Examining market efficiency and integration of the Islamic stock indices / Noryati Ahmad.

The question of whether the stock market is efficient has been an ongoing debate among researchers. Generally, empirical evidence indicates that most conventional stock indices for developed countries are weak form efficient while inconclusive results are discovered for developing countries. With the growing importance of the Islamic capital markets that run parallel to the conventional stock markets, similar question arises as to whether these new Islamic capital markets are also efficient. Hence this paper aims to examine the weak form efficiency of the Islamic stock indices. Autocorrelation Function (ACF) test and Variance Ratio (VR) test are used to test the market efficiency of the Islamic stock indices from China, India, South Africa, Malaysia, Dubai, Qatar and Japan. The study uses daily data covering the year 2008 until 2012. In addition, this paper attempts to unveil the dynamic causal relationships among the Islamic capital markets. Bivariate Granger Causality test is employed to achieve the objectives. Interestingly only the Islamic stock indices for Malaysia and India are weak form efficient while the results of the Islamic stock indices for Qatar and Kuwait are not. The results of the other Islamic stock indices studied are inconclusive. Johansen multivariate cointegration tests reveal no long-term relationship among the Islamic stock indices. On the other hand, bivariate Granger Causality tests report short run co-movements between Islamic stock indices of Muslim countries and non-Muslim countries, an indication of growing interest of the Islamic financial markets among investors

Role conflict, work-family conflict and job satisfaction among single mother employees.

Despite previous studies on job satisfaction and its antecedents, few studies have explored the interrelationships between role conflict, work-family conflict and job satisfaction. The purpose of this study is to determine the effect of role conflict on job satisfaction, with work-family conflict as a potential mediator. Data were gathered from 159 Malaysian single mother employees, aged 45 and below, using self-administered questionnaires. Results of regression analyses indicate that work-family conflict serves as one of the mechanisms through which role conflict influences job satisfaction. Role conflict experienced at the workplace can increase the interrole conflict between work and family domains which in turn can reduce the level of job satisfaction. The findings suggest that to improve the job satisfaction of employees the management should avoid seeing the problem of work in isolation from the total life space of employees

Volatility behavior patterns and information transmission mechanism : evidence from Malaysian futures markets

This study employs bivariate ARMA(p,q)-EGARCH(p,q) model specifications model to investigate whether information between Malaysian futures and cash markets is transmitted through first moments or second moments or both. Using daily data, the study covers the period from January 2, 1990 until December 31, 2003. The study also investigates the effects of the Malaysian futures - cash market relationship in the light of international market interdependencies. More specifically, it looks at whether information from foreign futures markets of S&P SOO, HSIF and NSIF influence the futures-cash relationship and whether the effects come through price level or volatility or both. In addition, the study also looks at the volatility patterns of Malaysian futures markets in order to facilitate a better understanding of the volatility transmission process. Lastly, to determine whether this transmission of information process (be it within and across markets) is affected by structural changes, the sample period was sub -divided into pre-crisis, during-crisis and post-crisis periods. Results indicate that the volatility behavior patterns of FKLI and FCPO futures markets are highly persistent but mean-reverting. Volatility of these futures markets also reacted asymmetrically to its past innovations, where positive news caused higher volatility than negative news. Transmission of information between Malaysian futures and cash markets occurs at both returns and volatility level, where futures markets tend to dominate the cash market at both levels. Volatility transmission is not asymmetric when the interactions between the futures and cash markets are included. The error correction terms have significant predictive power on both the conditional mean and volatility of these futures markets. Findings show that domestic futures-cash relationship is being influenced by the information transmitted from foreign futures markets. As for the Malaysian stock index futures, S&P 500 futures is the information producer at return level, while HSIF futures is at volatility level. NSIF futures have no influence on the volatility of FKLI and its related cash market

