New issue of Risk Governance and Control: Financial Markets & Institutions journal
The recent (Volume 8, issue 4) issue of Risk Governance and Control: Financial Markets & Institutions journal deals with the topics of risk management, mergers, reinsurance, financial sustainability, etc. The full issue of the journal is available following the link.
Iordanis Eleftheriadis, Vasilios Vyttas measure the risk and performance of public organizations, making use of a multi-factor model. Specifically, the purpose of the research theoretically and practically refers to the evaluation of the efficiency of the selected model in relation to the potential risks that public organizations are called upon to take, and also regarding the evaluation of their performance today and in the future. The model was measured at the level of efficiency as to whether it can be used in state organizations for the assessment of economic, operational (current and future) risks and the generic satisfaction of the administration, the generalized self-efficacy of the administration and the performance of the organization.
Michail Pazarskis, Andreas Koutoupis, Georgia Pazarzi, Panagiotis Kyriakogkonas examine the impact of mergers on stock market and performance of companies which were involved at mergers in Greece. Thus, the study, by using a sample of twenty-three listed companies which executed at least one merger (as acquirers) during the period of economic crisis, analyses nine stock market measures and ratios using simultaneously accounting measures extracted from corresponding financial statements. More specifically, we test a company’s performance by comparing a two-year span period before and after of all the merger events that took place within the period 2011-2015 (with data analysis from 2009 to 2017).
Silvia Bressan’s study provides empirical evidence for the effect of reinsurance on solvency, profitability, and taxes of primary insurers. The main finding is that primary insurers increasing in the use of reinsurance exhibit lower capital ratios. This impact involves the segments of health insurance, composite insurance, title insurance, and non-life insurance. The reinsurance and capital can be seen as substitutes for improving solvency. This implies that, by sharing their risk with reinsurers, primary insurers can benefit from a relief on capital. Additional outcomes display an important relationship between demand and supply of reinsurance at the firm level, as we observe that, growing in the used reinsurance; primary insurers are more prone to providing reinsurance to other firms.
Ajab Khan Burki, Aamir Sadiq, Hanif Ullah Burki estimates the determinants affecting Financial Sustainability (FS) of Micro Finance Institutions (MFIs) working in Pakistan. The determinants are based on financing charges, size of loans, the age of the firm, size of Microfinance Institute, and proportion of female borrowers. These variables discern the important contribution to the effective financial sustainability of Microfinance institutions working in Pakistan.
J. Vaz Ferreira investigates the effects of the presence of the external auditor on corporate governance in Portugal, in the way listed companies are managed, based on the verification of compliance with the corporate governance regulations of the Securities Market Commission, as well as the transparency of information and the reduction of agency problems, fraud and economic crimes. By comparing government reports of companies listed on NYSE Euronext Lisbon, during several periods and with surveys conducted in the 1st half of 2013 in Portugal to the external auditors responsible for the majority of the legal certification of accounts of companies during 2007 to 2011, a significant direct relationship in the fulfillment of the recommendations of corporate governance and its verification by the external auditor is concluded. Based on multiple regression and multinomial logistic models, it is concluded that a greater involvement of the ROC in complying with corporate governance recommendations, allows for greater transparency of information and a reduction of agency problems, fraud and economic crimes.
Antonio Corvino’s review covers the book titled “Board of directors and company performance: An international outlook”, which was edited by William Megginson, Pablo de Andres, Marina Brogi, Dmitriy Govorun (Virtus Interpress, 2019, Hardcover, ISBN 978-617-7309-04-7). The review shortly outlines the structure of the book, pays attention to it’s strong sides and issues that will be, by the reviewers’ point of view, most interesting for the readers.
The Journal of Risk Governance and Control: Financial Markets & Institutions is published quarterly. Currently, we announce a call for papers for the next issue of the journal. In order to submit a manuscript, please contact the managing editor of the journal Polina Bahmetenko directly at p.bahmetenko@virtusinterpress.org
