Search results

To analyze and identify the key findings from the April 8, 2020, U.S. Securities and Exchange Commission’s (the “SEC”) recently approved rule amendments (“Adopted Rules”) extended to business development companies (“BDCs”) and registered closed-end funds and an Exemptive Order providing regulatory flexibility to BDCs.

Discusses the key takeaways and implications from the Adopted Rules and Exemptive Order.

The Adopted Rules provide BDCs and registered closed-end funds some of the more efficient registration, reporting, offering, and communication requirements currently applicable to operating companies. The Exemptive Order provides BDCs additional flexibility with respect to (1) the issuance and sale of senior securities and (2) the participation in certain joint transactions.

Firms and their representatives should heed the trends in both the substantial restitution FINRA is ordering and the related enforcement issues in the cases FINRA has brought.

Expert analysis and guidance from experienced asset management lawyers.

To describe and analyze a proposed rule recently issued by the US Securities and Exchange Commission (“SEC”) that would overhaul the use of derivatives and financial commitment transactions by registered investment companies and business development companies.

This article summarizes the various aspects of the proposed rule, discusses the elements of the proposed rule in greater detail, explains the effect of the proposed rule on existing guidance from the SEC and its staff, and notes the potential transition period for any final rule.

While the proposed rule is subject to public comment and subsequent consideration by the SEC and its staff, if the proposed rule is adopted in its current form it would result in sweeping changes for registered investments companies and business development companies.

This article contains a detailed overview of a recent SEC rule proposal regarding the use of derivatives by registered investment companies and business development companies and practical guidance from experienced asset management lawyers.

The purpose of this paper is to analyze a particular segment of the US “shadow banking” market and its revival since the recent credit crisis, namely, lending to the private Middle Market, defined as financings of $5-100 million to non-public, unrated operating entities or pools of assets with not more than $50 million in earnings before interest, taxes, depreciation and amortization.

The analysis includes a review survey of a segment of capital markets and primary evidence from direct participation in two examples of actual private, non-bank lending between 2011 and 2012 executed by a Middle Market US investment bank.

While there have been considerable challenges, historically, in providing credit for small-and mid-sized businesses in the USA, private Middle Market capital is (post the recent credit crisis) finding opportunities, notwithstanding, constraints imposed by market and other forces, including systemic crises, cyclical forces and changes in regulatory regimes.

Any generalization is limited due to the absence of disaggregated survey data for the US capital markets and the limited examples examined.

The capital markets segment and non-bank financial institutions examined in this paper are developing as an alternative source of credit/lending from commercial banks for mid-sized companies.

The mid-sized firms financed by the shadow credit market are a significant source of job creation in the US economy making non-bank credit a lifeline to job growth in the financial crisis.

Direct participation is unique to the firms studied. Value is in developing a general framework to analyze different segments of the capital market.

The purpose of this paper is to review the continued development of the “shadow banking” market in the USA, namely, lending to the private middle market, defined as financings of $5-100m to non-public, unrated operating entities or pools of assets with not more than $50m in earnings before interest, taxes, depreciation and amortization.

The analysis includes a continued review of an innovative segment of the financial markets and primary evidence from direct participation in four actual cases of private, non-bank lending between 2013 and 2015 and theoretical observations around that data.

Although there have been considerable challenges, historically, in providing credit for small and mid-sized businesses in the USA, the authors show further evidence that private middle market capital is growing (post credit crisis) at a dramatic pace, in part because of excessive constraints placed on the regulated depositary institutions. The authors also explain the nature of the shadow banking innovation and how it is intrinsically linked to “arbitraging” often excessively restrictive banking regulation. The growing US shadow banking market, while providing an important service to middle market companies, may pose a new systemic risk post 2007-2008 credit crisis in the USA.

Any generalization is limited because of the difficulty in extrapolating from a small number of specific case studies and the absence of adequate survey data for the US capital markets and the limited examples examined.

This research calls for additional case studies, including participant observation research that offers a unique close-up view of financial behavior that is often beyond the view of regulators and the public. Data obtained may be useful in providing a deeper, more timely understanding of credit market behavior and contribute to efforts at formal financial modeling as well as the development of practical regulatory regimes.

The shadow credit market is a key source of funding for the global financial system, thus contributing to job creation and economic growth. The authors demonstrate the value of financial innovations and show that shadow credit fills a void left by depository financial institutions, shifting much of the risk from the public to investors. This research increases transparency in the operation of this market, which is extremely important for the industry, the government and the public. The authors offer a modest attempt at understanding credit behavior to avoid a repeat of the 2007/2008 financial crisis.

Direct participation is unique to the firms studied. Value is in developing a general framework to analyze an emerging credit market in advanced economies.

Many non‐metropolitan areas in developed countries suffer from problems of underdevelopment. Because the activities of traditional business firms and government have not met local needs, many communities have created “community business corporations” which are explicitly dedicated to addressing the problems of community economic development. This article examines the nature of such alternative corporations and some of the ethical issues and challenges that they raise. It focuses especially on one “not‐for‐profit corporation” in Nova Scotia, New Dawn Enterprises, and the priest/businessman who has been the driving force behind it.

This study aims to demonstrate how integration is achieved in an explanatory sequential mixed-methods design by assessing the effect of collaborative cultural dimensions on supply chain collaboration amongst firms in Ghana's downstream petroleum sector. Specifically, the study examined how collectivism, long-term orientation, power symmetry, as well as uncertainty avoidance influence supply chain collaboration. Besides, it also demonstrates how integration is achieved in an explanatory sequential mixed-methods design.

