...out this assignment under your supervision. I would like to request you to accept my report for further assessment and I will be available to answer any question for clarification. Thank you for your sincere support. Yours sincerely, Arafat Rauf 2009-2-10-345 Table of contents Title | Page number | - BRIC | 4 | Economic growth of BRIC | 7 | Question 1: Map the proposed sequence of the evolution of the economy of the BRIC’s. What indicators might companies monitor to guide their investments and organize their local market operations? | 8 | Question 2: What are the implications of the emergence of the BRICs for careers and companies in your country? | 8 | Question 3: Do you think recency bias has led to overestimating the potential of the BRICs? How would you, as a manager for a company assessing these markets, try to control this bias? | 9 | Question 4: How might managers interpret the potential for their product in a market that is, in absolute economic terms, large but, on a per capita basis, characterized by a majority of poor to very...
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...FX Spot Trading and Risk Management from A Market Maker’s Perspective by Mu Yang A thesis presented to the University of Waterloo in fulfilment of the thesis requirement for the degree of Master of Quantitative Finance Waterloo, Ontario, Canada, 2011 c Mu Yang 2011 Author’s Declaration I hereby declare that I am the sole author of this thesis. This is a true copy of the thesis, including any required final revisions, as accepted by my examiners. I understand that my thesis may be made electronically available to the public. ii Abstract Due to the rapid development of computing technology and faster growth of financial industry, Foreign Exchange high-frequency trading has become substantially more prominent to today’s market players, especially to bankers and market makers. This research aims at introducing today’s FX high-frequency trading structure and discussing how a market maker can effectively reduce downside risk when market faces a huge upward or downward stress. An Exponential Moving Average operator is introduced and implemented using a Matlab software for tick-by-tick data analysis. Simulation framework for market high-frequency data and client trading flow is also introduced and implemented using the Matlab software. Real-time P&L calculation is introduced and used to determine the performance of a proposed risk hedging strategy. On the other hand, due to the financial crisis we experienced in 2007, 2008, and 2009, we analyze the tail risk of foreign exchange...
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...evolution of economy of BRIC is very impressive. They are in the speedy growth of their end user markets. (Experience indicates that consumer demand takes off when Gross National Income per capita reaches levels between $3,000 and $10,000 per year.) From 2000 to 2008, the BRIC countries' combined share of total world economic output rose from 16 to 22 percent. Together, the BRIC countries accounted for 30 percent of the increase in global output during the period. As BRICS observed as emerging market, many investors recognize the potentially attractive return characteristics and diversification benefits of this asset class. However, most pension plans and other institutions currently allocate less than 5% of their overall portfolio to emerging market equities. In Russia there is by now momentous verification of the growth of consumerism throughout the history decade. Parallel trends are observing in China and India, where middle classes growth is very quick. It is anticipated that within a decade, each of BRIC countries will demonstrate higher profits, amplified demand for capital, and stronger state currencies. As a result, overseas firms will desire to observe foremost financial pointers, as Purchasing Power Parity, Gross National Income and Human Development Index, in addition to developments in the cultural, political, and legal environments of those countries The BRIC thesis posits that China and India will become the world's dominant suppliers of manufactured goods and...
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...rapidly-changing bond market Pictet Asset Management May 2014 For professional investors only Overview From 16 to 9. Over the past decade, the number of sovereign borrowers rated triple-A by Standard and Poor's has almost halved. There is probably no clearer testament to the damage caused by the financial crisis. But it is not the only momentous change facing fixed income investors. In another break with the past, policymakers in the developed world no longer worry about the moral hazard of intervening in the capital markets. Driving down real interest rates close to zero has been the policy of choice in the US, UK and Japan, while in the euro zone it has become de rigueur to encourage banks to buy the bonds of those governments with the weakest credit credentials. If dealing with unorthodox monetary and fiscal policies is not challenging enough for fixed income investors, traditional bond benchmarks – and the strategies tied to them – do not help matters. In fact, they often amplify risks. Because these indices are capitalisation- or, perhaps more accurately, liability-weighted, they expose investors to the governments and corporations that issue the most debt. This not only leaves participants vulnerable to the potentially unfavourable shifts in borrower creditworthiness, it also restricts their access to more attractive investment opportunities elsewhere. The bond investor’s plight is further complicated by a recent deterioration in market liquidity. The introduction...
