Capital Operation Research Articles

Research on the influence of financial capital operation of non-financial listed companies on profitability

After several decades of reform and opening up, the economy has developed rapidly, and the development speed of the real economy has slowed down gradually. In order to obtain sufficient funds in a short period of time to meet the production and operation needs, many enterprises carry out financial capital management, which has a certain impact on the profitability of enterprises. In addition, in order to study the impact of financial capital management on profitability, in this paper, relevant data of some non-financial listed companies from 2007 to 2013 in China was selected, and the multiple linear regression analysis was carried out. Through the analysis, it can be seen that the proportion of financial assets and the return on net assets shows a significant negative correlation, which means that there is a negative correlation between the financial capital operation scale of non-financial listed companies and the profitability of listed companies. Based on the empirical analysis, in this paper, the capital management and structure optimization proposal for improving enterprise profitability were proposed; which is of great significance to the development of enterprises and finance in China.

The impact of capital operation of commercial banks on risk management —— taking China construction bank as an example

Based on the original perspective of bank regulation capital constraint and economic capital constraint, the essay studies the effect of capital allocation of commercial banks on risk management. Taking China Construction Bank as an example, It collected the date of time series from 2006 to 2015. Under the supervision of capital ratio, and it carried out empirical research on the risk-taking behavior of commercial banks. According to the conclusion, the essay puts forward relevant policies for commercial banks and supervisory authorities in China.

The Impact of Macroprudential Supervision on the Capital Operation of Commercial Banks

Based on the 8320 observations in 40 quarters of 16 listed banks, this paper empirically analyses the macro-prudential supervision's impact on commercial bank's capital operation through the dynamic unbalanced panel system GMM model. The results show that macro-prudential supervision has exerted active supervision on China's commercial banks, guiding China's commercial banks to establish a capital restraint mechanism and improving the bank's internal capital supplement mechanism. The response of commercial banks to capital supervision is positive. The regulatory rating results influence the active adjustment of the bank's follow-on capital ratio. Commercial banks basically meet the requirements for prudent management of countercyclical capital. Based on the analysis of the data in the article, this paper suggests that the regulatory authorities further strengthen the bank's capital supervision and make the bank's macro-prudential supervision appear more counter-cyclical. At the same time, we must appropriately improve the banking ownership structure, increase the sources of external funds for commercial banks, and enhance the transparency of the financial system so that uninsured loan holders can play a significant role in binding banks.

Девальвация рубля: внешние шоки и внутренние проблемы

During the entire post-Soviet period of the Russian economy’ transformation, more or less regular crises of the monetary and financial system were observed, reflecting both the cyclical nature of domestic macroeconomic and institutional processes and the degree of their dependence on the volatility of global macroeconomic parameters. The article explores regularities of currency crises and describes general mechanisms of exchange rate stabilization. It is shown that there are important differences in the equilibrium exchange rate shift observed in 2018, which consist of the prevalence of preventive measures of indirect regulation over the impact of external shocks, which was the main cause of all previous monetary and financial crises. There are three possible explanations to why the ruble continues to devalue despite the lack of fundamental factors of weakening (and why the correction does not happen after the first panic wave). The first is the insurance for raw materials exporters against the loss of revenue due to devaluation of importers’ currencies. This concerns the European currency as well, since the EU is in the risk zone and is involved in the trade war with the USA. The second is that Russia and China are the vanguard of ‘anti-dollar putsch’. However, this anti-dollar crusade has no chance of staggering the dollar’s positions as the world currency any time soon. A considerable part of trade and capital operations will be conducted in dollars. The third is that a certain degree of national currency depreciation is a reserve of increase of money supply in Russia

Pakistan's persistent energy crisis and performance of private power producers

The study examines the linkage between profitability and working capital management of private sector power producers of Pakistan. The energy crisis resulted in increased reliance on independent power producers (IPPs), which lead to various financial irregularities. Data for a period of seven years (2008–2014) was collected from 11 IPPs listed on the Karachi Stock Exchange descriptive analysis, ANOVA, and regression analysis, along with trend analysis and other diagnostic tests, were deployed to examine the association between five working capital ratios and net operating profit. Net trading cycle, current assets and current liabilities were found to exhibit significant relationship with profitability of IPPs. The findings suggest that the persistent problem of circular debt can be minimised through supply chain excellence, which can be realised through vigilant selection of suppliers and vendors on the part of private power producers. Since working capital management significantly influences the performance of IPPs, the study persuades undertaking of taking corrective measures before pursing long-term goals of installing new units. Dynamic business model is recommended that enhances collaboration and brings financial viability to the power sector.

