The Experts below are selected from a list of 264 Experts worldwide ranked by ideXlab platform
Victor Murinde - One of the best experts on this subject based on the ideXlab platform.
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financial sector reforms and stochastic policy simulations a Flow of Funds model for india
Journal of Policy Modeling, 2006Co-Authors: Tomoe Moore, Christopher J Green, Victor MurindeAbstract:Abstract We apply stochastic simulation methods to a system-wide Flow of Funds model for India for 1951–1994. We address two issues; first, the impact of financial reforms on interest rates and loanable Funds, and second, the robustness of policy where there is uncertainty about the true model. We find considerable variation in policy risk depending on the policy instrument and the policy regime. Interest rate risks are greater in the controlled regime; quantity risks are greater in the decontrolled regime. Outcomes also depend on controls on intermediaries: more heavily controlled banks respond differently from other less heavily controlled financial intermediaries.
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portfolio behaviour in a Flow of Funds model for the household sector in india
Journal of Development Studies, 2005Co-Authors: Tomoe Moore, Christopher J Green, Victor MurindeAbstract:We estimate a Flow of Funds model for the household sector in India, within the Almost Ideal Demand System (AIDS) framework, and examine the demand for money and the substitution effects between money and other financial assets. The restricted long-run model, obtained using cointegration techniques, provides stable equilibrium relationship between I(1) variables and broadly satisfies the axioms of rational choice in consumer demand theory. We find that financial sector reform exerts a significant impact on the interest rate structure and household portfolio preferences; specifically, there is strong substitutability among risk-free assets and a possible speculative effect in the stock market, while the exchange rate strongly influences the demand for money. These findings all have important policy implications.
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Flow of Funds implications for research on financial sector development and the real economy
Journal of International Development, 2003Co-Authors: Christopher J Green, Victor MurindeAbstract:This paper provides a selective survey of the leading theoretical and empirical issues surrounding the Flow of Funds: its meaning and origin, problems of construction, its use in financial modelling and its role as a tool of analysis of intersectoral financial Flows. It is argued that there is an intimate connection between the Flow of Funds, interest rates and asset prices, and hence incomes and expenditures in an economy. The paper discusses Flow of Funds analysis in the context of developing countries, concentrating on possible applications and methodologies, and the issue of data collection and organization. We explore the reasons for lack of success at empirical Flow of Funds modelling and propose 'promising research ideas' (PRIs) to apply Flow of Funds analysis to study the relationship between financial sector development and the real economy, particularly to identify effective financial sector policies in developing countries. Copyright © 2003 John Wiley & Sons, Ltd.
Christopher J Green - One of the best experts on this subject based on the ideXlab platform.
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Flow of Funds and the impact of financial controls on bank portfolio behaviour a study of india
European Journal of Finance, 2008Co-Authors: Tomoe Moore, Christopher J GreenAbstract:This paper studies the Flow of Funds and portfolio behaviour of Indian banks from 1951 to 1994. In this period, financial controls such as variable reserve ratios were important constraints on bank behaviour, especially before liberalization took place in the early 1990s. We estimate a system of demand functions which uses as framework the Almost Ideal Demand System and which incorporates the reserve ratio regulations. Attention is paid to cointegration and to structural breaks. The estimated model provides coherent and plausible parameter estimates for prices and other variables. We find that a standard portfolio model can usefully be applied to the study of financial behaviour in a developing economy such as India, and some interesting policy implications can be drawn.
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financial sector reforms and stochastic policy simulations a Flow of Funds model for india
Journal of Policy Modeling, 2006Co-Authors: Tomoe Moore, Christopher J Green, Victor MurindeAbstract:Abstract We apply stochastic simulation methods to a system-wide Flow of Funds model for India for 1951–1994. We address two issues; first, the impact of financial reforms on interest rates and loanable Funds, and second, the robustness of policy where there is uncertainty about the true model. We find considerable variation in policy risk depending on the policy instrument and the policy regime. Interest rate risks are greater in the controlled regime; quantity risks are greater in the decontrolled regime. Outcomes also depend on controls on intermediaries: more heavily controlled banks respond differently from other less heavily controlled financial intermediaries.
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portfolio behaviour in a Flow of Funds model for the household sector in india
Journal of Development Studies, 2005Co-Authors: Tomoe Moore, Christopher J Green, Victor MurindeAbstract:We estimate a Flow of Funds model for the household sector in India, within the Almost Ideal Demand System (AIDS) framework, and examine the demand for money and the substitution effects between money and other financial assets. The restricted long-run model, obtained using cointegration techniques, provides stable equilibrium relationship between I(1) variables and broadly satisfies the axioms of rational choice in consumer demand theory. We find that financial sector reform exerts a significant impact on the interest rate structure and household portfolio preferences; specifically, there is strong substitutability among risk-free assets and a possible speculative effect in the stock market, while the exchange rate strongly influences the demand for money. These findings all have important policy implications.
