Short-term Investment Research Articles

Investment Time Horizons in Family Versus Non-Family Firms and Among Family Firms with Governance Heterogeneity: Evidence from China

Abstract Investment time horizons (i.e. long-term and short term) remain under researched within the context of family versus non-family firms. This phenomenon also requires taking a closer look at the governance heterogeneity among family firms as it can lead to differences among family firms in terms of the temporal nature of the investments. Drawing upon a goal-based theoretical framework, we hypothesize that family firms are more likely to engage in long-term investments; and simultaneously, less likely to engage in short-term investments compared to non-family firms. We also hypothesize that the idiosyncratic investment time horizon in family business is primarily captured by de novo or “born as” family businesses, rather than family firms privatized and transformed from state-owned firms. A longitudinal analysis of 34,079 firm-year observations from 4,101 listed firms between 2007 and 2020 yields interesting findings with significant theoretical and practical implications.

A holistic and sustainable approach to public health staffing and workforce development.

Public health in the United States faces a continuous cycle of "neglect, panic, repeat." As seen with 9/11, H1N1, and COVID-19, public health emergencies create a flurry of attention and resources, but once the crisis passes, focus quickly shifts to other matters until the next emergency, when the cycle repeats. This leaves the nation's public health system chronically under-resourced and ill-equipped to respond, resulting in a strained workforce that must remain nimble. Maintaining responsiveness to community needs requires a sustainable system with adequate worker supports. This perspective discusses findings from an assessment of short-term COVID-19 investments on long-term U.S. public health workforce needs, highlighting the need for a holistic approach to staffing and workforce development. Temporary staffing addressed immediate response needs, but presented challenges such as difficulties transitioning temporary staff into permanent roles and cohesively integrating temporary staff into ongoing agency operations, which often inadvertently increased administrative burdens on existing staff, exacerbating burnout and dampening morale. Ensuring a sustainable workforce necessitates innovative recruitment and retention strategies. Recommended strategies include holistic recruitment efforts in collaboration with community and academic partners, enhanced leadership training, staff compensation reviews, flexible work arrangements, and worker wellbeing initiatives. These findings guided the creation of the Putting Our People First Discussion Guide to empower agencies to engage workers in collective dialogue to improve workforce mental health, wellbeing, and retention. Bolstering a culture of worker wellbeing and retention alongside sustained funding and infrastructure is critical for the nation's public health agencies to effectively address current and future challenges.

Exploring the Role of Financial Assets in Enhancing the Performance of Nigerian Banks

The study looked at the impact of financial assets (FA) on the financial performance (FP) of Nigerian deposit money banks (DMBs) from 2013 to 2022 (10 years). The study's specific goal is to investigate the coexistence of financial asset measurements [Cash Equivalents (CE), Trade Receivables (TR), Loans and Advance (LAD), and Foreign Bank Deposit (FBD)] and [DMB FP as proxied by Return on Equity (ROE)]. The selected ten banks were picked from the pool of 18 deposit money banks listed on the Nigerian Exchange Group. They were examined through descriptive statistics, correlation analysis, and multiple regression analysis utilizing the OLS method. The findings indicated that capital equity (CE), liquidity asset density (LAD), and financial burden debt (FBD) have minimal impacts on return on equity (ROE); however, total revenue (TR) has a significant impact on ROE. Ultimately, the research revealed a strong correlation between financial assets (FA) and financial performance (FP) of deposit money banks in Nigeria. It is recommended that managers in the banking industry boost their allocation of cash holdings through cash planning (estimated forecast of cash position in the future) in order to maintain an optimal cash position level and improve their FP. Furthermore, treasurers must plan to invest idle capital in short-term investments such as treasury bills and interbank lending, which increases profitability and reduces fund costs.

Financial development and regional bank instability in the United States: An analysis of bank balance sheet structures

This article demonstrates that financial development in the United States has heightened the vulnerability of both sides of regional banks’ balance sheets to financial market fluctuations, drawing on the concept of financial circulation of bank deposits. It first argues that financial development provides diversified short-term investment channels for non-financial sectors to manage their liquid asset holdings. Since banks intermediate money circulation, changes in liquid asset portfolios inevitably result in sudden inflows and outflows of deposits to these banks. These deposit flows are highly clustered during specific financial phases and are subject to financial volatilities rather than local business cycles, making regional banks’ liabilities volatile with market fluctuations. Second, to mitigate increased deposit instability, regional banks hold a higher proportion of marketable securities to manage liquidity. But the mark-to-market nature of security prices further puts potential instability on the asset side of banks’ balance sheets. Extremely, the sudden volatility in the financial markets could simultaneously cause deposit flights and choke off refinancing capability, causing a bank run.

Data mining approach in detecting inaccurate financial statements in government-owned enterprises

he study aims to assess the capability of various data mining techniques in detecting inaccurate financial statements of government-owned enterprises operating in the Federation of Bosnia and Herzegovina (FBiH). Inaccurate financial statements indicate potential financial fraud. Prediction models of four classification algorithms (J48, KNN, MLP, and BayesNet) were examined using a dataset comprising 200 audited financial statements from government-owned enterprises under the supervision of the Audit Office of the Institutions in the Federation of Bosnia and Herzegovina. The results obtained through data mining analysis reveal that a dataset encompassing seven balance sheet items provides the most comprehensive depiction of financial statement quality. These seven attributes are: opening entry of accounts receivable, profit (loss) at the end of the period, operating assets at the end of the period, accounts receivable at the end of the period, opening entry of operating assets, short term financial investments at the end of the period, and opening entry of short-term financial investments. By employing these seven attributes, the MLP algorithm was implemented to construct the most precise predictive model, achieving a 76% accurate classification rate for financial statements. Leveraging the identified attributes, a mathematical model could potentially be formulated to effectively predict financial statements of government-owned enterprises in FBiH. This, in turn, could considerably facilitate the process of selecting GOEs for inclusion in the annual work plan of state auditors. Presently, due to resource constraints, government-owned enterprises in FBiH do not undergo regular annual scrutiny by state auditors, with only 10 to 15 such enterprises being subject to audits each year. The results of this research can also be beneficial to both the public and the Financial Intelligence Agency in the FBiH. The paper contributes to filling the gap in the literature regarding the applied methodology, particularly in the part concerning the attributes used in the research.

An A-Share Board Chasing Strategy Based on the JoinQuant Platform

The price limit system sets a limit on the price fluctuation of stock prices to ensure the stable operation of the securities market. Current research mainly focuses on the impact of various price limit policies on the stock market, but research on short-term investment strategies and methods for price limit stocks is still insufficient. Since the proportion of people who can get great investment returns in the Chinese stock market is very low, this paper aims to explore the stocks with good liquidity on the stopping stocks to construct investment strategies. In this paper, five important stock factors are identified through the multi-factor stock selection method, and then through the Join Quant platform with a back testing method, we finally get a good excess return and determine the value range of these five factors. Based on the above research, people can provide a good stop trading strategy for individual investors. This strategy can be called as a board chasing strategy, which can help investors to get high investment returns in a short period of time.

A Financial Comparative Analysis of Garment Enterprise

Under the environment of fast-growing economies, people start to learn more about the fundamental basis of our financial system. With people drawing more attention to the financial world, stock, the most popular and well-known financial security, appears to be involved in many people’s lives. Over 6000 companies issue stocks that are traded in the US stock market. Thus, choosing a healthy, potential, and well-developed company has become a heated topic in the financial world. For this reason, this article chooses three well-known and influential companies (Nike, Lululemon, and Chipotle) to analyze and compare performances of their stocks. By achieving the goal, this article combines the traditional fundamental analysis, which is based on the financial information from companies’ financial statements, with comparative analysis, which is based on the time horizon to evaluate stock’s performance under different time periods. In conclusion, conservative investors who invest in a longer time period can prefer Nike and Lululemon for their excellent financial numbers and good reputations, while short-term investors or technical day traders prefer to choose Chipotle for its predictability on the patterns on the chart.

Analysis of the Investment Value of Technology Companies

Since 2022, the US technology industry has been in crisis of recession. Under the influence of the sluggish macroeconomic environment and the Federal Reserve's interest rate hike policy, the exchange rate of the US dollar continues to rise. This has had a huge impact on the US real industry, as companies have to reduce staff . In addition, the application of artificial intelligence has driven a reshuffle in the US technology industry. Amid this situation, the stock prices of U.S. technology companies have been volatile. This study aims to build a feasible investment value analysis model for investors by combining the trend analysis of macroeconomic environment and industry environment with the analysis of public financial data, taking three technology enterprises as examples. Through the research, it can be seen that analyzing the financial data and open market information of enterprises can effectively quantify the short-term performance and investment value of enterprises, and the long-term value of enterprises can be obtained by combining macro analysis and valuation model. The research method in this paper can effectively help investors to conduct valuation analysis when the stock price of enterprises fluctuates, which can be improved in the future by combining statistical data.

Macroeconomic Analysis of the Investment Value of Individual Stocks in the Chinese Real Estate Market

Following several years of downturn in the Chinese real estate market, recent developments have introduced potential favorable opportunities for the market. The Chinese macroeconomic environment is heating up, providing a favorable backdrop for the development of the real estate sector. This article aims to combine the current development prospects of the Chinese macroeconomy and the real estate industry to offer stock recommendations. By comparing relevant data from the perspectives of risk, return, and market conditions, the article seeks to identify reasonable stock choices. This includes comparing the company's performance from various perspectives through market size, price fluctuations, returns, and momentum. Overall, among the three stocks analyzed, Vanke A and China Merchants Shekou display a stable upward trend and are suitable for long-term investment. They hold significant appeal for value investors, as the data suggests that these two stocks are clearly undervalued. Country Garden is in a period of adjustment with less favorable returns but could be considered for short-term investment.

Exploring the Impact of Social Media on Investment Behaviour of Young Investors

This study examines the influence of social media on the investment behaviour of young investors, focusing on its role in shaping investment preferences, such as the choice between short-term and long-term investments. Given the increasing use of digital platforms by young adults, social media is playing a pivotal role in shaping financial decisions. This study uses a combination of statistical analyses, including Chi-Square Test of Independence, Correlation Analysis, and Regression Analysis, to evaluate the relationship between social media influence and investment behaviours. The results suggest that social media significantly impacts the investment decisions of young adults, with those influenced by social media preferring short-term investments and displaying more active engagement in investment activities.

Effectiveness of Corporate Tax Incentives in Attracting Investments

Corporate tax incentives are widely used by developing nations to attract investments, stimulate economic activity, and drive industrial growth. This study investigates the effectiveness of these incentives in achieving their intended goals by analysing macroeconomic data from a diverse sample of developing economies over the past two decades. The research focuses on the relationship between tax policies and key investment indicators such as foreign direct investment (FDI), domestic capital formation, and economic growth metrics like GDP, employment, and productivity. Using a combination of panel data regression and time-series econometric techniques, the study identifies critical factors that mediate the success of tax incentives, including the quality of governance, infrastructure development, and ease of doing business. Preliminary findings suggest that while corporate tax incentives are effective in attracting short-term investments, their long-term impact on economic growth is contingent on broader economic and institutional frameworks. The analysis also highlights potential trade-offs, such as revenue loss and inequality, stemming from poorly designed tax policies. This paper contributes to the literature by providing empirical evidence on the conditional effectiveness of tax incentives and offering actionable policy recommendations. The findings aim to assist policymakers in designing balanced tax regimes that promote sustainable economic growth without undermining fiscal stability.

Investment Performance Analysis Of Debt Mutual Funds In India – A Quantitative Approach

Mutual funds are investments which allow the investor to have access to a wide range of securities. Among them the debt funds invest particularly in fixed income securities, which help the investor to balance the risk and return in his portfolio. Analysing any investment brings to light its current and future performance and its suitability to the investor. The study takes into consideration 15 schemes belonging to liquid funds, short term income funds and gilt funds. The performance is evaluated using Absolute Return, Standard deviation, beta, RSquared, Sharpe, Treynor and Jensen’s Alpha. The study concludes that the debt funds are more suitable for short term investments as the liquid and short-term funds are able to provide better risk adjusted returns. Moreover, the gilt funds are more prone to be affected by interest rate risk which will in turn lower the returns of the funds

Yield Available for Tourism from Short-Term Investments: Evidence from Angola

The present study aimed to contribute to a more informed view of the investment alternatives available in the Angolan financial market, which allow the realization of yields that can be channeled to consumer expenses such as those incurred in the context of tourism. To this end, a survey was carried out of the main valid alternatives for the investment of funds in the Angolan financial market, considering two possible alternatives: term deposits, with maturity of up to one year, and the purchase of securities: bonds and shares, also with maturity of up to one year. The main results indicate that in the short term, the alternatives that can provide the highest expected returns to potential tourists, who wish to use them for expenses related to tourism activities, are: term bank deposits at BIC, at an annual effective interest rate of 11.54% considering a daily capitalization period, and the purchase of shares in BODIVA.

Connectedness between green bonds, clean energy markets and carbon quota prices: Time and frequency dynamics

In this paper, we investigate the time and frequency dynamics of connectedness among green assets such as green bonds, clean energy markets, and carbon prices. Using daily price data, we explore return spillovers across these green financial markets by applying the novel framework on time and frequency dynamics proposed by Baruník and Krehlík (2018). This allows us to identify the direction of spillovers among our variables, and decompose the connectedness to differentiate between short-term and long-term return spillovers. Our results indicate that green bonds and carbon prices act as net receivers of shocks, but mainly in the short-term. We also observe a low level of connectedness among our clean energy markets across both low and high frequency bands, even during times of economic or political crisis. Additionally, there are periods in which connectedness between the clean energy assets is driven by the long-term. In periods of economic and political stability, carbon prices may also provide an interesting diversifying tool for short-term investors. Our results should be of interest for investors and portfolio managers who focus on green financial markets, by strengthening the notion that green financial markets can offer diversification opportunities, for both short-term and long-term investors. Policy makers could also benefit from our insights on conectedness in their work on short-term and long-term climate policies. This paper is the first to use this framework to investigate systematic risks within green financial markets.

Technology rhetoric and institutional ownership

Abstract This article compares actual R&D spend with the managerial rhetoric around technology and innovation contained within corporate disclosures of US-listed firms. We find that, whilst actual R&D spend and patents do not entice institutional investors to increase their stock holdings, firms that espouse technology and innovation in their corporate disclosures are quite successful in drawing in short-term investors. We frame this investor behaviour within the economics of expectation literature. While managers are incentivised to draw in capital, short-horizon investors are less likely to exert due diligence and are rather persuaded by a technology narrative—that is, a ‘gold rush’ effect. This explains our finding that when there is a sudden downturn with stock price crashes, short-term investors rush to withdraw their money from firms that ‘talk tech’. Our findings have implications for managerial rewards systems, especially when these encourage managerial hype.

Forecast of consumption of natural gas in U.S. based on time series analysis and ARIMA model

Natural gas is a widely used fossil fuel, playing a vital role in both industrial and economic sectors. As a widely used fossil fuel, the prediction of natural gas consumption is crucial for industrial and economics and hence many scholars have been researched on the topic. Due to the weather variation and the sensitivity of industrial demand, a precise consumption forecast is difficult. In the article, ARIMA model, a widely used model in time series analysis and forecasts would be considered in the prediction for consumption for future one year. It turns out that, in the next year, the consumption of natural gas in the coming year is stable and will stay at a still level and the overall trend of the series is increasing, with no significant short-term fluctuations. Therefore, the article suggested that long-term investment in industries related to natural gas is recommended. Besides, short-term investment is not suggested compared to the long-term due to the still level of the consumption within one year.

