Articles

Editor’s introduction

Authors: Gang Kou

Loan growth and bank solvency: evidence from the Pakistani banking sector

The dramatic loan growth and changes in the Pakistani banking system in mid-2000s have led to significant research attention on borrowers and lenders. This expansion and diversification in financial sector was...

Authors: Muhammad Kashif, Syed Faizan Iftikhar and Khurram Iftikhar

Early exercise premium method for pricing American options under the J-model

This study develops a new model called J-am for pricing American options and for determining the related early exercise boundary (EEB). This model is based on a closed-form solution J-formula for pricing European...

Authors: Yacin Jerbi

Fraud detections for online businesses: a perspective from blockchain technology

The reputation system has been designed as an effective mechanism to reduce risks associated with online shopping for customers. However, it is vulnerable to rating fraud. Some raters may inject unfairly high ...

Authors: Yuanfeng Cai and Dan Zhu

Pure and hybrid crowds in crowdfunding markets

Crowdfunding has risen rapidly as a way of raising funds to support projects such as art projects, charity projects, and new ventures. It is very important to understand how crowds in the crowdfunding market a...

Authors: Liang Chen, Zihong Huang and De Liu

Consumer use intention of online financial products: the Yuebao example

Drawing on a valence framework and innovation diffusion theory, this study examines Yuebao deployment to model consumers’ intention to use financial products offered online. We collect data via an online surve...

Authors: Huosong Xia and Zhe Hou

Team rivalry and lending on crowdfunding platforms: an empirical analysis

Prosocial crowdfunding helps the underprivileged obtain non-profit seeking loans from multitudinous lenders. Some platforms introduce team competition to motivate member participation and may thus induce team ...

Authors: Ling Ge and Xuechen Luo

The FinTech phenomenon: antecedents of financial innovation perceived by the popular press

The financial industry has been strongly influenced by digitalization in the past few years reflected by the emergence of “FinTech,” which represents the marriage of “finance” and “information technology.” Fin...

Authors: Liudmila Zavolokina, Mateusz Dolata and Gerhard Schwabe

FinTech in Taiwan: a case study of a Bank’s strategic planning for an investment in a FinTech company

Since 2015 is the year of FinTech in Taiwan, it is worth investigating the challenges that emerged when banks were encouraged to invest in FinTech companies for collaboration. This study aims to identify the s...

Authors: Jui-Long Hung and Binjie Luo

Performance and capital structure of IPOs in Pakistan from 2000 to 2015

When a privately owned firm or privatized government entity raises capital by selling its stocks for the first time to general public, is known as initial public offering (IPO). The underpricing phenomenon and...

Authors: Attiya Yasmin Javid and Henna Malik

Determinants of private sector credit in Uganda: the role of mobile money

Mobile money services have been associated with unprecedented access to financial services, notably to under-banked and unbanked populations. Thus, mobile money opens a channel through which to examine the sup...

Authors: Dorothy Nampewo, Grace Ainomugisha Tinyinondi, Duncan Roy Kawooya and George Wilson Ssonko

A maturity model for blockchain adoption

The rapid development of the blockchain technology and its various applications has rendered it important to understand the guidelines for adopting it.

Authors: Huaiqing Wang, Kun Chen and Dongming Xu

Franchise ownership redirection: real options perspective

For over 40 years, the franchise ownership redirection hypothesis has attracted the attention of many scholars. This study, differing from previous ones, proposes an alternative approach for this hypothesis us...

Authors: Lukito Adi Nugroho

Developing a prediction model for customer churn from electronic banking services using data mining

Given the importance of customers as the most valuable assets of organizations, customer retention seems to be an essential, basic requirement for any organization. Banks are no exception to this rule. The com...

Authors: Abbas Keramati, Hajar Ghaneei and Seyed Mohammad Mirmohammadi

Effect of interest rate on economic performance: evidence from Islamic and non-Islamic economies

Saving and investment are two of the most important tools for economic growth. The interest rate has always been considered an important determinant of saving and investment. However, according to Islamic teac...

Authors: Saba Mushtaq and Danish Ahmed Siddiqui

A group consensus model for evaluating real estate investment alternatives

Individual decision-making largely influences the effectiveness of decisions and benefits of investments. Methods: In this article, a consensus model for group decision-making (GDM), based on the analytic hier...

Authors: Wenshuai Wu and Gang Kou

Causality between bank’s major activities and economic growth: evidences from Pakistan

Banking is an important sector of Pakistan’s economy. It is general consideration that bank’s major activities saving and lending have positive impact on economic growth. So the aim of this study is to investi...

Authors: Saba Mushtaq

Re-estimation and comparisons of alternative accounting based bankruptcy prediction models for Indian companies

The suitability and performance of the bankruptcy prediction models is an empirical question. The aim of this paper is to develop a bankruptcy prediction model for Indian manufacturing companies on a sample of...

Authors: Bhanu Pratap Singh and Alok Kumar Mishra

Editor’s introduction

Authors: Gang Kou

Cashless payment and economic growth

This study examines the effect of adopting cashless payment in five European Union (EU) countries, namely, Austria, Belgium, France, Germany, and Portugal, for the period of 2000-2012.

Authors: Hock-Han Tee and Hway-Boon Ong

Dynamics of volatility spillover between stock market and foreign exchange market: evidence from Asian Countries

The purpose of this study is to examine volatility spillover effects between stock market and foreign exchange market in selected Asian countries; Pakistan, India, Sri Lanka, China, Hong Kong and Japan. This s...