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Flow of Funds implications for research on financial sector development and the real economy
Journal of International Development, 2003Co-Authors: Christopher J Green, Victor MurindeAbstract:This paper provides a selective survey of the leading theoretical and empirical issues surrounding the Flow of Funds: its meaning and origin, problems of construction, its use in financial modelling and its role as a tool of analysis of intersectoral financial Flows. It is argued that there is an intimate connection between the Flow of Funds, interest rates and asset prices, and hence incomes and expenditures in an economy. The paper discusses Flow of Funds analysis in the context of developing countries, concentrating on possible applications and methodologies, and the issue of data collection and organization. We explore the reasons for lack of success at empirical Flow of Funds modelling and propose 'promising research ideas' (PRIs) to apply Flow of Funds analysis to study the relationship between financial sector development and the real economy, particularly to identify effective financial sector policies in developing countries. Copyright © 2003 John Wiley & Sons, Ltd.
Tomoe Moore - One of the best experts on this subject based on the ideXlab platform.
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Modelling a Flow of Funds and policy simulation experiments in the financial sector for India
2020Co-Authors: Tomoe MooreAbstract:The objective of this thesis is to analyse policy effects on the financial sector in India by modelling a Flow of Funds for four sectors with six financial instruments for the period of 1951–1993 with associated simulation techniques. In the general equilibrium model, the whole financial sector is endogenised by means of demand functions for asset choice in the four sectors and each financial market is solved by the market clearing conditions. An important innovation is that the Almost Ideal Demand System (AIDS) is utilised for a system of demand function, and cointegration techniques are adapted into the econometric methodology. The policy simulation experiments are conducted with a view to analysing the delivery of loanable Funds to sectors which are the most in need of poverty-reducing economic growth, at the same time, they are largely in line with the financial reforms that started in the early 1990s in India. The system-wide simulation designed in this thesis will permit us to analyse a wide spectrum of policy effects on such issues as the determinant of interest rates, financing capital formulation, the role of financial institutions, government debt and allocation of credit, as a result of interactions in the disaggregated economic sectors. The key finding is the significant role of interest rates in portfolio selection and thereby on the Flow of Funds for India. The policy simulations, however, reveal that the liberalisation of interest rates may be no better than the administered rates in ensuring loans to private sectors. Possible perverse outcomes from the liberalised interest rate regime are also highlighted in the stochastic simulations, as policies become sensitive or fragile in the face of uncertainty in the economy. These demonstrate the importance of a gradual de-regulation in the financial sector, rather than an indiscriminate attempt at financial decontrol.
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Flow of Funds and the impact of financial controls on bank portfolio behaviour a study of india
European Journal of Finance, 2008Co-Authors: Tomoe Moore, Christopher J GreenAbstract:This paper studies the Flow of Funds and portfolio behaviour of Indian banks from 1951 to 1994. In this period, financial controls such as variable reserve ratios were important constraints on bank behaviour, especially before liberalization took place in the early 1990s. We estimate a system of demand functions which uses as framework the Almost Ideal Demand System and which incorporates the reserve ratio regulations. Attention is paid to cointegration and to structural breaks. The estimated model provides coherent and plausible parameter estimates for prices and other variables. We find that a standard portfolio model can usefully be applied to the study of financial behaviour in a developing economy such as India, and some interesting policy implications can be drawn.
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India's Emerging Financial Market: A Flow of Funds Model
2007Co-Authors: Tomoe MooreAbstract:1. Introduction 2. Survey of Asset Demand Functions for Modelling a Flow of Funds 3. Financial Markets and Flow of Funds Matrix in India 4. Data, Model Specification and Estimation Methodology 5. A Flow of Funds Model for the Banking Sector 6. Other Financial Institutions' Portfolio Behaviour and Policy Implications 7. A Portfolio Approach to Firms' Financing Decision 8. Portfolio Behaviour in a Flow of Funds Model for the Household Sector in India 9. Financial Liberalization and Policy Simulation Experiments 10. Financial Sector Reforms and Stochastic Policy Simulations 11. Conclusion
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financial sector reforms and stochastic policy simulations a Flow of Funds model for india
Journal of Policy Modeling, 2006Co-Authors: Tomoe Moore, Christopher J Green, Victor MurindeAbstract:Abstract We apply stochastic simulation methods to a system-wide Flow of Funds model for India for 1951–1994. We address two issues; first, the impact of financial reforms on interest rates and loanable Funds, and second, the robustness of policy where there is uncertainty about the true model. We find considerable variation in policy risk depending on the policy instrument and the policy regime. Interest rate risks are greater in the controlled regime; quantity risks are greater in the decontrolled regime. Outcomes also depend on controls on intermediaries: more heavily controlled banks respond differently from other less heavily controlled financial intermediaries.