Optimizing Short and Long Term Investment Returns Using Multi-Armed Slot Machine Algorithms

This study focuses on comparing the effectiveness of UCB, Thompson sampling and Epsilon-Greedy algorithms in multi-armed slot machine algorithms for short-term and long-term investment return optimization in financial markets. This analysis examines stock performance data from Tesla, General Motors, and Ford over specific periods: five years of weekly data (2019-2024) and six months of daily data (February to August 2024). From the results, it is shown that for long-term investments, Over the five-year period, Thompson Sampling outperformed UCB and Epsilon-Greedy algorithms in terms of stability and overall return, demonstrating a consistent upward trend with fewer fluctuations. For short-term investments, although the UCB algorithm performs similarly to the Thompson sampling algorithm, the returns in the UCB algorithm grow progressively slower as the timeline is lengthened. In the six-month daily data analysis, the Epsilon-Greedy algorithm excelled in capturing short-term gains due to its aggressive exploration mechanism, though it also showed higher volatility in response to market fluctuations, and the algorithm should be chosen to be able to keep up with the fluctuations in the stock market in real time, and the investor should take into account the cost of time as well as changes in the market in order to formulate an optimal investment strategy.The findings of this study will provide a practical type of approach to investors when developing investment strategies. Future research will explore other classes of new algorithms and consider more market factors so that they can be better adapted to the complex investment environment in the future.

Business analysis and investment recommendation of Nike Corp

With the development of the economy, people’s demand for their health and leisure activities is constantly increasing, which provides many opportunities for Nike’s international development. However, the fierce competition of competitors and the turbulence of the financial market have caused a certain negative impact on it. The study aims to focus on the brand’s competitiveness in the market, business model and development strategy to evaluate whether it has the potential for sustainable development in today’s market. The method mainly comes from some Nike stocks and analyses the revenue data. The data sources are mainly financial data, market data and consumer data. After this preliminary analysis and data collection, this research will write out the performance of the company, which will be reflected by brand influence, brand management and product innovation. Finally, some relevant investment suggestions will be given in the later paragraph of the article, which are generally divided into long-term, short-term and diversified investments.

Investor horizon, experience, and the disposition effect

The disposition effect, characterized by the tendency to sell winning assets too soon and hold onto losing assets for too long, is a widely documented phenomenon among investors. Using granular trade-level data, we examine the disposition effect among different categories of foreign institutional investors (FIIs) in the context of an emerging market. Using survival analyses over several years, we find that short-term investors are most prone to disposition effects, while long-term investors are least prone. We also find that experience, as indicated by cumulative years in the market and the volume of stocks traded, mitigates the disposition effects, but only among long-term FIIs. While FIIs exhibit higher disposition effects during crisis periods, this effect is mitigated by experience, particularly among long-term FIIs. Our findings suggest that accounting for heterogeneity in institutional investors, rather than treating them as a whole, is important for a better understanding of financial markets.

The Dual Leverage and Mechanism of ESG Information Disclosure on Investor Behavior

Abstract: With the global emphasis on sustainable development, ESG information disclosure has become a key factor for investors to assess corporate value and risk. The academic value of this paper lies in an in-depth analysis of the reverse effect, which is not mentioned in most literature. It stands from the perspective of investors' investment purposes and interests, the attitudes of long-term investors who desire sustainable development and short-term investors who only care about immediate returns in a short period when facing ESG information disclosure. On the other hand, there are negative impacts on investors due to reasons such as government policy standards or the level of corporate ESG information disclosure itself, which may also prevent investors from achieving their expected goals, leading to investment risks and ultimately investors may flow out of the company. At the same time, some external factors can also lead to a dual leverage effect, such as the economic slowdown caused by the pandemic.