Оценка эффективности функционирования регионального экологического капитала Китая на примере использования эко-экономической зоны озера Поянху

Оценка эффективности функционирования регионального экологического капитала Китая на примере использования эко-экономической зоны озера Поянху

Режим и пути управления экологическим капиталом эколого-экономической зоны озера Поянху

Режим и пути управления экологическим капиталом эколого-экономической зоны озера Поянху

A Motif‐Based Analysis to Reveal Local Implied Information in Cross‐Shareholding Networks

Cross‐shareholding is a new type of strategic means for capital operation and is an important component of corporate governance. With the increasing complexity of business motivation, the structure of a cross‐shareholding network (CSN) is becoming more intricate, and it exposes various important local patterns with different economic functions. The goal of this paper is to uncover investment mechanisms and economic functions implied in cross‐shareholding networks (CSNs) by analyzing the local characteristic patterns of company interactions. In this paper, we construct the CSNs of listed companies and extract the directed triadic motifs to reveal the evolutionary characteristics of local investment patterns at the company and industry levels. On the company level, we find that companies tend to form V‐shaped structures with other companies, but bidirectional shareholding patterns and circular relationships in the triads are scarce. On the industry level, we identify the characteristic linking patterns of some industries with a role analysis of the industries. Furthermore, we detect the evolutionary characteristics of industry interrelationships in three implied patterns. Such a motif evolution analysis may provide valuable information for investors and supervisory departments that make decisions about investment portfolios and policy. Meanwhile, this study is also helpful for exploring the implied information in other empirical networks.

Research on the Relationship between R & D Investment and Corporate Value of “Unicorn” Companies: Based on the Financial Flexibility of Artificial Intelligence Company Data

In the modern era, the artificial intelligence industry has promoted the development of the economy with its own rapid development. Among them, financial management occupies a pivotal and indispensable position, especially the artificial intelligence industry in the “unicorn” corporate category. It relays on R & D investment, but there are still many uncertain factors in the capital operation process, such as capital structure, investment and risk management. All have greater uncertainty and risk which makes the requirements for the flexible use of financial management more stringent. It is necessary to look for a long-term perspective strategy suitable for the development of the company. Based on this background, this article proposes some existing problems in the current R & D investment from the perspective of financial flexibility and how to apply the advantages of financial flexibility reasonably to solve problems and achieve rapid development [1].

The Empirical Study on Affecting Factors of Capital Structure—To Listed Companies in Jiangxi Province as an Example

Jiangxi province comprehensive docking the national strategy of the Belt and Road and the Yangtze River economical belt during the period of 12th Five-Year Plan in china, it not only promoted the rapid development of listed companies in Jiangxi province, but also affected the capital structure of listed companies in Jiangxi province. Research shows that: Firstly, scale of capital structure of listed companies in Jiangxi province is significantly positive correlation. Secondly, asset collateral value of the capital structure of listed companies in Jiangxi province is significantly positive correlation. Thirdly, Enterprise's profit ability of capital structure of listed companies in Jiangxi province is significantly negative correlation. Finally, liquidity of capital structure of listed companies in Jiangxi province is significantly negative correlation. The research conclusions and suggestions in this paper can provide a reference for the capital operation of listed companies in Jiangxi province.

The Empirical Study on Factors Influencing Investment Efficiency of Insurance Funds Based on Panel Data Model

Investment efficiency of insurance funds reflects ability of capital operation of insurance companies, which is crucial of great importance to the continuous stable operation and long-term development of insurance companies. By using panel data of 23 insurance companies of China in 2007-2014 on an empirical study on relationship between investment efficiency of insurance funds and factors influencing investment efficiency, result shows that asset size is negatively correlated with using efficiency of insurance funds; fixed term deposit-rate has significantly negative effects on investment efficiency of insurance funds, long-term securities investment-rate does prominently positively; market share significantly improves investment efficiency; comprehensive operating fee-rate has a negative effect on investment efficiency, The quality of investment department staffs plays a positive role on investment efficiency, but results are not significant.

The Capital Operation Mechanism under the Guidance of Financial Logic and Its Criticism

