Investment Value Research Articles

An analysis of Risk Tolerance of Individual Investor using Gray Relational Analysis Method

Risk tolerance refers to an individual investor's inclination towards embracing fluctuations in investment values in pursuit of higher income. It reflects their capacity to endure such fluctuations and financial goals, time horizon and emotional comfort various including status influenced by factors. Personal preferences and investment choices with circumstances as it helps to regulate, informed investment decisions one's risk tolerance in taking understanding is important. financial situation, investment objectives, knowledge of the financial market, factors like experience, and emotional intelligence contribute to determining one's risk tolerance. Investors' risk tolerance is often assessed through questionnaires or evaluations conducted by financial advisors, which consider factors like attitudes towards risk, investment goals, time horizon, and financial situation. Based on the assessment, investors may be categorized into different risk profiles such as conservative, moderate, or aggressive, with corresponding investment strategies suggested accordingly. It's essential for investors to honestly evaluate and be realistic about their risk tolerance, as overestimating it may lead to excessive risk-taking and potential losses during market downturns, while underestimating it may result in overly conservative investment choices. Regular reviews of risk tolerance are recommended, especially in light of significant life events or market fluctuations. The concept of risk-return trade-off highlights that higher returns are typically associated with higher levels of risk, implying that investors expecting higher returns must be prepared to accept greater potential losses. However, risk tolerance isn't solely determined by financial factors; emotional elements such as fear, anxiety, and market sentiment also influence an investor's tolerance for risk and their behaviour during periods of volatility. Therefore, a comprehensive understanding of risk tolerance encompasses both financial considerations and emotional factors. the GRA (Grey Relational Analysis) approach at its inception, focusing on the concept of the gray gadget. This technique is particularly effective for selection problems involving multiple attributes within a component. The current literature highlights its applicability in addressing problems associated with multiple factors and variables, especially when dealing with complex relationships. The GRA approach is well-suited for resolving issues related to fixing problems, and various types of GRA techniques have been proposed in the field. The introduction of the GRA approach is both straightforward and environmentally friendly, making it a practical choice for addressing complex problems involving multiple variables. Investment Objectives, Time Horizon, Financial Situation, Knowledge and Experience and Liquidity Needs. Risk Assessment Questionnaires, Investment Experience and Knowledge, Financial Situation, Investment Goals and Emotional Attitude Towards Risk. the Rank of GRA for Risk Tolerance of Individual Investors. Liquidity Needs is got the first rank whereas the Low Risk Tolerance is having the Lowest rank.

Analisis faktor-faktor yang mempengaruhi harga saham dengan nilai perusahaan sebagai variabel intervening

This research to assess Solvability and Profitability and their effect on stock prices and business value, this study involves an analysis of several factors, including the Dept. to Equity Ratio, Return on Investment, Stock Price, and Price Book Value. Utilizing secondary data in the form of annual financial reports from 2020–2021, research was conducted on LQ45 companies. The analysis tool used is SmartPLS. The list of LQ45 business actors registered on the Indonesia Stock Exchange from 2020 to 2022 is the basis for selecting the research population. A total of 98 financial reports from 32 companies are included in the sample selected based on the research criteria. The analysis results indicated that Solvability affects the company's value, while profitability does not have an impact. Additionally, both profitability and solvability do not have a significant influence on stock prices. However, stock prices are significantly influenced by the company's value. Solvability and profitability ratios do not show any observable impact on stock prices when the company's value is used as a mediator.

A framework for the management of retail assets

PurposeThe retail investment landscape in the UK has drastically changed. Understanding owners’ responses to this structural change is critical to gain insight into protecting investment performance. This paper identifies and evaluates the tactics and strategies being adopted.Design/methodology/approachThis paper employs a mixed methods research approach, using data collected from semi-structured interviews with professionals involved in the retail investment process. This is supplemented by secondary market data analysis.FindingsThe paper assesses the practical responses made by retail property owners/managers, structured around emerging sub-themes. Actions include mitigating short-term risks through greater use of temporary tenants/licensees and independent retailers, preparing generic “white box” retail space to capture remaining tenant demand, exploiting the tenant mix to provide “the retail experience,” and applying new technologies and processes in a sector where systematic risk remains high. A new framework for retail asset management has been developed.Research limitations/implicationsThis study contributes to the retail asset management literature and understanding of the way the contemporary retail landscape is shaping investment management behaviour.Practical implicationsThe developed framework provides guidance to real estate managers developing a retail real estate management strategy and will help them recognise tactics to better support the evolving retailing market.Originality/valueThe new framework adds new insights to understanding the process for managing retail assets and the actions necessary for asset managers to address economic/functional obsolescence and sustain asset investment values.