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...Executive summary Cash Flow Statement and Disclosure are potentially significant means for management to communicate company’s performance and governance to outside investors. Demand for Cash Flow Statement and disclosure arise from information asymmetry and agency problem between owners and management. The 1st chapter of this report is Introduction. It remain Origin of the project and thesis work, Background of the Report, Objective of the report, General objective, Project objective, Scopes, Methodologies, Data sources, Limitations and Research strategy. The 2nd chapters flash on IAS and BAS, it include History of IAS, Bangladesh Accounting Standard (BAS) Scopes, Current Status of Bangladesh Accounting Standard Data sources, IAS vs. BAS Data collection and IAS 1 Presentation of Financial Statement. The 3rd chapter of this report is Overview of Cash Flow Statement. It includes what is cash flow statement, Objective of cash flow statement, Structure of the Cash Flow Statement, Presentation of a Cash Flow Statement and History of IAS-7. In 4th chapter contains the analysis and findings about some selected companies in Bangladesh which includes Pharmaceuticals industry, Bank Industry, Leasing industry, Textiles industry, Food & beverage industry. And, final chapter of this report contains some finding and recommendations are given to touch the landmark of quality cash flow statement and some similarities & dissimilarities and note disclosure practices. Introduction...
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...PROCUREMENT DOMESTICALLY AND INTERNATIONALLY The case of companies A and B Francesca Xiaoying Zhang Bachelor’s thesis May 2012 Degree Programme in International Business Options of Supply Chain Management and Financial Management 2 ABSTRACT Tampereen ammattikorkeakoulu Tampere University of Applied Sciences Degree Programme in International Business Options of Supply Chain Management and Financial Management AUTHOR: Francesca Xiaoying Zhang Title of thesis: Procurement Domestically and Internationally The Case of Companies A and B Bachelor's thesis 45 pages, May 2012 This thesis aims to compare domestic and international procurement operations & business systems in company A and B. Company A is a multinational overseas company with domestic procurement and sales in China. Company B is a Finnish company with international procurement from Far East and sales in Nordic countries. Procurement is directly linked to business or organizations’ ability to deliver value in the market place. It is increasingly recognized by managers as a key business driver. Procurement decisions fundamentally affect business success because costs on purchased parts and services represent more than half of the sales revenues of most companies today. Companies having contacts of globally distributed supply base, are not necessarily limited to domestic purchase, moreover they can purchase internationally. Conducting and managing international procurement is more complex than undertaking domestic...
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...University of Macerata DPARTMENT OF POLITICAL SCIENCES, COMMUNICATION AND INTERNATIONAL RELATIONS MASTER’S DEGREE in Studi Politici e Internazionali ‘International Economic and Trade Relations’ LM–62 MASTER THESIS in DEVELPOMENT ECONOMICS Foreign Exchange regimes and major currencies Supervisor Student Prof. Paolo Sospiro Parapatakam Praveen Reddy MAT: 62282 ACADEMIC YEAR 2013/2014 Contents Introduction 5 Chapter 1 7 1. History of exchange rate regimes: 7 1.1 Gold Standard System (1880-1914): 7 1.2 Interim instability (1914-1944): 7 1.3 Bretton woods system (1946-1971). 8 Figure1.World Trade (1929-33).............................................................................................9 1.4 Par Value system: 9 2. Classification of Exchange Rate Regimes: 10 2.1 De facto Classification (1998-2009) 11 Diagram1. De Facto Classification of Foreign Exchange Regimes (Nov 1998 – Jan 2009).......12 2.2 Revised De Facto Classification System (2009 January to Present): 15 Table1. Shares of Classifications Using the 1998 and 2009 Systems. 16 2.3 Revised Classification System Definitions: 17 Hard pegs: 17 Soft pegs: 18 Floating arrangements: 19 Residual: 20 2.4 De facto Classification of Exchange Rate Arrangements...
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...Chapter One Introduction 1.1 INTRODUCTION Foreign exchange refers to the financial transaction where currency value of one country is traded into another country’s currency. The whole process gets done by a network of various financial institutions like banks, investors and governments. The exchange rate varies according to the value of each country’s currency which is based on the health of that particular country’s economy. Any individual or company engaged in overseas business should be aware of the risks of currency fluctuations. Customers without commercial contracts expressed in domestic currency (or fixed by an agreed rate of exchange) are fully exposed to what is known as an exchange risk. Exchange risk may arise because of exchange rate movements in the period from the original commercial contract, to the time of settlement of the domestic equivalent of the foreign currency amount. Foreign exchange risk management is designed to preserve the value of currency inflows, investments and loans, while enabling international businesses to compete abroad. Although it is impossible to eliminate all risks, negative exchange outcomes can be anticipated and managed effectively by individuals and corporate entities. Businesses do so by becoming familiar with the typical foreign exchange risks, demanding hard currency, diversifying properly and employing hedging strategies. No countries of the world can produce all their necessary commodities and services. So it has to buy the commodities...
