Search results

The paper aims to assess the performance of investors that are discriminated based on their risk-appetite who intend to invest in listed Sharia-compliant (SC) stocks to maximize their portfolios’ wealth through two different models (i.e. regime-switching [RS] and non-RS).

Study period (i.e. November 18, 2015–May 31, 2019), well described in two distinct volatility-related bull-regime and bear-regime, is divided into in-sample and out-sample where Rs. 1.00 is invested on the out-sample start date. Each investor’s cumulated wealth forecasted through different models is checked daily throughout the out-sample period, and then, analyzed based on investors’ cumulated ending wealth, and Sharpe ratio (SR) is obtained through different models.

The ending wealth of risk-averse and risk-neutral investors obtained through RS-models increased 5.27 times while that of risk-taker investors increased 5.13 times. However, ending wealth obtained through non-RS models remained far low. The SR remained unchanged among investors. However, the SR of RS models (i.e. 1.0867) is higher than that of non-RS models (i.e. 0.8681). Overall, RS model-based investments outperformed in all categories of investors.

The study helps the investor during the process of portfolio diversification in their asset(s) selection and limited capital apportionment decisions. It also helps market regulators in formulating regulations and the policymakers in articulating/implementing policies that may protect the stakeholders form consequent disasters, particularly when market switches regimes.

The uniqueness stems from its focus on risk-appetite discriminated investors’ portfolio wealth maximization issue examined through technical analysis using two completely distinct models in the emerging market’s listed SC stocks.

This study aims to investigate the effect of Shariah-compliant status and Shariah regulation on initial public offering (IPO) underpricing in Pakistan.

Besides the ordinary least square’s method, this study used quantile least squares as a robust approach and stepwise regression for further analysis to investigate the underpricing phenomenon in Pakistan. Data of 84 IPOs listed on Pakistan Stock Exchange from January 2000 to December 2018 were collected to determine the impact of Shariah-compliant status and Shariah regulation on IPO underpricing.

Results of the study show that Shariah-compliant status has a negative relationship but Shariah regulation has a positive relationship with IPO underpricing. Hence, it is contended that Shariah-compliant firms have lower asset volatility and uncertainty than non-Shariah-compliant firms because of less information asymmetry, resulting in lower underpricing. These Shariah-compliant firms provide signals of high-quality IPOs as they must comply with the strict guidelines issued by the Securities Exchange Commission of Pakistan in addition to being considered as amicable by investors. Further, this study suggests that investors are more attracted to Shariah-compliant firms than non-Shariah-compliant ones.

This study’s offers limited consideration of nonfinancial and financial characteristics that could influence the decision of investors to subscribe to IPOs. Besides, future studies could consider the screening benchmarks; for instance, debt and cash may explain the intensity of IPO initial return in Pakistan.

The present work empirically investigated the influence of Shariah-compliant status and Shariah regulation on IPO underpricing in Pakistan’s IPO market, which has been scarcely covered in the existing literature.

The purpose of this paper is to extend the theory of services‐led industrial policy in services dominated but industrially lagging developing Asian economies and discuss its implications for employment, competitiveness, and diversification.

An inductive approach using qualitative methodology is adopted reviewing the available literature and evidence from Pakistan. The critical synthesis of the history of economic growth and industrial policy has followed Kuhn's paradigm approach.

Focusing on Pakistan, the paper synthesizes the history of industrial policy to identify the major paradigm shifts, especially the structural reforms era of the 1990s. The evidence suggests that the reforms under the structural adjustment program (SAP) have proved to be the necessary but not sufficient conditions for inclusive growth and industrial competitiveness in services dominated economies. Services‐led growth without an integrated and competitive industrial sector can lead to severe external accounts deficits and unemployment. The traditional role of services as “driver of demand/growth” is extended as “driver of productivity/competitiveness” through forward linkages with other sectors of the economy. The services sector's enabling role as the “software” of the economy and its impact on total factor productivity growth, diversification, and inclusive growth is postulated.

A quantification of forward and backward linkages is needed to identify the potential of services sub‐sectors in driving growth and productivity, respectively.

The paper identifies the need to match the existing industrial policy regimes with the economic structures in services‐dominated developing economies. The role of forward linkages in the productivity growth has implications for measurement of services output in national accounts in order to fully capture the contribution of this sector.

In this study, the researchers explored the predictive powers of corporate cultural factors and self-efficacy on Pakistan's public sector bank employees' organizational commitment.

The researchers designed a co-relational study based on cross-sectional data using a questionnaire to collect the data from the Pakistan public sector banks' managers, assistant managers and operational managers. Consequently, the researchers based this study's findings on the 270 valid responses to the questionnaire.

This study's findings reveal that, except for teamwork, together with self-efficacy, the corporate cultural factors comprising organizational communication, training and development and reward and recognition have positive and significant impacts on organizational commitment. More specifically, self-efficacy plays a mediating role in terms of the relationships between organizational commitment and organizational communication, training and development and reward and recognition.

From establishing the most relevant corporate cultural factors, the researchers consider that this study's findings are helpful to policymakers and organizations in developing organizational commitment among employees. More practically in the case of Pakistan's public sector banks, the employees can improve employees' performance by recognizing the significance of the corporate cultural factors on employees' organizational commitment. In addition, the researchers consider that this study's findings can improve managerial efficiency which, in turn, can lead to the organizations becoming more successful.

In the context of Pakistan's public sector banks, this study's findings provide empirical insights to the relationships between the corporate cultural factors and organizational commitment. In addition, the findings provide insights to the role played by self-efficacy in mediating these relationships.