In order to overcome the contradiction between private ownership of means of production and socialized mass production, capital adjusts itself constantly despite its private nature. The significant changes of capital in contemporary lie in broadening the private boundary of capital appreciation by using the functions of finance as raising and allocating social capital. Specifically, the finance separates the ownership and using rights of capital, making the enterprises gain a large amount of social capital. Therefore, the scale expansion of enterprises is mainly by means of external capital rather than its own accumulation like the way during the industrial revolution period, thereby enlarging the social nature of capital and giving the expansion mode leverage. In essence, the leveraged expansion can be seen as a manifestation of capital socialization. Social capital is collected by financial institutions from the public and is refunded to enterprises for expanded reproduction, which means that capital expansion is essentially driven by the masses of the society. However, the public is a decentralized force, inseparable from overall arrangement of financial institutions, and thereby financial institutions obtain the power of controlling the flow of capital. On the other hand, the use of leverage means the increase in external investors, which actually leads to the rise in interest subjects of capital and complicates the production relations. The multi-interest subjects raise the importance of the expectation of future economic benefits of the enterprises, and also are related to future expansion, making the cash flow that measures future business situation the core element of enterprise expansion. Therefore, the leverage expansion leads to cash flow as the core of capital operation instead of traditional commodity production and circulation. In essence, capital operation mechanism is dominated by financial logic, meaning another overcoming of self contradiction of capital. Capital is not static in form, and always abandons itself constantly with the development of the productive forces, in order to accommodate more advanced productive forces. Therefore, the financial logic of contemporary capital is to construct a social relation which is more consistent with capital multiplication by using the socialization nature of finance. Resulting capital operation mechanism expands private boundary of capital in form, alleviates the contradiction between developed productive forces and backward production relations, and amplifies the scope of capitalists and workers, thereby being beneficial to socialized mass production. However, the socialization of capital is embodied only in production and circulation and is more private in distribution. The dependence of capital expansion on financial system does not surpass the capital-labor” relation revealed by Marx, but reconstructs the order of surplus value allocation under the shadow of finance. As long as the capitalist mode of production continues to exist, the capital-labor” relation on which capital depends will not disappear.

Venture Funds as one of the Major Sources of Investment for Innovative Entrepreneurship in the Republic of Kazakhstan

The article presents the development of venture capital investment in the Republic of Kazakhstan within the context of analyzing foreign experience in the implementation and application of the methods, models, vehicles and schemes of venture capital investment in knowledge-intensive high-tech innovative enterprises. Kazakhstan is primarily interested in the experience of Western Europe and the USA, since the venture capital industry of these countries is the most developed as compared with venture investing investment in other countries. The goal of this article is to focus on studying of the theoretical and methodological foundations of venture capital investment, as well as on developing practical guidance on improving the development of venture capital operations in the Republic of Kazakhstan. Trying to achieve the above goal the following results have also been achieved: uncovering of the goal, essence and peculiarities of venture capital investment, as well as its role in the development of innovative projects; identification of current trends, patterns and contradictions in the development of the venture capital investment process; consolidation of the best practice in organizing venture capital investment in the Republic of Kazakhstan and abroad. The article offers practical guidance for enhancing the efficiency of venture capital investment in the Republic of Kazakhstan. First of all, it has been concluded that nowadays the country is in an urgent need for the formation of a new investment model providing for the creation of venture funds investing in business-plans and pilot teams.

The Impact of Capital Adequacy and Bank Operating Efficiency on Financial Performance of Nepalese Commercial Banks

This study aims at examining the impact of capital adequacy and bank operating efficiency on financial performance of Nepalese commercial banks. For the purpose of this study, the secondary data have been used. The dependent variables are return on assets and return on equity while the independent variables are loan ratio, bank operating efficiency, total deposit, loan loss provision/total loans, loan loss provision/equity, core capital, risk based capital and total capital ratio. The data are collected from the Banking and Financial Statistics, Bank Supervision Report published by Nepal Rastra bank and annual reports of selected banks for the period of 2005/6 to 2012/13. The regression models are applied to test the significance and importance of capital adequacy of commercial and development banks. The result shows that total deposits to total asset and banks operating efficiency are the major variables determinant of financial performance of commercial banks in Nepal. Bank operating efficiency, loan ratio, total deposit to total assets, loan loss provision to total equity have significantly positive impact on financial performance of commercial banks. Loan loss provision to total loan, core capital ratio, risk weighted ratio, total capital ratio have negative impact on financial performance of Nepalese commercial banks.

Extremum Seeking Control of Carbon Monoxide Concentration in Underground Coal Gasification

Coal gasification is a promising option for the future use of coal. Similarly to gasification in industrial reactors, underground coal gasification (UCG) produces syngas, which can be used for power generation or for the production of liquid hydrocarbon fuels and other valuable chemical products. As compared with conventional mining and surface gasification, UCG promises lower capital operating costs and also has other advantages, such as no human labour underground. The main goal of the study presented in the paper was to experimentally demonstrate the structure of optimal control system of lignite underground gasification which consists from stabilization and optimization level. This paper proposes an alternative extremum seeking control design technique for the solution of real-time optimization control problems in UCG by aim to maximize a content CO in syngas.

Epilogue: a discussion of the connections between youth sport and social capital

Several papers in this volume have explored some of the aspects of social capital operation in a youth baseball environment. In constructing the arguments, I have attempted to outline the significa...

