New Articles – Finance

The impact of the effective tax rate change on financial assets of commercial banks: The case of Visegrad group countries

Alena Andrejovska, Jozef Glova, Martina Regaskova, Natalia Slyvkanyc

While many tax professionals have discussed corporate taxation in the banking sector and its effectiveness on bank institutions, investment decisions, bank size, asset structure, or bank rentability, there is little evidence of tax efficiency within V-4 Group. The research on banks and tax rates is mainly based on American data. Few papers solved banking stability and corporate taxes within the European countries. This paper examines effective corporate taxation in the banking sector of the V-4…

DOI (& full text): doi.org/10.15240/tul/001/2024-1-011 more

Investigating self-efficacy and behavioural bias on investment decisions

Kuppusamy Srinivasan, Parthasarathy Karthikeyan

The determinants of irrational decisions on the stock market are found in numerous empirical studies. However, self-efficacy and behavioural biases have a sturdy influence on stock market investment decisions. Behavioural biases are formed with heuristics, prospect theory and herding effect concerning stock market investments. Self-efficacy is independent of behavioural biases but is closely connected with controlling behavioural intentions in decision-making. The research was conducted to find…

DOI (& full text): doi.org/10.15240/tul/001/2023-4-008 more

A critique of quantitative easing by the Federal Reserve System and the European Central Bank

Simona Pichova, Jan Cernohorsky, Marketa Kacerova, Jan Zila

The application of quantitative easing tools by certain central banks has been and continues to be the subject of professional debate. Therefore, this paper aims to assess an alternative scenario to the use of quantitative easing. We have used counterfactual analysis to estimate GDP growth in the US and in the Eurozone for the period during which quantitative easing was implemented, i.e., since 2009 in the US and since 2015 in the Eurozone. We used a vector autoregression (VAR) model for the…

DOI (& full text): doi.org/10.15240/tul/001/2023-4-009 more

How to hedge extreme risk of natural gas in multivariate semiparametric value-at-risk portfolio?

Dejan Živkov, Boris Kuzman, Jonel Subić

The COVID-19 pandemic and the war in Ukraine have caused huge price changes in the natural gas market. This paper tries to minimise the extreme risk of natural gas, making two sixasset portfolios, where gas is combined with five developed and emerging European stock indices. We observe extreme risk from the aspect of classical parametric Value-at-Risk measure, but we also propose a new approach and optimise portfolios with semiparametric VaR as a target. Estimating the equicorrelation of t he…

DOI (& full text): doi.org/10.15240/tul/001/2023-3-008 more

Multilateral development banks – Strategic actors in the new economy?

Dan Costin Niţescu, Valentin Murgu, Simona Beatrice Manolache

The paper addresses the role of multilateral development banks in the new economic paradigm, built in the context of multiple crises with global impact. Multilateral development banks, in their capacity as promoters of governments’ policies are “invited/expected” to play a key role in the new geopolitical architecture, holding a competitive advantage in the provision of finance, which is linked to the design and implementation of structural reforms and programs of strengthening institutions…

DOI (& full text): doi.org/10.15240/tul/001/2023-3-009 more