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...School of Management Blekinge Institute of Technology How macro environmental forces affect business buying behavior after a recession: A case study of the second hand truck business NAME OF AUTHOR Christos Kakazoukis NAME OF SUPERVISOR Urban Ljungquist MASTER’S THESIS IN BUSINESS ADMINISTRATION, MBA PROGRAM Jan 2011 Thesis for the Master’s degree in Business Administration Autumn 2010 Abstract Master thesis in business administration, MBA Program, School of Management, Blekinge Institute of Technology, fall of 2010. Author: Christos Kakazoukis Supervisor: Urban Ljungquist Title: How macro environmental forces affect business buying behavior after a recession: A case study of the second hand truck business. Keywords: Buying behavior, customer behavior, financial crisis, trucks, PESTEL Background and problem: The financial crisis has had a deep impact on businesses all around the world. This has affected our purchases, both as retailers and as customers. In this thesis I will investigate how the buying behavior has changed, before, during and after the financial crisis with focus on the second hand truck business. I will also investigate which macro environmental factors have affected the buying behavior. Purpose: The purpose of this research is to describe changes in buying behaviors from influence of macro environmental forces. Method: I have used a qualitative method, and as a part of that face to face interviews, to understand and establish a better contact...
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...2 Graduate Thesis By Teia R. Merring Copenhagen Business School Strategic and financial analysis and valuation of B&O 0 1 Executive Summary................................................................................2 Introduction............................................................................................6 1.1Motivation.................................................................................................................. 6 1.2Problem Specification................................................................................................ 8 1.3Problem Identification................................................................................................ 8 1.4Problem Handling .................................................................................................... 10 1.5Structure and Methodology...................................................................................... 12 1.5.1Introduction and Presentation........................................................................... 12 1.5.2Strategic Analysis............................................................................................. 12 1.5.3Financial Statement Analysis ........................................................................... 13 1.5.4Prognoses and Budgets..................................................................................... 14 1.5.5Valuation.......................................
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...I DEVELOPMENT OF AN ACCOUNTING INFORMATION SYSTEM FOR INTERNATIONAL MARKET ENTRIES Taking the accounting information system of Milkiland Intermarket as a base of research PROJECT THESIS Faculty of Business Field of Study: International Business Cooperative State University Baden-Wuerttemberg Mannheim Handed in by: Vladyslava Zhurenkova Address: Plumstruk 3, 23617 Obernwohlde Course: WIB-bi 13BI Student ID-Number: 8658655 Academic Tutor: Prof. Dr. Thomas Schuster Supervising Tutor at Milkiland Volodymyr Gontar Intermarket: Corresponding Company: Milkiland Intermarket Kyiv, Ukraine, 10th September 2014 II CONFIDENTIALITY STATEMENT The Project thesis on hand “Development of an accounting information system for international market entries Taking the Accounting information system of the Milkiland Intermarket as a base of research” Contains internal resp. confidential data of Milkiland Intermarket. It is strictly forbidden, To distribute the content of this paper (including data, figures, tables, charts etc.) as a whole or in extracts, To make copies or transcripts of this paper or of parts of it, To display this paper or make it available in digital, electronic virtual form. Exceptional cases may be considered through permission granted in written form by the author and the Milkiland Intermarket. Kyiv, Ukraine, 10th September 2014 ___________________ Signature III ABSTRACT This paper is focused on...
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...kij1 Master Thesis Supervisor: PETER LØCHTE JØRGENSEN Author: QIAN Zhang (402847) Pricing of principle protected notes embedded with Asian options in Denmark ---- Using a Monte Carlo Method with stochastic volatility (the Heston Model) Aarhus School of Business and Social Science 2011 2 Acknowledgements My gratitude and appreciation goes to my supervisor Peter Lø chte Jø rgensen, for his kind and insightful discussion and guide through my process of writing. I was always impressed by his wisdom, openness and patience whenever I wrote an email or came by to his office with some confusion and difficulty. Especially on access to the information on certain Danish structured products, I have gained great help and support from him. 3 Abstract My interest came after the reading of the thesis proposal on strucured products written by Henrik, as is pointed out and suggested at the last part of this proposal, one of the main limitations of this thesis may be the choice of model. This intrigues my curiosity on pricing Asian options under assumption of stochstic volatility. At first, after the general introduction of strucutred products, the Black Scholes Model and risk neutral pricing has been explained. The following comes the disadvanges of BS model and then moves to the stochastic volatility model, among which the Heston model is highlighted and elaborated. The next part of this thesis is an emricical studying of two structured products embbeded with Asian...