\u201cGetting out of downtown\u201d: a longitudinal study of how street-entrenched youth attempt to exit an inner city drug scene

BackgroundUrban drug “scenes” have been identified as important risk environments that shape the health of street-entrenched youth. New knowledge is needed to inform policy and programing interventions to help reduce youths’ drug scene involvement and related health risks. The aim of this study was to identify how young people envisioned exiting a local, inner-city drug scene in Vancouver, Canada, as well as the individual, social and structural factors that shaped their experiences.MethodsBetween 2008 and 2016, we draw on 150 semi-structured interviews with 75 street-entrenched youth. We also draw on data generated through ethnographic fieldwork conducted with a subgroup of 25 of these youth between.ResultsYouth described that, in order to successfully exit Vancouver’s inner city drug scene, they would need to: (a) secure legitimate employment and/or obtain education or occupational training; (b) distance themselves – both physically and socially – from the urban drug scene; and (c) reduce their drug consumption. As youth attempted to leave the scene, most experienced substantial social and structural barriers (e.g., cycling in and out of jail, the need to access services that are centralized within a place that they are trying to avoid), in addition to managing complex individual health issues (e.g., substance dependence). Factors that increased youth’s capacity to successfully exit the drug scene included access to various forms of social and cultural capital operating outside of the scene, including supportive networks of friends and/or family, as well as engagement with addiction treatment services (e.g., low-threshold access to methadone) to support cessation or reduction of harmful forms of drug consumption.ConclusionsPolicies and programming interventions that can facilitate young people’s efforts to reduce engagement with Vancouver’s inner-city drug scene are critically needed, including meaningful educational and/or occupational training opportunities, ‘low threshold’ addiction treatment services, as well as access to supportive housing outside of the scene.

An Investigation of Innovative Mode of Crowd-Funding Publishing under the Background of "Internet+"

An important application of 'Internet+' in publication is 'crowd-funding publishing'. However, the development of crowd-funding publishing has encountered some bottlenecks nowadays, such as lacking of commitment to return, higher credit risk and so on. Weigongyi has made it transparent and known to public in financial management, which can make donors see the operation of the entire project funds and the progress of project implementation at any time, its high credibility let more people participate in donation more times. Kickstarter is a website with perfect business model, which has received more money so that more excellent selection of books can obtain funds to publish. It also allows investors to benefit at the same time and makes investment for many times. This paper analyzes the experience of the two in fund management in details, and put forward a new mode of crowd-funding publishing management suitable to China's book publishing. This model will improve the investors' right to know and the transparency of capital operation, it will also enhance the reliability of the funds to use.

Capital controls: World Experience and Lessons for Russia

The article investigates causes and consequences of the introduction of capital controls. The evolution of the views of international organizations on capital mobility restrictions including the revision of liberal views of economic community after the global financial crisis of 2008-2009, when it became clear that high capital mobility is one of the sources of imbalances in the financial sector, is examined. The main theoretical concepts, which take into account the advantages of openness and related macroeconomic risks, are presented, as well as the economic consequences of inflow and outflow of various types of capital flows, including foreign direct investment, portfolio investment, loans, etc., are analyzed. The evolution of capital controls in Russia, considered simultaneously with the dynamics of inflow and outflow of capital from the Russia, shows that the key factors in the movement of capital are the state of the Russian economy, as well as internal and external shocks, while the practice of using restrictions on the financial account has proved to be poorly effective. According to the analysis of theoretical concepts and international experience of functioning of economies in the face of restrictions on cross-border capital operations by the example of Brazil, Malaysia, Chile, India, China and other countries, as well as the study of the Russian practice in regulation of capital transactions, the authors conclude that capital controls can only be imposed in exceptional cases when it is necessary to mitigate the negative effects of shocks associated with changes in conditions of global financial markets. In this case, the advantage should always be given to macroprudential measures.

Inducing the internationalisation of family manufacturing firms from a transition context

PurposeThis paper aims to investigate the internationalisation inducement in family firms with domestic capital operating in a specific industry in a transition country. Examining the effect of entrepreneur-, firm- and context- specific factors, it provides an insight into the start of internationalisation via exporting and its initiating features.Design/methodology/approachThe study uses a qualitative research approach. Data were collected through semi-structured interviews from informants with conclusive decision-making power and analysed using a combination of inductive and deductive coding.FindingsThe findings show that the sample firms internationalise early exhibiting mostly proactive behaviour in finding international clients. Owner-manager international orientation and commitment combined with contacts in his or her social spaces lead to early export inducement despite the fusion of ownership and control, and regardless of transition context volatility and inefficiency.Research limitations/implicationsThe limitations include the sample size and its industry embeddedness limiting generalisability. The key implications are that family firms need support to develop their social spaces through encouraging and enabling linkages between socio-economic actors that can expand the bounded sociality of the firm.Originality/valueThe owner-manager orientation, objectives, commitment and characteristics, coupled with the straightforward decision-making process that is safeguarded by full family ownership, can abate the dissuading role of the perceived lack of institutional support for small and medium-sized enterprise internationalisation in a transition context.