Portfolio Diversification, Leverage, and Financial Contagion

This paper studies the extent to which basic principles of portfolio diversification explain "contagious selling" of financial assets when there are purely local shocks (e.g., a financial crisis in one country). The paper demonstrates that elementary portfolio theory offers key insights into "contagion." Most important, portfolio diversification and leverage are sufficient to explain why an investor will find it optimal to significantly reduce all risky asset positions when an adverse shock impacts just one asset. This result does not depend on margin calls: it applies to portfolios and institutions that rely on borrowed funds. The paper also shows that Value-at-Risk portfolio management rules do not have significantly different consequences for portfolio rebalancing than a variety of other rules. Copyright 2000, International Monetary Fund

Session 2-4-F: The Trials and Tribulations of Canadian Sports Gambling

Preview Historical context Illegal sports gambling Sports lotteries The push for legal single event sports betting Pros and Con

Investigation of the aerodynamic characteristics of a lifting body in ground proximity

The use of cambered hull shapes in the next generation of lighter-than-air vehicles to enhance aerodynamic performance, together with optimized take-off manoeuvre profiles, will require a more detailed understanding of ground proximity effects for such aircraft. A series of sub-scale wind tunnel tests at Re = 1.4 x 106 on a 6:1 prolate spheroid are used to identify potential changes in aerodynamic lift, drag and pitching moment coefficients that are likely to be experienced on the vehicle hull in isolation when in close ground proximity. The experimental data is supported by a preliminary assessment of surface pressure changes using a high order panel method (PANAIR) and RANS CFD simulations to assess the flow structure. The effect of ground proximity, most evident when non-dimensional ground clearance (h/c) < 0.3, is to reduce lift coefficient, increase drag coefficient and increase the body pitching moment coefficient

Gambling Addiction Defence on Trial: Canadian Expert Witness Perspectives

The American Psychiatric Association's evolving recognition of pathological gambling as a behavioral addiction (DSM-III, 1980; DSM-V, 2013) has occasioned increased use of the gambling addiction defence in criminal trials. Reflecting upon our experiences as expert witnesses in criminal and civil liability proceedings where gambling addiction was a significant factor, we a) describe the expert witness role; b) examine the links among frequent and intense EGM play, gambling addiction, and financially-based crimes; c) review how revisions to the Diagnostic and Statistical Manual influenced the Canadian judicial system response to such crime; and d) explore prospects for reducing criminal activity by addicted EGM players. We discuss how and why gambling addiction has become generally accepted as a mitigating factor in Canadian criminal trials. In this commentary we also analyze how the plight of addicted gamblers who resort to criminal behavior might be remediated by a) gambling-specific consumer protection measures; b) tighter regulatory control over the addictive elements of EGM play; c) the implementation of gambling courts; and d) a legislated duty of care owed by gambling providers to EGM players

Leadership Characteristics and Team Outcomes in the Development of a Marketing Web Page

Team structures are changing under the pressures of e-commerce and globalization. Today teams have to manage the challenges of working across functional boundaries, such as marketing and web development. In such an environment, research in the disciplines of management and psychology have found that shared leadership among team members may be superior to traditional leadership by a single team member, but this notion has not been tested in the contexts of marketing and web development. This paper presents the results of an empirical study showing that teams with shared leadership exhibited better performance and greater member satisfaction than teams with clear leaders. In addition, no relationship was found between the education, experience, Internet self-efficacy, or personal style of leaders and team outcomes of structure, performance, or satisfaction. This research suggests that the superiority of shared leadership found in the areas of management and psychology is applicable to teams in technical areas, such as web development and marketing. The reported study confirms previous research and applies it in an under-research context, marketing web page development

A sequence motif conserved in diverse nuclear proteins identifies a protein interaction domain utilised for nuclear targeting by human TFIIS

The three structural domains of transcription elongation factor TFIIS are conserved from yeast to human. Although the N-terminal domain is not needed for transcriptional activity, a similar sequence has been identified previously in other transcription factors. We found this conserved sequence, the LW motif, in another three human proteins that are predominantly nuclear localized. We investigated two examples to determine whether the LW motif is actually a dedicated nuclear targeting signal. However, in one of the newly identified proteins, hIWS1 (human Iws1), a region containing classic nuclear localization signals (NLS) rather than the LW motif was necessary and sufficient for nuclear targeting in HeLa cells. In contrast, human TFIIS does not possess an NLS and only constructs containing the LW motif were efficiently targeted to nuclei. Moreover, mutations in the motif could cause cytoplasmic accumulation of TFIIS and enabled a structure/function assay for the domain based on the efficiency of nuclear targeting. Finally, GST pull-down assays showed that the LW motif is part of a protein-binding domain. We suggest that the targeting role the LW motif plays in TFIIS arises from its more general function as a protein interaction domain, enabling TFIIS to bind a carrier protein(s) that accomplishes nuclear import