Non-Traded Asset Valuation with Portfolio Constraints: A Binomial Approach

Cet article développe un modèle binomial d'évaluation des titres dérivés américains en présence de contraintes d'investissement. Les politiques optimales d'investissement et d'exercice du titre dérivé non-marchandé sont résolues de manière simultanée . La contrainte d'absence de ventes à découvert se manifeste sous forme d'un dividende implicite portant sur le processus neutre au risque de l'actif sous-jacent. Une des conséquences est l'optimalité possible de l'exercice avant l'expiration du contrat même lorsque l'actif sous-jacent ne paye pas de dividendes. Une application à l'évaluation des options de compensation des cadres d'entreprises est présentée. Nous étudions également l'évaluation de titres basés sur un prix qui est imparfaitement corrélé avec le prix d'un actif transigé.We provide a simple binomial framework to value American-style derivatives subject to trading restrictions. The optimal investment of liquid wealth is solved simultaneously with the early exercise decision of the non-traded derivative. No-short-sales constraints on the underlying asset manifest themselves in the form of an implicit dividend yield in the risk neutralized process for the underlying asset. One consequence is that American call options may be optimally exercised prior to maturity even when the underlying asset pays no dividends. Applications to executive compensation options are presented. We also analyze non-traded payoffs based on a price that is imperfectly correlated with the price of a traded asset

Interplay of 4f-3d Magnetism and Ferroelectricity in DyFeO3

DyFeO3 exhibits a weak ferromagnetism (TNFe ~ 645 K) that disappears below a spin-reorientation (Morin) transition at TSRFe ~ 50 K. It is also known that applied magnetic field induces ferroelectricity at the magnetic ordering temperature of Dy-ions (TNDy ~ 4.5 K). Here, we show that the ferroelectricity exists in the weak ferromagnetic state (TSRFe < T < TN,C) without applying magnetic field, indicating the crucial role of weak ferromagnetism in inducing ferroelectricity. 57Fe M\"ossbauer studies show that hyperfine field (Bhf) deviates from mean field-like behaviour that is observed in the weak ferromagnetic state and decreases below the onset of spin-reorientation transition (80 K), implying that the Bhf above TSR had additional contribution from Dy-ions due to induced magnetization by the weak ferromagnetic moment of Fe-sublattice and below TSR, this contribution decreases due to collinear ordering of Fe-sublattice. These results clearly demonstrate the presence of magnetic interactions between Dy(4f) and Fe(3d) and their correlation with ferroelectricity in the weak ferromagnetic state of DyFeO3.Comment: 5 pages, 6 figures, published in EP

Field-induced Polar Order at the N\'eel Temperature of Chromium in Rare-earth Orthochromites: Interplay of Rare-earth and Cr Magnetism

We report field-induced switchable polarization (P = 0.2 ~ 0.8 microC/cm2) below the N\'eel temperature of chromium (TN Cr) in weakly ferromagnetic rareearth orthochromites, RCrO3 (R=rareearth) but only when the rareearth ion is magnetic. Intriguingly, the polarization in ErCrO3 (TC ~ 133 K) disappears at a spin reorientation (Morin) transition (TSR ~ 22 K) below which the weak ferromagnetism associated with the Cr sublattice also disappears, demonstrating the crucial role of weak ferromagnetism in inducing the polar order. Further, the polarization (P) is strongly influenced by applied magnetic field, indicating a strong magneto electric effect. We suggest that the polar order occurs in RCrO3, due to the combined effect of poling field that breaks the symmetry and the exchange field on R ion from Cr sublattice stabilizes the polar state. We propose that a similar mechanism could work in the isostructural rareearth orthoferrites, RFeO3 as well.Comment: 31 pages (Manuscript(6 figures)+supplemental information(8 figures)