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...AN ANALYSIS OF THE EFFECTS OF INTEREST RATE AND EXCHANGE RATE CHANGES ON STOCK MARKET RETURNS: EMPIRICAL EVIDENCE OF GHANA STOCK EXCHANGE A thesis submitted to the Institute of Distance Learning, Kwame Nkrumah University of Science and Technology in partial fulfillment of the requirement for the degree of COMMONWEALTH EXECUTIVE MASTERS OF BUSINESS ADMINISTRATION Institute of Distance Learning, KNUST JUNE, 2011 DECLARATION I hereby declare that this submission is my own work toward the Commonwealth Executive Master of Business Administration and that, to the best of my knowledge, it contains no material previously published by another person nor material which has been accepted for the award of any other degree of the University except where due acknowledgement has been made in the text. RANSFORD CHARLES ENYAAH (STUDENT ID No: 20103521) …………………… Signature …………………. Date Certified by: EDWARD ACHEAMPONG (SUPERVISOR) …………………… Signature …………………. Date Certified by: ……………………………… Head of IDL …………………… Signature …………………. Date i DEDICATION I dedicate this project work to the Lord Almighty and all my loved ones. ii ACKNOWLEDGEMENT First of all, I thank the almighty God for fulfilling his promises to my life and for granting me the strength, wisdom and knowledge to complete this work My profound gratitude goes to my Supervisor, Mr. Edward Acheampong (Lecturer, Methodist University College, Ghana) for his unflinching dedication...
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...Thesis A Proposed Re-start for Italy Without the Euro Department of Economics April 10, 2014 Preface By adopting the Euro as its official currency, Italy lost the independence to conduct monetary policy and is now facing a stagnant economy. Italy’s main source to reduce their high debt (over 120% of their GDP) is through fiscal policy and Italians have been experiencing steep increases in their taxes ever since the Euro was introduced. The Italian society has been experiencing an increase in unemployment, especially for the youth. It is quite challenging for young Italians to find job. After graduating from a university, the average Italian will most likely end up with a job as a waiter/waitress, electrician, taxi driver, or for the lucky ones, take over the family business. If Italy dropped Euro as its official currency and regain monetary independence, monetary policy could be implemented by the central bank of Italy (Banca D’Italia) in order to stimulate the economy by increasing the supply of Lire in the country to stimulate the economy, decrease unemployment, depreciate the currency to improve exports, increase consumption, and reduce the national debt. Background Italy’s economy is industrially diversified, mostly dominated by private corporations in the north. On the other hand, the so-called Mezzogiorno region (southern region) is mostly agricultural and unfortunately well-fare dependent as the unemployment rate is higher than the north. The Italian...
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...terms used in economics to refer to the combination of Brazil, Russia, India, and China. General consensus is that the term was first prominently used in a thesis of the Goldman Sachs investment bank. The main point of this 2003 paper was to argue that the economies of the BRICs are rapidly developing and by the year 2050 will eclipse most of the current richest countries of the world. Goldman Sachs argues that the economic potential of Brazil, Russia, India, and China is such that they may become among the four most dominant economies by the year 2050. The thesis was proposed by Jim O'Neill, global economist at Goldman Sachs. These countries are forecast to encompass over thirty-nine percent of the world's population. Goldman Sachs predicts China and India, respectively, to be the dominant global suppliers of manufactured goods and services while Brazil and Russia would become similarly dominant as suppliers of raw materials. Cooperation is thus hypothesized to be a logical next step among the BRICs because Brazil and Russia together form the logical commodity suppliers to India and China. Thus, the BRICs have the potential to form a powerful economic bloc to the exclusion of the modern-day G8 status. Brazil is dominant in soy and iron ore while Russia has enormous supplies of oil and natural gas. Goldman Sachs' thesis thus documents how commodities, work, technology, and companies have diffused outward from the United States across the world. The Brics’ role in the global...
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