-Frequency Trading: Evidence From Canadian Stocks(Elsevier BV, 2023-03-24) Dodd, Olga; Frijns, Bart; Indriawan, Ivan; Pascual, RobertoWe find that US cross-listing of Canadian stocks enhances domestic high-frequency trading (HFT) activity in the form of both opportunistic trading and market-making. First, US cross-listing boosts HFT low-latency cross-border arbitrage. This highly correlated HFT arbitrage activity across markets enhances stock price efficiency by correcting mispricing. Second, US cross-listing leads to an increase in news trading activity by high-frequency traders around US public macro-news releases. Finally, cross-listing increases a stock’s reliance on high-frequency market makers to provide liquidity. Yet, we find no evidence of higher fragility in liquidity supply after cross-listing.