Journal of Risk and Financial Management, Volume 18, Issue 2

This study empirically examines the wealth effects of mergers and acquisitions (M&As) in the Indian capital market, focusing on cross-border M&As. This study considers a sample of 58 cross-border and 34 domestic M&As, comprising more than...

With an avalanche of market manipulations and unethical tactics in the Australian financial industry, the empowerment levels of female Australian consumers when making financial investment decisions are highly questionable. Through the theoretical le...

This study aims to investigate whether the asset tangibility of the listed mining and extraction firms at the Amman Stock Exchange institution affects the market value of these firms and whether firm profitability mediates the impact relationship of...

Loan loss reserve accounts are an important part of banks’ ability to sustain losses. However, to enhance such protection, executives in the banking sector should recognize the factors that can affect the management of loan loss reserves. This...

Rising uncertainty in the business environment has coincided with a significant increase in unethical behaviors within organizations, posing substantial financial and reputational risks. Unethical conduct is estimated to cost organizations around the...

This study aims to evaluate how the effect of COVID-19 and cash flows from operating, investing, and financing activities influence stock returns, with dividends acting as a mediator. Data were gathered from the quarterly financial reports of 20 bank...

This paper studies the impact of crisis management mechanisms (bailouts and bail-ins) on moral hazard. Through an econometric study of financial crises in emerging countries since 1993, the results indicate that recurrent bailouts exacerbate moral ha...

This research explores the relationship between credit risk and bank value within the framework of horizontal mergers and acquisitions (M&A), employing a quantile regression approach to analyze how horizontal M&A activities moderate this rela...

OpenAI’s new flagship model, ChatGPT-4o, released on 13 May 2024, offers enhanced natural language understanding and more coherent responses. This paper investigates ChatGPT-4o’s capabilities in financial data analysis, including zero-sho...

This article offers a clear and approachable introduction to the evolving landscape of money and the frictions developing between traditional government control and decentralized finance (DeFi). Tailored for readers with a basic awareness of cryptocu...

The need to manage the risks related to the COVID-19 epidemic in health, economics, finance, and insurance became obvious after its outbreak. As a basis for the respective quantitative methods, this paper models, in a novel manner, the dynamics of an...

This study examines how firm-specific financial policies and external factors influence the volatility of implied volatility (VOV), a measure of uncertainty about future risks. Using a sample of 6023 firms from January 2000 to December 2022, we deriv...

This paper evaluates the impact of retail investors’ bullish sentiment in comparison to that of financial institutions on the return of Chinese CSI 300 index stocks over the period of 2015 to 2023. We document several regularities. First, the s...

In 2006, the PCAOB implemented new restrictions on the auditor provision of some tax and contingent fee services provided to issuer audit clients. These restrictions were implemented to reduce auditor conflicts of interest inherent when the auditor p...

This study explores the efficacy of advanced machine learning models, including various Long Short-Term Memory (LSTM) architectures and traditional time series approaches, for forecasting cotton futures prices. This analysis is motivated by the impor...

We investigated the relationship between corporate governance mechanisms and bank performance in the Nigerian banking sector. We focused on data from 2012 to 2022 extracted from the balance sheets of deposit money banks in Nigeria. We employed the Ge...

Efficient management of bankruptcy risk requires treating distant-to-default (DD) stochastically as long as historical stock prices move randomly and, thus, do not guarantee that history may repeat itself. Using long-term data that date back to 1952&...

This study investigates the nexus between green financing (GB) and carbon emissions across 29 countries distributed worldwide with full data on green financing measured as the sum of bonds issued for the period 2018–2021. GDP per capita, popula...

This study developed and evaluated machine learning models (MLMs) for predicting the drivers of green sukuk investment interest (GSII) in Nigeria, adopting the planks of hypothesised determinants adapted from variants of the planned behavioural model...

Recently, the Journal of Risk and Financial Management completed a Special Issue that included papers based on invitations from the Editorial Board Members on a variety of areas in applied financial economics and risk management [...]

Purpose: The purpose of this study is to investigate the role of gender equality in the relationship between the critical mass of women’s representation on boards and companies’ decisions to adopt external assurance on their sustainabilit...

Can advertising improve firm value following an incident of negative sustainability (i.e., a negative environmental, social or governance (NESG) occurrence?) This study provides an empirical investigation into NESG, its individual domains, and the mi...

In this study, we examine the herding behavior in MENA stock markets in response to global geopolitical risk by using daily data, ranging from 4 January 2011 to 31 December 2023, on stock-listed companies in some MENA countries (Egypt, Jordan, Lebano...

Non-maturing deposits (NMDs) are a significant source of liquidity for banks, making research into their modelling and forecasting invaluable. However, NMDs have no explicit expiration date, posing liquidity risks and complicating management. This re...

This research examines the link between environmental, social, and governance (ESG) risk ratings and board characteristics on corporate performance. Using 2023 data from 117 companies on the Saudi Stock Exchange, the study employs Ordinary Least Squa...