Analysis of China Eastern Airlines Financial Statements Based on Harvard Analysis Framework

The financial analysis method adopted in this paper refers to the analysis method in the "Harvard Analytical Framework System". Through the business strategy of the enterprise, the accounting policies adopted, the analysis of the company's finances and the analysis of the company's prospects, etc. The business situation, financial situation and development situation were analyzed and elaborated.This paper takes China Eastern Airlines' financial statements as an example, combines the characteristics of the air transport industry, analyzes the company's financial status, operating results and cash flow, and systematically evaluates the company's past and present operating results and financial status, and judges the company accordingly investment value.

Financial risk propensity and investment decisions: An empirical analysis using behavioural biases

The study aims to determine the influence of behavioural biases on financial risk propensity. It also attempts to examine the influence of financial risk propensity on investment decisions and the mediational role of financial risk propensity on the relationship between behavioural biases and investment decisions. A survey by questionnaire method is adopted to collect data from 203 respondents using the purposive sampling technique among the investors. The study has found that prospect, herding, and heuristics dimensions of behavioural bias have a significant impact on financial risk propensity, and in turn, financial risk propensity has a significant impact on investment decisions. The results of the study can help to develop more realistic investment valuation models in light of the revised risk-return expectations of investors who act contrary to the traditional concept of rational utility maximisers.

Research on Investment in China's Soybean Futures Market - Taking Soybean No.1 Futures Contract as an Example

The Chinese futures market has made significant breakthroughs in the past few years. As the operating mechanism and market norms of China's futures market gradually improve, the Chinese futures market is becoming increasingly active. Soybean futures prices have seasonal volatility, this has attracted a large number of investors, but most futures investors lack professional investment analysis skills. This article will provide investment advice for soybean futures investors, and assist them in making appropriate decisions in investment. This article mainly summarizes the market trend of Douyi Main Company in 2023. This article first conducts a market analysis of the price trend of Douyi Main Company over the past year, describing its price trend for the year. Subsequently, this article conducts a fundamental analysis of the soybean futures market, exploring how various influencing factors have an impact on the price trend of soybean futures in 2023. Subsequently, this article summarizes the influencing factors of soybean futures price fluctuations through fundamental analysis results, the influencing factors include the status of domestic soybean spot inventory in China, prices of alternative agricultural products, and international market prices of soybeans. Finally, this article conducts market prediction and investment value analysis based on fundamentals, and provides investment recommendations for investors, this article predicts that the fundamentals of soybean futures will remain bearish in 2024, and their prices may further decline. Therefore, this article suggests that investors can consider short-selling near-month contracts and closely monitor market changes to close positions at the appropriate time.

Real options analysis of seawater desalination with solar photovoltaic energy systems: A least-squares stochastic perspective

Real Options Analysis (ROA) offers a modern theoretical framework to evaluate the impact of managerial flexibilities and uncertainties on the intrinsic investment value of renewable-powered desalination projects. This study analyzes Photovoltaic-powered Reverse Osmosis (PV-RO) desalination plants using a novel Least Square Monte-Carlo Real Options Analysis (LSMC-ROA) to assess the deferral of investment decisions. Three scenarios for powering RO are explored: reliance on the national grid with a subsidized electricity tariff for of $0.085/kWh, which applicable only to governmental sections in Saudi Arabia, full PV power with grid balancing ($0.083/kWh), and PV with a battery storage system (average electricity cost of $0.138/kWh). The presented modeling results reveal that considering the flexibility to defer and wait for new information, the total investment values would be $43.9 million, $59.6 million, and $30.5 million, respectively. Therefore, the optimal investment timing might be to defer investment to the second year. Additionally, the analysis reveals an unexpected outcome: a threshold salinity level for feedwater exists that can affect the economic viability of renewable-powered desalination. The proposed LSMC-ROA framework emerges as a robust tool for addressing uncertainties and assessing economic feasibility in the context of PV-RO desalination projects.

A Financial Analysis and Valuation on Nike, Inc.

As there are a great number of companies in the market, evaluation of a specific company is vital of importance nowadays. Therefore, this report will give a comprehensive financial analysis of Nike from four aspects: liquidity performance, solvency performance, profitability performance and investment performance. Initially, this analysis will give a brief introduction about Nike’s strategy, operations and some basic information. After that, liquidity performance indicates that Nike did a great job especially in the use of inventory and the discount capacity. Meanwhile, Nike also low financial risks and strong profitability compared with other four companies in the same industry in the solvency performance. Furthermore, Nike has an excellent cost control ability but still some improperly allocated of resources in some areas in the profitability performance. Not only this, Nike has the highest investment value among the four competitors in the same industry in the investment performance. As a whole, it could be seen from the financial analysis that Nike has quite strong competitiveness in this industry.

