Quintero, Socorro; Shaw, Ron; Ma, Aixin; Baur, Michael
January 2012
International Journal of Business, Accounting, & Finance;Winter2012, Vol. 6 Issue 1, p1
Academic Journal
The article focuses on the applicability of the model of standard equilibrium asset pricing in financial markets. It explores the difference of the said asset pricing model when fund managers had higher portfolio returns through taking assets under fund management. It also discusses a modified or alternative capital asset pricing model allowing investors to have differential risk premium for the compensation for the unwanted behavior of fund managers.


Related Articles

  • Managerial Compensation and the Market Reaction to Bank Loans. Almazan, Andres; Suarez, Javier // Review of Financial Studies;Spring2003, Vol. 16 Issue 1, p237 

    This article considers why a manager would choose to submit himself to the discipline of bank monitoring. This issue is analyzed within the context of a model where the manager enjoys private benefits, which can be restricted by the monitor, and is optimally compensated by shareholders. Within...

  • Financial Innovation, Market Participation, and Asset Prices. Calvet, Laurent; Gonzalez-Eiras, Martín; Sodini, Paolo // Journal of Financial & Quantitative Analysis;Sep2004, Vol. 39 Issue 3, p431 

    This paper investigates the pricing effects of financial innovation in an economy with endogenous participation and heterogeneous income risks. The introduction of non-redundant assets endogenously modifies the participation set, reduces the covariance between dividends and participants'...

  • Best Practices in Estimating the Cost of Capital: Survey and Synthesis. Bruner, Robert F.; Eades, Kenneth M.; Harris, Robert S.; Higgins, Robert C. // Financial Practice & Education;Spring/Summer98, Vol. 8 Issue 1, p13 

    This article presents information on the results of a cost-of-capital survey of 27 highly regarded corporations. Equity market risk premium prompted the greatest variety of responses among survey participants. Finance theory says the equity market risk premium should equal the excess return...

  • Sequence of returns risk: THE WORST RETURNS IN THEIR WORST ORDER. BASU, ANUP K.; DORAN, BRETT; DREW, MICHAEL E. // inFinance;Sep2012, Vol. 126 Issue 3, p36 

    The article focuses on the study by Financial Services Institute of Australasia (Finsia) on the critical role played by sequence of returns risk to determine the retirement outcomes' sustainability. It mentions that two-thirds of the portfolio in growth assets consists of asset allocation. It...

  • VastNed.  // EuroProperty;2004, p32 

    With VastNed Group's office/industrial fund shrinking and feeling effects of weak demand and markets in Holland and Belgium, the company's managers may have been right to push for a merger with its retail fund eighteen months ago. The move would have been a timely switch into retail property,...

  • Glebe passes muster in ratings round-up.  // Money Management;2/26/2004, Vol. 18 Issue 6, p12 

    Reports on the competent rating received by ethical fund manager Glebe Asset Management from research house Assirt in 2004. Rating received by the company for its fixed interest capabilities; Forecast on an improvement in the performance of the company.

  • Exceptional items defined.  // Accountancy;Jul2002, Vol. 130 Issue 1307, p98 

    The article reports that Seymour Pierce, investment banking and fund management announced its results for the six months ended 31 March 2002 as headline figures of profit before tax exceptional items and goodwill of £3.4m. As is becoming the custom, in its half-year consolidated p&l...

  • Schroders reaps aggie rewards. Blackmore, Nicole // Money Marketing;9/6/2007, p20 

    The article reports on the agriculture fund by the Schroders which has taken $1 billion in assets in less than a year in Great Britain. According to the company, the fund has returned 14.86 percent since its launch last October 2006. Moreover, fund manager Rodolphe Roche stated that he is...

  • Fitch: European asset house M&A spree unlikely. Berry, Michael // Fundweb;2/13/2014, p10 

    The article focuses on a Fitch Ratings Ltd. report entitled "The European Asset Management: Tapping Growth Through Rationalization, Innovation, Diversification," shows mergers of more asset management. The report further states that expecting some further selective merger and acquisition...


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics