Journal of Applied Finance

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

Articles from Vol. 14, No. 1, Spring

A Survey on the Dissemination of Earnings Information by Large Firms
Studies of quarterly earnings announcements by firms typically focus on the quality of the announcement or the financial impact of the announcement. Few studies focus on the method and timing of announcements of quarterly earnings, a question of increased...
Financial Ratio Selection for Default-Rating Modeling: A Model-Free Approach and Its Empirical Performance
Financial ratios are important factors in predicting corporate failure. In this article, I propose to use an innovative statistics procedure to identify informative financial ratios and use those ratios to predict default rating. I use three types of...
Job-Related Ethical Judgment in the Finance Profession
This article investigates the attitudes of 230 finance practitioners with respect to ethical issues in their industry. The respondents' ethical ideology is first measured on the scales of idealism and relativism. Respondents are asked to react to behavior...
Macrohedging for Financial Institutions: Beyond Duration
This article proposes two extensions of current practice in applying duration gaps for macrohedging the equity position of a financial institution against interest rate risk. The first adjusts for the relative convexities of the asset and liability portfolios,...
Mean Reversion in Earnings and the Use of E/P Multiples in Corporate Valuation
We analyze how E/P multiples are affected when firms experience an unusual change in earnings. Those firms with earnings changes that are below the industry median have E/P ratios that are also below the median. Conversely, those firms with earnings...
The Latest Movement to Going Private: An Empirical Study
The number of firms going private is increasing at an unprecedented rate in the current decade. The ratio of companies going private to IPOs is in the 20%-30% range. My survey includes 110 of the 236 that went private between January 2001 and July 2003...