Value investment strategies based on the company’s marketing characteristics: Taking the Luxury Industry as an Example

Value investment strategies based on the company’s marketing characteristics: Taking the Luxury Industry as an Example

The Impact of Fintech Startups on Financial Institutions’ Performance and Default Risk

Introduction: It is highly important to understand the role of financial technology-based startups in the field of financial support. Thus, the study here aimed to investigate the job of fintech solutions or startups in the performance management of financial institutions and the process they use to mitigate risk in financial matters. Literature Review: The economic contraction was most likely the cause of the decline in the value of investments. Understanding the importance of operational efficiency, traditional financial institutions have embraced technology advancements to automate repetitive tasks, lower errors, and save costs. As a result, overall performance and cost-effectiveness have increased. Methodology: The method of data collection that has been selected to investigate the roles that fintech startups play in reducing financial risk is "primary quantitative." As a result, answers to a questionnaire consisting of 13 questions were gathered from 55 people. Findings and analysis: The statistical analysis revealed that the majority of responses were either in agreement or strongly in agreement. Given that the Pearson Correlation value is greater than 0.8, there is a strong correlation between each variable. Every hypothesis formulated during the initial stage of the study has been approved. Discussion: Fintech, which is a combination of finance and technology, uses cutting-edge methods and instruments to improve the overall effectiveness and resilience of risk management frameworks. However, fintech startups face a variety of obstacles along the way, but they are also presented with opportunities for innovation and growth on their optimization journey Conclusion: The adoption of fintech by financial institutions is expected to create a dynamic risk management landscape that can adjust to new opportunities and challenges in the constantly changing financial sector. The primary quantitative method was selected in order to collect the pertinent data for this investigation. Through statistical analysis, the gathering of quantitative data can assist in projecting real-time information.

Investment Feasibility and Strategic Development Scenarios of Yogyakarta-Bawen Toll Road

This study examines the feasibility of the investment in the Yogyakarta-Bawen toll road project by analyzing traffic conditions, expenditure costs, toll revenues, and investment value. Simulation using PTV Visum shows a significant increase in the volume-to-capacity ratio (VCR) on the national road sections around the toll road until 2061. The modeling result also indicates that the operation of the toll road reduces traffic loads on several surrounding national road sections with a decrease in VCR. The analysis results reveal a negative net present value (NPV) amounting to -Rp.506,560,648,100, and an internal rate of return (IRR) of 11.49% is under the discount rate (12.03%). In the tariff adjustment scenario, the project shows an IRR of 12.48% with an NPV of Rp 575,501 million, and the payback period (PBP) is achieved after 16 years. In the concession adjustment scenario, the IRR is 12.12% with an NPV of Rp 123,461 million, and the PBP is achieved after 17 years. Meanwhile, the tariff and concession adjustment scenario show an IRR of 12.48% with an NPV of Rp 652,033 million, and the PBP is achieved after 16 years. Based on the investment feasibility evaluation, the recommended best strategy is tariff adjustment. This strategy allows for an optimal increase in toll revenue and investment returns. It is expected that the Yogyakarta-Bawen toll road project can achieve better investment feasibility and provide long-term benefits to investors, road users, and the overall community.

Cashing in: cost-benefit analysis framework for digital hospitals

BackgroundFor many countries, especially those outside the USA without incentive payments, implementing and maintaining electronic medical records (EMR) is expensive and can be controversial given the large amounts of investment. Evaluating the value of EMR implementation is necessary to understand whether or not, such investment, especially when it comes from the public source, is an efficient allocation of healthcare resources. Nonetheless, most countries have struggled to measure the return on EMR investment due to the lack of appropriate evaluation frameworks.MethodsThis paper outlines the development of an evidence-based digital health cost-benefit analysis (eHealth-CBA) framework to calculate the total economic value of the EMR implementation over time. A net positive benefit indicates such investment represents improved efficiency, and a net negative is considered a wasteful use of public resources.ResultsWe developed a three-stage process that takes into account the complexity of the healthcare system and its stakeholders, the investment appraisal and evaluation practice, and the existing knowledge of EMR implementation. The three stages include (1) literature review, (2) stakeholder consultation, and (3) CBA framework development. The framework maps the impacts of the EMR to the quadruple aim of healthcare and clearly creates a method for value assessment.ConclusionsThe proposed framework is the first step toward developing a comprehensive evaluation framework for EMRs to inform health decision-makers about the economic value of digital investments rather than just the financial value.