Utilizing an advanced machine learning algorithm, particularly the Artificial Neural Network (ANN) framework, this study reveals a significant nonlinear and even cyclical relationship between public concern about environmental issues and the ESG perf...

This study examines the interplay between leverage, dividend policy, and market performance in Nigeria’s manufacturing sector during the economic downturn of 2016–2020. Drawing on signaling and trade-off theories, we investigate how firms...

This study investigates how CEO characteristics, board composition, and firm size influence the technical efficiency (TE) of energy firms. We aim to understand how these factors contribute to production inefficiencies, which may help explain fluctuat...

This study investigates the impact of anti-corruption efforts on financial development across different economies, using G7 and E7 countries as comparative groups. Recognizing corruption as a barrier to economic growth, the research examines how effe...

International market openness has long been regarded as critical for economic development, and recent evidence highlights the distinct roles of financial and trade openness, particularly in emerging and developing economies. This study examines the i...

Has the mean-variance framework become obsolete? In this paper, we replace traditional variance–covariance methods of portfolio optimisation with relative Tsallis entropy and mutual information measures. Its goal is to enhance risk management a...

The stability of the financial cycle is paramount for the effective formulation and implementation of macroprudential policy in South Africa. The South African Reserve Bank (SARB) and the Prudential Authority strive to mitigate excessive fluctuations...

With the recent increase in retail investor participation led by commission-less fintech trading applications and new features like fractional trading, we now have higher volatility and significantly quicker price changes. This makes it hard to make...

The financial technology domain has undertaken significant strides toward more inclusive credit scoring systems by integrating alternative data sources, prompting an exploration of how we can further simplify the process of efficiently assessing cred...

This paper investigates the impact of product market competition (PMC) on firms’ adoption of zero-leverage (ZL) strategies and examines whether this relationship is influenced by earnings volatility. Using data from 1989 to 2019, we analyze the...

It is known that the harmonic mean estimator is a consistent estimator of the marginal likelihood and is easy to implement, but it has severe biases and does not change as much as the prior distribution changes. In this study, we investigate the use...

This study investigates the role of the Big Three passive investors (BlackRock, Vanguard, and State Street) in influencing firms’ cost of equity. By examining the unique ownership structure these investors bring, the research sheds light on a p...

This study examines the influence of chairman characteristics on dividend policy within Moroccan firms listed on the Casablanca Stock Exchange, addressing a critical gap in the behavioral finance literature. This research focuses on five key attribut...

Innovation has played a vital role in continuing business operations worldwide amid the challenges of the COVID-19 pandemic. Innovation is critical for the success and survival of global organizations. Due to the risky long-term nature of innovation,...

The study investigated the threshold effects of economic-policy uncertainty on food security in Nigeria, covering the period from 1970 to 2021. Summary statistics and unit root tests were employed for preliminary analysis, while the threshold regress...

This study examines the impact that International Public Sector Accounting Standards adoption might have on governance quality and corruption control in Spain, Portugal, and Italy. IPSAS was designed to globally enhance public transparency and accoun...

We develop a flexible supply and demand equilibrium framework that can be used to develop pricing models to forecast Bitcoin’s price trajectory based on its fixed, inelastic supply and evolving demand dynamics. This approach integrates Bitcoin&...

We use a quasi-exogenous shock to information asymmetry among shareholders to evaluate the effect of information asymmetry on corporate disclosure. In the post-Regulation Fair Disclosure (FD) period, the merger between a shareholder and a lender of t...

One of the fundamental components of internal controls, a whistleblowing system (WBS) is crucial for preventing fraud, addressing irregularities, and enhancing good governance. The purpose of this study is to investigate the impact of whistleblower d...

We show that U.S. open-end actively managed domestic bond mutual fund managers possess selection and short-term timing skills based on monthly returns from 1999 to 2016. Parametric tests bias against finding evidence of manager skill, and correction...

The Ornstein–Uhlenbeck process is widely used in modeling biological systems and, in financial engineering, is commonly employed to describe the dynamics of interest rates, currency exchange rates, and asset price volatilities. As in any stocha...

The purpose of this study is to examine the economic and sectoral convergence of 32 countries in Latin America and the Caribbean (LAC) region from 1980 to 2022. The economic convergence hypothesis suggests that two economies with similar structural c...

Reliable inflation forecasts are essential for both business operations and macroeconomic policy making. This study explores the potential of using machine learning (ML) techniques to improve the accuracy of human forecasts of inflation. Specifically...

This article aims to elaborate on the narrow legalistic stakeholder model and the need to apply a new revised moral and legal stakeholder model in Indonesian state-owned enterprises (SOEs) with its implications and challenges. Studies on the narrow l...

Financial technologies and payment applications have revolutionized money flow recently, with cryptocurrencies offering decentralization, though still limited in transactional use. This study investigates the factors influencing the use of cryptocurr...