Using an explanatory sequential mixed-methods design, the study employed a partial least squares structural equation modelling (PLS-SEM) analysis of quantitative data (N = 166), followed by a thematic analysis of eight semi-structured interviews to explain how and why the dimensions of collaborative culture impact supply chain collaboration.

The quantitative findings suggest that three out of the four dimensions of culture significantly predict supply chain collaboration. Integrating the quantitative and qualitative findings suggests convergence between the results of the quantitative and qualitative phases of the study as the qualitative results compliment the quantitative findings and offer more nuanced understanding of the cultural mechanisms responsible for successful supply chain collaborations.

The findings provide managers in the downstream petroleum sector with insights into how and why the dimensions of collaborative culture influence supply chain collaboration. These managers should, therefore, build corporate cultures characterized with high levels of long-term orientation, power symmetry and uncertainty avoidance.

Owing to the role of culture in successful supply chain collaborations, this study, through a mixed-methods design, links the dimensions of collaborative culture with supply chain collaboration in the downstream petroleum sector. Moreover, it demonstrates how integration and complementarity are achieved at the study design, methods, as well as the interpretation and reporting levels of an explanatory sequential mixed-methods design.

The purpose of this study is to examine big data capability's impact on product improvement and explore supply chain dynamics including relationship building and knowledge sharing as important contribution to big data capability.

The research model is tested with survey data. Data analysis results empirically support the proposed model and the hypothesized relationships between the concepts.

First, the hypothesis testing results of this study show that big data capability directly enhances product improvement. Second, this study shows that supply chain relationship building and knowledge sharing are positively related to the development of big data capability.

In supply chain management, there are multiple factors, besides relationship building, that serve as conditioners to knowledge sharing's effect on product performance. We only examined the role of relationship building in this area.

Findings from this research encourage firms to take advantage of their supply chain resources to develop a big data capability that positively contributes to firm performance.

The contribution lies in that it brings to light this step that connects big data capabilities and market and financial performance, which is missing in prior research. This study contributes to the literature by identifying supply chain management activities, more specifically, supply chain relationship building and knowledge sharing, as antecedents to big data capability. This helps to extend this emergent enterprise of big data research to a new area and points to new directions for future research.

HAS BRITAIN really lost its sense of purpose? Has it no noticeable industrial policy?

Following the drop in crude oil prices from a peak of US$114 per barrel in July 2014 to as low as US$33 per barrel in January 2016, the country’s reserves have suffered great pressure from speculative attacks, round tripping and front loading activities by actors in the foreign exchange (forex) market. The fall in oil prices also implied that the Central Bank of Nigeria’s (CBN) monthly foreign earnings had fallen from as high as US$3.2bn to current levels of as low as US$1bn. The net effect of these combined forces unfortunately is the depletion of the nation’s forex reserves. As of June 2014, the stock of forex reserves stood at about US$37.3bn but has declined to around US$28.0bn as of today. To avoid further depletion of reserves, the CBN adopted a number of policies including the prioritisation of the most critical needs for forex. This paper aims to critically analyse the effects of these policies on financial inclusion, anti-money laundering (AML) measures and human rights. Its aim is also to determine whether CBN’s Forex Policy does strike a fair balance between financial stability, inclusion, AML measures and human rights.

This paper relies mainly on primary and secondary data drawn from the public domain. It also relies on documentary research.

This paper determined that the CBN forex policy does not strike a fair balance between financial stability, inclusion, AML measures and human rights.

This paper focuses on the effect of the most recent CBN Forex Policies on financial inclusion, AML measures and human rights. It does not address the older policies. Also, it does not address other vulnerable groups like low-income households. Its focus is on the under-served group.

While many have written papers on CBN’s forex policies, none of those papers critically analysed the effects of these policies on financial inclusion, AML and fundamental rights. The Lagos Chamber of Commerce and Industry, for example, analysed the impact of these polices on the financial services sector; the manufacturing sector; food and household products; tyre and rubber industry; pharmaceutical sector, oil and gas sector; free trade zone sector; furniture manufacturers; and foam manufacturers. It made no mention of inclusion, money laundering and fundamental rights. Also, Vincent Haruna analysed the effect of these policies on Nigerians, particularly those engaged in international trade, and those who have children studying abroad. He neither specifically addressed financial inclusion nor did he make any mention of human rights and money laundering.

The purpose of this paper is to propose a practical framework for community participation in post-disaster resettlement.

The proposed framework has been tested in two model villages (MVs) of Punjab, Pakistan. Primary data were collected through household surveys, focus group discussions and expert interviews. A survey with 67 households was conducted for obtaining qualitative data regarding community participation in post-disaster resettlement.

The first MV (Ittehad MV) was resettled by the local NGO, and the second (Basti Meera Mullan) by the provincial government. Results indicate that community participation significantly varied in selected MVs. NGOs have achieved positive realizations due to effective community involvement in resettlement efforts, whereas the governmental approach lacked in proactive community participation.

This framework can be used for other disasters, by refining and incorporating disaster relevant components. This research will be highly useful for disaster managers, private developers and NGOs engaged in resettling disaster-affected population.

The proposed framework can help disaster-affected communities to resettle according to their terms. This can only be attained if affected communities will proactively participate in resettlement planning process.

This original framework is exclusively designed to attain sustainability for post-disaster settlement through community participation.