Financial Investment Valuation Models for Photovoltaic and Energy Storage Projects: Trends and Challenges

Energy production through non-conventional renewable sources allows progress towards meeting the Sustainable Development Objectives and constitutes abundant and reliable sources when combined with storage systems. From a financial viewpoint, renewable energy production projects withstand significant challenges such as competition, irreversibility of investments, high uncertainty levels, and considerable investment amounts. These facts make their financial valuation fundamental for all the agents involved. Using the Web of Science (WoS) and Scopus databases, a scientometric analysis was carried out to understand the methods that have been used in the financial appraisal of photovoltaic energy generation projects with storage systems. The present research project was developed from 268 studies published between 2013 and 2023; tools such as Bibliometrix 4.1.3, VOSViewer 1.6.19, and Tree of Science 0.0.1a9 were used. Two main findings stand out: (i) the most used methods in the literature are the traditional ones, and within them, the levelized cost of energy has been used with greater frequency; and (ii) there is an interest in analyzing the investments of these systems for residences within the framework of distributed energy generation. Two gaps were found in the literature: (i) the studies that were carried out have not comprehensively incorporated the financial challenges faced by these investments; and (ii) the evaluation of these projects has not been addressed from the perspective of a utility-based power generator.

From test case to trusted tool: Lithuania’s evolving SWAT system for water and agricultural management

Lithuania’s development of the river modelling system (RMS) exemplifies an institutional development and application of integrated modelling for water and agricultural management. What started as a test case, continued to develop focusing on environmental compliance with the EU regulations. Currently, the RMS is a part of decision-making. By incorporating the soil and water assessment tool (SWAT) model and comprehensive data sources, the system facilitates in-depth analysis and policy formulation. Applications in water management plans, pollution assessments, and climate change studies demonstrate the reliability of RMS. Despite data quality and skill retention challenges, institutional commitment and collaboration ensure the RMS’s persistence. This experience emphasizes the value of sustained investment in integrated modelling systems for achieving sustainable environmental governance and signifies Lithuania’s shift towards data driven green transition practices.

Penentuan Goodwill Pendekatan Dua Kolom dengan Memperhitungkan Unsur Pajak Penghasilan pada Laporan Keuangan Kombinasi Bisnis

The assets and liabilities of the acquiree and the acquirer are combined because of the business merger. The value of goodwill will be recognized if there is a discrepancy between the entire investment value and the value of assets and liabilities recognized, or equity eliminated. Financial Accounting Standards No. 22 of 2014 solely considers the fair value of the net assets purchased for determining goodwill. The aim of this study is to define the amount of goodwill is determined using the two-column approach in PSAK 22 2014 when considering the income tax aspect of a business combination because, in accordance with the tax law, a business combination is an object of income tax. This study is qualitative descriptive that relies on doing literature reviews pertaining to the computation of goodwill. From the discussion's findings, it can be inferred that the acquirer would recognize more tax debt when assets and liabilities are combined, increasing goodwill. The calculation of goodwill when accounting for income tax components may be expressed algebraically: goodwill = consideration provided + prior ownership plus non-controlling interests plus taxes due minus net assets. Theoretically, the result is that the amount of goodwill recognized and recorded will increase in proportion to the amount of tax debt that is recognized when assets and liabilities are combined. The amount of tax that must be realized by the acquirer is implied managerially to be proportionate to the net assets that the acquirer has acquired.

Cash Flow and Its Components in Investment Valuation

Objective: The objective of this study is to provide a reflection on concepts and techniques used in investment analysis and evaluation with the aim of contributing to their clarification, as well as their practical application. Theoretical Framework: The article begins with a brief review of the literature on the concept of cash flow, continuing with the suitability of the concept in investment analysis and a detailed analysis of its components from a theoretical and practical point of view, in the context of investment appraisal. Method: The descriptive research method was used, as it is the most appropriate to the objective, making it possible to analyze the values relating to an investment project, as a way of demonstrating the validity and relevance of the concepts presented. Results and Discussion: Details are given of how the periodic cash flow portions are constructed, how the value of the components is determined for the times after the time of analysis and their transformation into equivalent values that make it possible to transform the periodic values into the project's cash flow. Conclusion: The concept of cash flow was discussed and clarified, emphasizing the temporal consideration of periodic non-addable cash flows. An example was given of how periodic cash flows can be determined beyond the study periods in concrete situations involving investments in real assets.