Factors for Using Derivatives: Evidence From Malaysian Non-Financial Companies

This study attempts to uncover factors that could influence Malaysian non-financial companies to use derivatives to manage their risk. In addition, it also tries to identify the hedging theory that is relevant to the Malaysian market. Univariate statistics analysis indicates significance differences between derivative users and non-users of Malaysian non-financial companies. The findings from binary logistic regression reveal that only current ratios (LIQ2) and market-to-book value (MTBV) are the main factors influencing these companies to use derivatives. Additionally, this study suggests that the underinvestment cost hypothesis rather than the financial distress hypothesis that are commonly found in US and Australia companies. Keywords: derivatives, underinvestment cost hypothesis, financial distress hypothesis, market-to-book valu

analysing the price discovery function of crude palm oil futures (fcpo) before and after shari'ah-compliance

This paper examines the price discovery function of Malaysian crude palm oil futures (FCPO) before and after Shari'ah-compliance. The sample used in the study is composed of crude palm oil futures (FCPO) and crude palm oil (CPO) prices for the January 2007 until December 2011 period. The period is divided into two sub-periods: Period I (January 2007–July 2009) before Shari'ah-compliance and Period II (August 2009– December 2011) after Shari'ah-compliance. The results of the Augmented Dickey Fuller (ADF) and Philips Perrons (PP) unit root tests suggest that the CPO and FCPO series are integrated at first difference. Johansen's co-integration test indicates that FCPO and its underlying spot market (crude palm oil) for both periods are co-integrated, implying that there is a causal relation between the two markets. In period I, the estimated results of Vector Error Correction model (VECM) indicate a one-way causality direction from the CPO market to the FCPO market in the long run. This can be interpreted as a price discovery process that occurs from its underlying spot market to the FCPO market. Furthermore, the study observes that the price discovery function of the crude palm oil futures market is increasingly more prominent after the Shari'ah Advisory Board (SAC) classified the product as Shari'ah-compliant (Period II

Effective cross hedging: evidence from physical crude palm oil and its non-interrelated energy futures contracts / Ahmad Danial Zainudin, Noryati Ahmad and Fahmi Abdul Rahim

Recent researchers found that Crude Palm Oil Futures contract (FCPO) in Bursa Malaysia Derivatives is no longer an effective hedging tool to mitigate the price risk in cash market due to the excessive speculation trading activities. This is very alarming to the hedgers hence possible hedge pair alternatives to crude palm oil physical must be identified to ensure that the hedging can be executed effectively. Therefore in this study, Ordinary Least Square, bivariate VAR and bivariate VECM were used to examine whether the non-interrelated energy futures contracts could serve as effective cross-hedging mechanisms for the CPO. Weekly data of agricultural and energy futures contracts from Intercontinental Exchange (ICE), New York Mercantile Exchange (NYMEX), and Tokyo Commodity Exchange (TOCOM) are employed to cross hedge the physical crude palm oil prices. The study starts from 2006 until 2016. Empirical results indicate that bivariate VECM gives more hedging variance reduction. Surprisingly, overall FCPO is still the best futures contract for hedging purposes while Japanese crude oil futures (TOCOM) represents the energy futures market as the best cross hedge alternatives for CPO

Effective cross hedging : evidence from physical crude palm oil and its inter-related agricultural futures contracts / Noryati Ahmad … [et al.]

Since its establishment, Crude Palm Oil futures contract (FCPO) has been used to directly hedge its physical crude palm oil (CPO). However, due to the excessive speculation activities on crude palm oil futures market, it has been said to be no longer an effective hedging tool to mitigate the price risk of its underlying physical market. This triggers the need for market players to find possible alternatives to ensure that the hedging role can be executed effectively. Thus this investigation attempts to examine whether other inter-related grains and oil seed futures contracts could serve as effective cross-hedging mechanisms for the CPO. Weekly data of inter-related futures contracts from Chicago Board of Trade (CBOT) and Dalian Commodity Exchange (DCE) are employed to cross hedge the physical crude palm oil prices. The study starts from 2006 until 2016. Empirical results indicate that FCPO is still the best futures contract for hedging purposes while Chicago Soybean (CBOTBO) provides second best alternative if cross-hedging is considered