Non-Traded Asset Valuation with Portfolio Constraints: A Binomial Approach

We provide a simple binomial framework to value American-style derivatives subject to trading restrictions. The optimal investment of liquid wealth is solved simultaneously with the early exercise decision of the non-traded derivative. No-short-sales constraints on the underlying asset manifest themselves in the form of an implicit dividend yield in the risk neutralized process for the underlying asset. One consequence is that American call options may be optimally exercised prior to maturity even when the underlying asset pays no dividends. Applications to executive compensation options are presented. We also analyze non-traded payoffs based on a price that is imperfectly correlated with the price of a traded asset. Cet article développe un modèle binomial d'évaluation des titres dérivés américains en présence de contraintes d'investissement. Les politiques optimales d'investissement et d'exercice du titre dérivé non-marchandé sont résolues de manière simultanée . La contrainte d'absence de ventes à découvert se manifeste sous forme d'un dividende implicite portant sur le processus neutre au risque de l'actif sous-jacent. Une des conséquences est l'optimalité possible de l'exercice avant l'expiration du contrat même lorsque l'actif sous-jacent ne paye pas de dividendes. Une application à l'évaluation des options de compensation des cadres d'entreprises est présentée. Nous étudions également l'évaluation de titres basés sur un prix qui est imparfaitement corrélé avec le prix d'un actif transigé.American options, executive compensation options, optimal exercise time, portfolio constraints, non-traded asset, private valuation, certainty-equivalent, liquidity, risk aversion, Options américaines, options de compensation de dirigeants, temps d'exercice optimal, contraintes de portefeuille, actif non-marchand, valeur privée, équivalent certain, liquidité, aversion au risque

Spin-phonon coupling in multiferroic RCrO3_3 (R-Y, Lu, Gd, Eu, Sm): A Raman study

Raman study on a select few orthochromites, RCrO$_3$ (R = Y, Lu, Gd, Eu and Sm) shows that the phonon behavior at TN in compounds with magnetic R-ion (Gd and Sm) is remarkably different from that of non-magnetic R-ion (Y, Lu and Eu). While anomalies in most of the observed phonon frequencies in all these compounds may result from the distortion of CrO$_6$ octahedra due to size effect and magnetostriction arising from Cr-ordering, the anomalous behavior of their linewidths observed at TN for the compounds with only magnetic R-ion suggests spin-phonon coupling. The presence of spin-phonon coupling and the anomalies in the low frequency modes related to R-ion motion in orthochromites (R = Gd and Sm) support the suggestion that the coupling between 4f-3d moments play important role in inducing switchable electric polarization.Comment: 6 pages (two column format), 7 figures; The updated version of the manuscript can be found at Euro. Phys. Lett. 101, 17008 (2013

Reluctance to use technology-related products: Development of a technophobia scale

Many consumers feel overloaded by the complexity of technology-related products. This renders consumers less open and may even lead to an aversion or anxiety towards this kind of products, so-called technophobia. The prevailing paper aims to establish an instrument which measures technophobia. Following a literature review and in-depth interviews with experts, a scale is developed and tested in seven different countries (U.S., U.K., France, Spain, India, Mexico and Austria, total sample size = 1503 respondents). The three underlying dimensions of the scale, namely, "Personal Failure", "Human vs. Machine Ambiguity" and "Convenience" are discussed and future research avenues to strengthen the cross-national usability of the scale are identified

Does gravitational wave propagate in the five dimensional space-time with Kaluza-Klein monopole?

The behavior of small perturbations around the Kaluza-Klein monopole in the five dimensional space-time is investigated. The fact that the odd parity gravitational wave does not propagate in the five dimensional space-time with Kaluza-Klein monopole is found provided that the gravitational wave is constant in the fifth direction.Comment: 10 @ages, LATE

Investigation of biferroic properties in La0.6Sr0.4MnO3/0.7 Pb(Mg1/3Nb2/3)O3 0.3 PbTiO3 epitaxial bilayered heterostructures

Epitaxial bilayered thin films consisting of La0.6Sr0.4MnO3 (LSMO) and 0.7 Pb(Mg1/3Nb2/3)O3 0.3 PbTiO3 (PMN-PT) layers of relatively different thicknesses were fabricated on LaNiO3 coated LaAlO3 (100) single crystal substrates by pulsed laser ablation technique. Ferroelectric and ferromagnetic characteristics of these heterostructures confirmed their biferroic nature. The magnetization and ferroelectric polarization of the bilayered heterostructures were enhanced with increasing PMN-PT layer thickness owing to the effect of lattice strain. Dielectric properties of these heterostructures studied over a wide range of temperature under different magnetic field strength suggested a possible role of elastic strain mediated magnetoelectric coupling behind the observed magneto-dielectric effect in addition to the influence of rearrangement of the interfacial charge carriers under an applied magnetic field