The Long-Run Performance and Driving Forces of Securitised Listed Property

In a comparison between Australian and United Kingdom property markets this article re-examines the long run performance of securitised property and its relationship with the equity and fixed income markets. The results show that Australian Listed Property Trusts perform very well in both high and low interest rate environments and total investment returns have remained relatively stable over the last decade. The study also indicates that the United Kingdom Real Estate Management & Development companies seem to perform better than their Australian counterparts. Cointegration test results provide a different perspective on the relationship securitised property has with the bond and equity markets, and sheds new light on their long-run interaction. For instance the outcomes suggest that, if structural breaks are taken into consideration, then it appears securitised Real Estate Management & Development properties are driven by both interest rate and stock market changes. Somewhat surprisingly the fixed income market is not a long-run driving force of Australian Property Trusts, even though they utilised more long-term debt to finance their business operations

Analyst forecasts and stock price informativeness: some international evidence on the role of audit quality

Abstract not availableChee Seng Cheong, Ralf Zurbrueg

Can security analyst forecasts predict gold returns?

Abstract not availableGeorge Mihaylov, Chee Seng Cheong, Ralf Zurbrueg

Examining positive and negative value-in-use in a complex service setting

Purpose - This paper aims to advance research and practice on value, and more specifically value-in-use, by enhancing knowledge of not only positive but also negative value-in-use facets in a complex relational context, developing a psychometrically sound measure of these facets and evaluating their effect on various outcome measures across different customer segments. Design/methodology/approach - A three-stage study was undertaken in the professional service context of financial planning. Following a qualitative stage identifying positive and negative facets of value-in- use, a measurement scale was developed and tested, and extended analysis was undertaken through two quantitative stages. Findings - The findings provide converging evidence that clients in the study context realise value-in-use, defined in this study at a benefit rather than outcome level, through nine core facets, four positive (expertise, education, motivation, convenience) and five negative (monetary, time and effort, lifestyle, emotional [financial planner], emotional [situation]). While all nine facets impact on at least one of the investigated outcomes, results show that, overall, positive value-in-use facets outweigh the negative ones, with the impact of facets varying depending on client factors (such as customer participation and time to retirement). Originality/value - The primary contributions of this paper lie in the conceptualisation and measurement of both positive and negative value-in-use facets and their interplay in generating customer outcomes, as well as in the development of a psychometrically sound measure of this construct. Negative value-in-use facets have not been explored to date, despite consumers being sometimes more concerned with risks than gains. Furthermore, the research offers novel insight into the impact of both positive and negative value-in-use on relevant outcomes, while also offering evidence as to the importance of segmentation dimensions in this context.Jillian C. Sweeney, Carolin Plewa, Ralf Zurbrueg

An analysis of the long-run impact of fixed income and equity market performance on Australian and UK securitised property markets

Purpose Given the mixed findings in the literature, this paper aims to re-examine the relationship that the securitised property market has with both the fixed income and general stock markets in the UK and Australia from July 1998 to June 2006. Design/methodology/approach The base methodology is the cointegration procedure developed by Inoue in conjunction with the procedure developed by Johansen, Gonzalo and Granger that allows the extraction of permanent and transitory driving factors underlying cointegrated systems. In Australia both listed property trusts (LPTs) and real estate management and development companies (REMDs) are studied, while in the UK the analysis is restricted to REMDs due to the fact that real estate investment trusts were only introduced in 2007, hence providing insufficiently long series. Findings The Inoue test reveals that ignoring structural breaks in any cointegrating system may lead to erroneous inferences. In both Australia and the UK securitised property is influenced by the general stock market in both the long- and short-term. In Australia the fixed income market does not have a permanent influence on LPTs, despite the fact that LPTs use more long-term debt than REMDs

Does market power discipline CEO power? An agency perspective

We examine how product market competition (PMC) shapes chief executive officer’s (CEO) power. Using various measures to capture both PMC and CEO power, our analyses, which include a quasi‐natural experiment, find evidence that CEOs have less power when the product market is more competitive. Furthermore, the impact of PMC on CEO power is more pronounced for firms with entrenched management, lower CEO ownership, lower analyst coverage, and for firms experiencing good ‘luck’ (windfall performance). Our results suggest that market power can act as a substitute for corporate governance in disciplining CEO power, particularly when prone to agency problems.Anutchanat Jaroenjitrkam, Chia, Feng (Jeffrey) Yu, Ralf Zurbrueg

Bleomycin-induced lung injury assessed noninvasively and in spontaneously breathing rats by proton MRI

PURPOSE: To apply proton magnetic resonance imaging (MRI) techniques to assess noninvasively and in spontaneously breathing rats, structural changes following a single intratracheal administration of bleomycin (BLM). MATERIALS AND METHODS: Rats were scanned by MRI prior to BLM or vehicle administration and at six hours, 24 hours, week 1, and at weeks 2, 3, 6, and 8 after treatment. Bronchoalveolar lavage (BAL) fluid and histological analyses were performed at 24 hours, and at weeks 1 and 8 (histology only). RESULTS: Prominent MRI fluid signals were detected in the lungs of BLM-treated rats one week after challenge. These signals correlated with increased inflammatory parameters in BAL fluid and with marked perivascular and parenchymal infiltration with inflammatory cells in histological slices. At week 2 the MRI signals due to edema resolved, but nevertheless an increase in MRI signal intensity from the lung parenchyma was apparent. In some areas of the right lung the MRI signal intensity in the parenchyma decreased between weeks 2 and 8. These observations were in line with histology demonstrating collagen deposition and atelectasis (hallmarks of fibrosis) at week 1 and a partial recovery of the lung parenchyma at week 8. CONCLUSION: The data demonstrate the ability of proton MRI to detect BLM-induced lung fibrosis as well as the acute inflammatory response caused by the agent