The mediating role of work-family conflict in the relationship between supervisor support and job satisfaction

With the increase in single mother employees, there has been an increased concern over the work-family conflict that they experience in trying to balance the demands of work and family roles. Recognizing the impact of the conflict on job satisfaction and the need for supervisor support, this study examines the interrelationships between these variables, and the mediating role of work-family conflict in the relationship between supervisor support and job satisfaction. Data were gathered from 159 Malaysian single mother employees, aged 45 and below, using self-administered questionnaires. Results of correlation analyses reveal that work-family conflict is negatively related to supervisor support (r=-.23; p<.05) and job satisfaction (r=-.35; p<.05), and supervisor support is positively related to job satisfaction (r=.19; p<.05). Results of regression analyses indicate that work-family conflict mediates the relationship between supervisor support and job satisfaction. Supervisor support leads to a reduction in work-family conflict (β=-.23; p<.05) which in turn leads to a reduction in the level of job satisfaction (β=-.32; p<.05). The results suggest the importance of providing social support at the workplace to help single mother employees reduce the conflict that they experience and subsequently increase their job satisfaction

The mediating effect of work-family conflict on the relationship between locus of control and job satisfaction

Problem statement: Based on the literature review, few studies have tested the mediating effect of work-family conflict on the relationship between locus of control and job satisfaction. Approach: This study tested a mediation model consisting of job satisfaction as the dependent variable, locus of control as the independent variable and work-family conflict as the mediator. Data were gathered from 159 single mother employees, aged 45 and below and having at least one child, using self-administered questionnaires. The data were analyzed using correlation and multiple regression analyses. Results: Results of correlation analysis revealed that locus of control was related to work-family conflict and job satisfaction and work-family conflict was related to job satisfaction.Results of a series of multiple regression analyses indicated that work-family conflict partially mediates the relationship between locus of control and job satisfaction. During the screening process of potential recruits, employers should take into consideration locus of control as one of the important dispositional characteristics of candidates. Employers should look into the possibility of designing training programmes to assist employees in taking more control of events in their work situations. Conclusion: Single mother employees who believe that they are in control of the events that happen in their lives seem to be more satisfied with their jobs and seem to experience less work-family conflict

Ficus deltoidea leaves extracts - promising therapeutic agent for oral candidiasis and denture stomatitis / Vivi Noryati Ahmad … [ et al.]

The aims of this study are to investigate antimicrobial and antibiofilm activities of Ficus deltoidea (F. deltoidea) leaves extract against Candida albicans (C. albicans). Methods: The antifungal activity was evaluated using minimum inhibitory concentration (MIC) and minimum fungicidal concentration (MFC). The potential of F. deltoidea leaves extract as antibiofilm agent was evaluated using biofilm inhibition assay and biofilm eradication assay. Chlorhexidine 0.12% (CHX) was used as a positive control. Each experiment was performed in triplicate and repeated four times independently. All the data obtained were analysed using SPSS version 23. Statistical significance measured using Kruskal Wallis test and post-hoc Mann Whitney test which presented as means ±SD with P value <0.001. Results: F. deltoidea extract showed antifungal activity against C. albicans with MIC and MFC, 50mg/ml and 100mg/ml respectively. The extract exhibited inhibitory effect on candida biofilm formation (69.5%). The preformed biofilm was significantly dispersed by extract upon 5 minutes treatment with eradication percentages 66.63%. The biofilm inhibition and biofilm eradication percentages for positive control CHX 0.12% were 43.0% and 58.97% respectively. Conclusion: Results of this study suggest the potential of F. deltoidea leaves extract as preventative and therapeutic agents against candida biofilm-related infections such as oral andidiasis and denture stomatitis