Journal of Applied Finance

Journal of Applied Finance is a trade journal focusing on Applied Finance

Articles from Vol. 18, No. 1, Spring

2009 FMA Asian Conference
May 6-8, 2009 Xiamen University Xiamen, ChinaFMA 's Asian Conference brings together academicians and practitioners with interests in financial decision-making. The meeting provides a forum for presenting new research and discussing current issues in...
A Case Study on Risk Management: Lessons from the Collapse of Amaranth Advisors L.L.C
The speculative activities of hedge funds are a hot topic among market agents and authorities. In September 2006, the activities of Amaranth Advisors, a large-sized Connecticut hedge fund sent menacing ripples through the natural gas market. By September...
An Introduction to Econophysics/Dynamics of Markets: Econophysics and Finance
An Introduction to Econophysics By Rosario N. Mantegna and H. Eugene Stanley, Cambridge University Press: 2000, x + 148 pagesandDynamics of Markets: Econophysics and Finance By Joseph L. McCauley, Cambridge University Press: 2004, xvi + 209 pages"Econophysics"...
A Synthesis of Binomial Option Pricing Models for Lognormally Distributed Assets
The finance literature has revealed no fewer than 11 alternative versions of the binomial option pricing model for options on lognormally distributed assets. These models are derived under a variety of assumptions and in some cases require information...
Enterprise Risk Management: Current Initiatives and Issues Journal of Applied Finance Roundtable
Financial Management Association InternationalOctober, 2007 Annual Meeting held in Orlando, FloridaPanelists: Bruce Branson, Pat Concessi, John R.S. Fraser, Michael Hofmann, Robert (Bob) KoIb, Todd Perkins, and Joe RizziModerator: Betty SimkinsI. IntroductionBetty...
ESOs for CFOs: Pricing Employee Stock Option Grants
Employee stock options (ESOs) are used by many corporations as a major part of their compensation programs. Expensing issued ESOs on the grant date is now mandated in FAS 123 (R). The SEC's specific measurement objective for disclosure is to estimate...
FMA's PRACTITIONER DEMAND DRIVEN ACADEMIC RESEARCH INITIATIVE (PDDARI)
IntroductionFinancial Management Association International (FMA), established in 1970, has become a global leader in finance education and practices. Since inception the FMA has worked to bridge the gap between academic research and practitioner decisions...
Hedging Currency Exposures by Multinationals: Things to Consider
Currency risk is an inherent aspect of international commerce. Fortunately, for enterprises that operate in this space - particularly for those that transact with counterparties having major currencies as their functional currency - there are a variety...
Join FMA at the 2009 FMA Annual Meeting
October 21-24,2009 The Nugget hotel Reno, Nevada.FMA's Annual Meeting brings together academicians and practitioners with interests in financial decision-making. The meeting provides a forum for presenting new research and discussing current issues in...
Letter from the Editors
We are delighted to be the new editors for the Journal of Applied Finance (JAF). We want to thank Keith Howe and Ali Fatemi for their contributions to the journal as the prior editors; and we also thank the prior editorial board for their service to...
Mean-Semivariance Optimization: A Heuristic Approach
Academics and practitioners optimize portfolios using the mean-variance approach far more often than the mean-semivariance approach, despite the fact that semivariance is often considered a more plausible measure of risk than variance. The popularity...
Sixth Annual Napa Conference on Financial Markets Research
April 3-4, 2009 Cakebread Winery Napa Valley, CaliforniaSponsored by UC Davis Graduate School of Management and Financial Management2009 Annual Napa Conference Program Co-Chairs:Brad M. BarberProfessor of FinanceDirector, Center for Investor Welfare...
Steven Ludsin: Early Days of the MBS Market
On January 30, 2008, Charles Smithson interviewed Steven Ludsinfor the Journal of Applied Finance. The video of the full interview is available at http://wwwjma.org/jaf.htm. The following are some highlights from that interview."If Lewie [Ranieri] didn't...
The Response of US Equity Values to the 2004 Presidential Election
This paper analyzes changes in US equity values around the 2004 presidential election. At 4:00 PM on November 2, trading in George Bush's victory contract on Tradesports.com implied a probable defeat; early November 3, Bush was the winner. Because no...
The Sub-Prime Crisis Down Under
The sub-prime crisis which emanated from the USA in 2007 has had profound effects around the world and is providing new insights into financial interlinkages and risk management issues. This paper examines the effects of the sub-prime crisis on the Australian...
The Summer of '07 and the Shortcomings of Financial Innovation
The summer of 2007 saw the interruption of a number of financial innovations developed over the past several decades. The event can best be understood as a manifestation of asymmetric information in an environment of rapid financial innovation. Financial...
U.S. Corporate Governance: Accomplishments and Failings A Discussion with Michael Jensen and Robert Monks1
Panelists: Michael Jensen and Robert MonksModerator: Ralph WalklingI. IntroductionRalph Walkling: Good morning, I'm Ralph Walkling, current president of the Financial Management Association. Both in this role, and as Director of the Center for Corporate...
Who Reads What Most Often? A Survey of Enterprise Risk Management Literature Read by Risk Executives
This study provides the results of a survey on the most important risk literature read by executives working in the area of enterprise risk management, and it highlights excellent opportunities for academics to closely collaborate with practitioners...