Citation
Hoque, M. (2015), "Value implications of corporate practices and risk analysis", Managerial Finance, Vol. 42 No. 1. https://doi.org/10.1108/MF-10-2015-0273
Publisher
:Emerald Group Publishing Limited
Value implications of corporate practices and risk analysis
Article Type: Guest editorial From: Managerial Finance, Volume 42, Issue 1.
This special issue of Managerial Finance showcases some of the papers presented at the Academy of Finance, Chicago, Illinois, USA. The Academy of Finance was formed in 1987 under the administrative umbrella of the Midwest Business Administration Association. Over the years, the Academy has grown and prospered, attracting authors from 43 states and over ten different countries. The Journal of the Finance Issues (JFI) is the peer-reviewed Cabell-listed journal of the Academy of Finance. The papers in this special issue of Managerial Finance underwent a standard double blind, peer review process where two or more reviews were completed for each paper. The Guest Editor, with inputs from 11 members of JFI Editorial Board, made the final selections. The papers in this issue are empirical in nature and generally provide practical implications for corporate practices and risk management.
The first three papers deal with the value of the firm and attributes of cash flow, dividends and board composition. We begin with the contribution from Monzurul Hoque and K.C. Rakow that investigates the relationship between cash flow guidance from management and the value of the firm. They demonstrate that the management cash flow disclosures and forecasts negatively affect the firm value of tech firms[1]. Nan Liu and Jamshid Mehran extend our understanding of the association between dividend policy and repurchase by showing that firms manipulate repurchases in addition to earnings to meet their dividend level threshold. Sharon Kay Lee, William Bosworth, and Franklin Kudo find that firms that do not comply with the newest requirement of 100 percent independence of board compensation committees may under perform, hold lower levels of debt, and have classified boards.
Alan Wong and Bernie Carducci move away from valuation and explore the link between personal financial risk tolerance and the personality traits of sensation seeking, control orientation, ambiguity, and dishonesty, among others. Their empirical discovery shows that the risk tolerance is directly related to sensation seeking. Michael D. Mattei and Nicholas Mattei complete our selection. They develop and evaluate an asset allocation methodology using a biasing factor and demonstrate that the momentum approach can improve risk adjusted return.
Dr Monzurul Hoque - Department of Economics, Finance and Quantitative Analysis, Saint Xavier University, Chicago, Illinois, USA
Note
1. Hoque has served as the co-author only for this paper. Alex Meisami, a member of JFI Editorial Board, performed the editorial duty for this paper.