Overview of Sales and Investment of Generık Drugs "X" Pharmacy, Kampung Satu District, Tarakan City Using ABC Analysis in 2022

Pharmacies as health facilities and businesses, require good management to avoid shortages or excess stock of medicines. This research aims to optimize generic drug inventory management at pharmacy "X" using the ABC method. Using a quantitative and retrospective descriptive approach, generic drug sales data for the period January- December 2022 were analyzed. As a result, Group A consisted of 23 drug items with a total sales transaction of 5,877 (69.89%), Group B consisted of 28 drug items with a total sales transaction of 1,654 (19.67%), and Group C consisted of 71 items with the number of sales transactions was 878 (10.44%). In terms of investment value, Group A consists of 31 medicinal items with an investment value of Rp. 39,058,600 (69.63% of the total), Group B consists of 33 medicinal items with an investment value of Rp. 11,290,000 (20.13% of the total), and Group C consists of 58 medicinal items with an investment value of Rp. 5,743,300 (10.24% of the total). The ABC method can optimize generic drug inventory management at pharmacy “X”, enable prioritization based on sales frequency and investment value, and increase efficiency.

Overview of Over-the-Counter Medicine Sales and Investment at "X" Pharmacy, Karang Anyar District, Tarakan City Using ABC Analysis Year 2022

Drug management includes planning drug availability, including type, amount, quality, and quantity, to increase efficiency. One method used in drug planning is ABC or Pareto. This research aims to look at the sales and investment picture of over-the-counter OTC drugs at Pharmacy "X" using ABC analysis based on sales data for 2022. This research is a quantitative descriptive research, the retrospective data obtained was analyzed using Microsoft Excel® with the ABC method. The OTC drug data obtained was then classified into 3 groups, namely A, B, and C with cumulative percentages for groups A (70%), B (20%), and C (10%) of the sales or investment value. Based on the results of the analysis, it was found that drugs with sales value in group A contained 147 items of medicine with an investment value of Rp. 381,662,590 (69.91%). Meanwhile, group B contained 164 medicinal items with an investment value of Rp. 109,472,850 (20.05%). Meanwhile, for group C there are 305 items of medicine with an investment value of Rp. 54,790,100 (10.04%). The research conclusion shows that category A dominates the investment value, while category C has a lower investment contribution even though the number of types of drugs is greater.

Influence of Moderation Leverage on The Relationship Between Profitability and Firm Value

Capital market investors anticipate their investments will appreciate and progress in line with their investment objectives, specifically to enhance investor well-being. The investment value appreciates when the issuer's share price or firm value rises. Several variables can impact the value of a company, with profitability and leverage being two significant influences. Prior studies have presented empirical proof that a firm's profitability and leverage can impact its value. This study examines the moderating impact of leverage on the association between profitability and company value. The study employed data from companies listed on the Indonesia Stock Exchange between 2019 and 2021. Currently, there are no studies that have investigated the impact of leverage as a moderating factor on the relationship between profitability and firm value. The data analysis revealed a strong positive correlation between profitability and firm valuation. Significant leverage levels have a considerable negative effect on a corporation's value. The interaction variable of profitability and leverage has a minimal effect on the relationship between profitability and firm value. The test results suggest that leverage modifies, diminishing the link between profitability and company value. However, it is essential to note that leverage is not demonstrated to be a substantial moderating variable in this relationship.

ANALISIS PENGARUH PERTUMBUHAN PENDUDUK, TENAGA KERJA, INVESTASI, DAN INFLASI TERHADAP PERTUMBUHAN EKONOMI KABUPATEN/KOTA DI PROVINSI JAWA TENGAH TAHUN 2015-2019

Economic growth is having a role in reflecting the success of the development of a region, economic growth itself is the increase in goods produced by economic actors at a certain time where this behavior is carried out to carry out economic activities. This economic activity which later makes a profit so that it becomes the capital to carry out other activities such as development which includes starting from social, economic and cultural issues as a whole. Economic growth is also a reflection that government policies are running properly and should be the targets that must be achieved in a certain period which is usually five years. The purpose of this study is to analyze the effect of population growth rate, labor, investment value and inflation rate on economic growth in Central Java Province city or district. The analytical tool used is OLS from 2015 to 2019.The results of the study explained that the variables that affect economic growth in Central Java Province city or district have different effects where the number of population growth has a positive and significant effect, labor has a positive and insignificant effect, investment has a positive and insignificant effect, and inflation has a negative and negative effect. not significant.