Double Bonus? Implicit Incentives for Money Managers with Explicit Incentives

2017 ◽  
Author(s):  
Vincent Gregoire
Keyword(s):  
Money Managers

scholarly journals Fund Families as Delegated Monitors of Money Managers

2005 ◽  
Vol 18 (4) ◽  
pp. 1139-1169 ◽  
Author(s):  
Simon Gervais ◽  
Anthony W. Lynch ◽  
David K. Musto
Keyword(s):  
Fund Families ◽  
Money Managers

Does salience matter in investment decision?

Kybernetes ◽  
2019 ◽  
Vol 48 (8) ◽  
pp. 1894-1912
Author(s):  
Samra Chaudary
Keyword(s):  
Investment Decision ◽  
Investment Decisions ◽  
Equation Modeling ◽  
Individual Investors ◽  
Short Term ◽  
Content Type ◽  
Multigroup Analysis ◽  
Money Managers ◽  
The Impact

Purpose The paper takes a behavioral approach by making use of the prospect theory to unveil the impact of salience on short-term and long-term investment decisions. This paper aims to investigate the group differences for two types of investors’ groups, i.e. individual investors and professional investors. Design/methodology/approach The study uses partial least square-based structural equation modeling technique, measurement invariance test and multigroup analysis test on a unique data set of 277 active equity traders which included professional money managers and individual investors. Findings Results showed that salience has a significant positive impact on both short-term and long-term investment decisions. The impact was almost 1.5 times higher for long-term investment decision as compared to short-term decision. Furthermore, multigroup analysis revealed that the two groups (individual investors and professional investors) were statistically significantly different from each other. Research limitations/implications The study has implications for financial regulators, money managers and individual investors as it was found that individual investors suffer more with salience heuristic and may end up with sub-optimal portfolios due to inefficient diversification. Thus, investors should be cautious in fully relying on salience and avoid such bias to improve investment returns. Practical implications The study concludes with a discussion of policy and regulatory implications on how to minimize salience bias to achieve optimum and diversified portfolios. Originality/value The study has significantly contributed to the growing body of applied behavioral research in the discipline of finance.

scholarly journals PENGARUH LABA PER SAHAM, PENDAPATAN, DAN TOTAL ARUS KAS TERHADAP NILAI PERUSAHAAN (Studi Empiris pada Perusahaan Go Publik di Bursa Efek Indonesia Sektor Industri Barang Konsumsi dan Aneka Industri periode 2015-2016)

2019 ◽  
Vol 2 (2) ◽  
Author(s):  
Akhmad Firdan Rakhman ◽  
Nur Ainy
Keyword(s):  
Regression Analysis ◽  
Cash Flow ◽  
Analysis Data ◽  
Fiduciary Duty ◽  
Industrial Facilities ◽  
Financial Report ◽  
Money Managers ◽  
Financial Base

Money managers clearly have a fiduciary duty to investigate before they invest client funds. The purpose of this per stock is, Income and Total cash flow the value of change both simultaneously and partial. This study employes a method of casual testing or case. Financial base was taken from a financial report of entities affiliated with the industrial facilities of the industrial food and a wide variety of industry in 2015-2016. The analysis data used a double regression analysis the result of a partial research directed that the income and total cash flow have an effect on the vale of the company. But the profit per share has no influence on the value of the company. The result of the research simultaneously indicate that a simultaneously return of the profit per share, the total cash flow and income has an effect the value of the company Keywords: Earnings per Sahre, Revenue, Total cash flow, the value of the company

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