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portfolio behaviour in a Flow of Funds model for the household sector in india
Journal of Development Studies, 2005Co-Authors: Tomoe Moore, Christopher J Green, Victor MurindeAbstract:We estimate a Flow of Funds model for the household sector in India, within the Almost Ideal Demand System (AIDS) framework, and examine the demand for money and the substitution effects between money and other financial assets. The restricted long-run model, obtained using cointegration techniques, provides stable equilibrium relationship between I(1) variables and broadly satisfies the axioms of rational choice in consumer demand theory. We find that financial sector reform exerts a significant impact on the interest rate structure and household portfolio preferences; specifically, there is strong substitutability among risk-free assets and a possible speculative effect in the stock market, while the exchange rate strongly influences the demand for money. These findings all have important policy implications.
Tetsuji Okazaki - One of the best experts on this subject based on the ideXlab platform.
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Branch Network and Internal Flow of Funds of Mitsubishi Bank during the Second World War
CARF F-Series, 2010Co-Authors: Tetsuji OkazakiAbstract:This paper explores the Flow of Funds inside Mitsubishi Bank during the Second World War, focusing on the impacts of acquisition of Daihyaku Bank in 1943 and the Designated Financial Institution System in 1944. Acquisition of Daihyaku Bank substantially expanded the branch network of Mitsubishi Bank, and Mitsubishi Bank utilized those newly acquired branches mainly as a device for deposits collection. A large part of the deposits collected at the branches was sent to the headquarters of Mitsubishi Bank, which, in turn, allocated the Funds to loans based on the Designated Financial Institution System, as well to government bonds following the instruction by the National Financial Control Association.
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"Branch Network and Internal Flow of Funds of Mitsubishi Bank during the Second World War" (in Japanese)
CIRJE J-Series, 2010Co-Authors: Tetsuji OkazakiAbstract:This paper explores the Flow of Funds inside Mitsubishi Bank during the Second World War, focusing on the impacts of acquisition of Daihyaku Bank in 1943 and the Designated Financial Institution System in 1944. Acquisition of Daihyaku Bank substantially expanded the branch network of Mitsubishi Bank, and Mitsubishi Bank utilized those newly acquired branches mainly as a device for deposits collection. A large part of the deposits collected at the branches was sent to the headquarters of Mitsubishi Bank, which, in turn, allocated the Funds to loans based on the Designated Financial Institution System, as well to government bonds following the instruction by the National Financial Control Association.
Abhay Kaushik - One of the best experts on this subject based on the ideXlab platform.
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The impact of Flow of Funds and management style on abnormal
2020Co-Authors: Abhay KaushikAbstract:This article analyses 1349 well-diversified, actively managed equity mutual Funds across nine different categories from the period January 1992 to November 2011, based on the management style (active or passive), pursued by fund managers who receive new money as it Flows (commonly known as Flow of Funds) into the mutual Funds. Results of this research do not support, in totality, the results found in the existing literature. Abnormal performance does diminish following the excessive inFlow of Funds for large-cap Funds; however, it increases for small-cap Funds for the same phenomenon. I further evaluate abnormal performance based on active and passive style of fund management following the inFlow and outFlow of Funds. Results of this study show mixed results. Although active management does improve the performance of a segment of equity Funds, the improvement is not evident for all types of equity Funds. Finally, this study also applies a portfolio approach, and results indicate that the impact of active management on a fund's abnormal performance is not homogeneous across winner and loser portfolios for the same type of Funds.
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The impact of Flow of Funds and management style on abnormal performance
Journal of Asset Management, 2012Co-Authors: Abhay KaushikAbstract:This article analyses 1349 well-diversified, actively managed equity mutual Funds across nine different categories from the period January 1992 to November 2011, based on the management style (active or passive), pursued by fund managers who receive new money as it Flows (commonly known as Flow of Funds) into the mutual Funds. Results of this research do not support, in totality, the results found in the existing literature. Abnormal performance does diminish following the excessive inFlow of Funds for large-cap Funds; however, it increases for small-cap Funds for the same phenomenon. I further evaluate abnormal performance based on active and passive style of fund management following the inFlow and outFlow of Funds. Results of this study show mixed results. Although active management does improve the performance of a segment of equity Funds, the improvement is not evident for all types of equity Funds. Finally, this study also applies a portfolio approach, and results indicate that the impact of active management on a fund's abnormal performance is not homogeneous across winner and loser portfolios for the same type of Funds.