Authors: Khalil Jebran and Amjad Iqbal

Government-incentivized crowdfunding for one-belt, one-road enterprises: design and research issues

Local, state, and federal governments have started exploring the potential of crowdfunding in transforming conventional financing methods used previously to fund public projects and services. While crowdfundin...

Authors: Chang Heon Lee, J. Leon Zhao and Ghazwan Hassna

Complex derivatives valuation: applying the Least-Squares Monte Carlo Simulation Method with several polynomial basis

This article investigates the Least-Squares Monte Carlo Method by using different polynomial basis in American Asian Options pricing. The standard approach in the option pricing literature is to choose the bas...

Authors: Ursula Silveira Monteiro de Lima and Carlos Patricio Samanez

How signaling and search costs affect information asymmetry in P2P lending: the economics of big data

In the past decade, online Peer-to-Peer (P2P) lending platforms have transformed the lending industry, which has been historically dominated by commercial banks. Information technology breakthroughs such as bi...

Authors: Jiaqi Yan, Wayne Yu and J. Leon Zhao

Editor’s Introduction

Authors: Gang Kou

Value of big data to finance: observations on an internet credit Service Company in China

his paper presents a case study on 100Credit, an Internet credit service provider in China. 100Credit began as an IT company specializing in e-commerce recommendation before getting into the credit rating busi...

Authors: Shaofeng Zhang, Wei Xiong, Wancheng Ni and Xin Li

Determining pledged loan-to-value ratio: an option pricing perspective

We investigated the determination of the pledged loan-to-value ratio in an optionpricing environment and mainly articulated the theoretical framework and analytical method.

Authors: Ran Zhang, Jing Zhang and Shuang Xu

Performance of Islamic and conventional stock indices: empirical evidence from an emerging economy

This study aims to investigate the extent to which the conditional volatilities of both Shari’ah compliant stock and conventional stock are related to those of interest rate and exchange rate in the emerging e...

Authors: Md Ejaz Rana and Waheed Akhter

A credit risk assessment model based on SVM for small and medium enterprises in supply chain finance

Supply chain finance (SCF) is a series of financial solutions provided by financial institutions to suppliers and customers facing demands on their working capital. As a systematic arrangement, SCF utilizes th...

Authors: Lang Zhang, Haiqing Hu and Dan Zhang

Cash holdings, corporate governance, and acquirer returns

The wealth effect of limiting shareholder rights via anti-takeover provisions(ATPs) is a contentious issue. By taking the differential effect hypothesis perspective, our study aims to provide additional eviden...

Authors: Seoungpil Ahn and Jaiho Chung

Invigorating foreign aid administration: remittances’ strategy, pro-poor and gender focus

The pitfall of top-down approach to development is identified as a major cause of aid inefficiency. The approach is fraught with corruption and unethical practices that have bedeviled aid administration. Meanw...

Authors: Adebayo Adedokun

Heterogeneous expectations, IPO Underpricing and issuing mechanism

Compared with the fixed-price mechanism, the bookbuilding mechanism has not changed the Chinese IPO high underpricing. How to develop scientific and reasonable IPO pricing, and reduce the high IPO underpricing...

Authors: Xiao-cheng Zhang, Miaomiao Zhang, Shao-an Huang and Yongsheng Zhou

The information content of financial survey response data

Market data for financial studies typically derives from either historical transactions or contemporaneous surveys of sentiment and perceptions. The research communities analyzing data from these opposing cate...

Authors: J Christopher Westland

Volatility spillover effect between financial markets: evidence since the reform of the RMB exchange rate mechanism

The volatility spillover effect between the foreign exchange and stock markets has been a major issue in economic and financial studies. In this paper, GC-MSV model was used to study the spillover effect betwe...

Authors: Zhengde Xiong and Lijun Han

Exploring the critical factors influencing online lending intentions

Online lending (P2P lending) is a type of internet finance mainly used to meet the financial needs of small and medium-sized enterprises and groups of individuals. It is a supplement to the traditional financi...

Authors: Peng Wang, Haichao Zheng, Dongyu Chen and Liangchao Ding

Economics of eBay’s buyer protection plan

This paper explores the financial viability of eBay’s Buyer Protection Plan.

Authors: J. Christopher Westland

Social credit: a comprehensive literature review

To avoid credit fraud, social credit within an economic system has become an increasingly important criterion for the evaluation of economic agent activity and guaranteeing the development of a market economy ...

Authors: Lean Yu, Xinxie Li, Ling Tang, Zongyi Zhang and Gang Kou

Harnessing Internet finance with innovative cyber credit management

In the last two decades, Internet technologies, such as cloud computing, mobile communications, social media, and big data analytics, have brought tremendous changes to our society and reshaped the business in...

Authors: Zhangxi Lin, Andrew B. Whinston and Shaokun Fan

Will high-frequency trading practices transform the financial markets in the Asia Pacific Region?

High-frequency trading (HFT) practices in the global financial markets involve the use of information and communication technologies (ICT), especially the capabilities of high-speed networks, rap...

Authors: Robert J. Kauffman, Yuzhou Hu and Dan Ma

A process model on P2P lending

Online peer-to-peer lending (P2P lending) is booming as the popularity of e-finance. To develop a conceptual model for the P2P lending process is great valuable for managers to tack the issues of marketing, ma...

Authors: Huaiqing Wang, Kun Chen, Wei Zhu and Zhenxia Song

Systemic risk management and investment analysis with financial network analytics: research opportunities and challenges

Recent economic crises like the 2008 financial tsunami has demonstrated a critical need for better understanding of the topologies and various economic, social, and technical mechanisms of the increasingly int...

Authors: Daning Hu, Gerhard Schwabe and Xiao Li

Editor’s introduction

Authors: Gang Kou