The relevance of capital structure theories to consumer product firms at bursa Malaysia / Abdul Razak Abdul Hadi, Jaafar Pyeman and Ahmad Kasyidi Ismail.

This paper examines the relevance of Capital Structure Management theories to the value of consumer product firms listed at Bursa Malaysia. Within the framework of Modigliani-Miller and Trade-Off theories, this paper uses Generalized Method of Moments (GMM) as an estimation model employing yearly panel data from the year 2010 to 2014. The test results from GMM indicate that earnings per share (EPS) and debt-equity ratio (D/E) have no significant relation with the firm’s value as represented by the closing price per share (CP). Even though the findings are rather alarming, one must admit that the Modigliani-Miller and Trade-Off theories are irrelevant to those consumer product companies at Bursa Malaysia. Perhaps, this is an indication that the efficient market hypothesis applicable to certain sectors at Bursa Malaysia

Modernizing waqf performance evaluation by waqf management efficiency index / Jaafar Pyeman, Hazriah Hasan and Ismail Ahmad.

A strong Waqf system will not only complete the equality for a comprehensive Islamic financial system that supports a more equitable distribution of wealth to ensure justice, it will also use Islamic financial services, particularly in the management and investment of the Waqf funds. Waqf assets in Malaysia are set under the legislation of the religious authority in each state. The diversity of Waqf assets resulted to the disuniformity of Waqf administration and management, and a huge gap existed in the collection and distribution of Waqf funds. This paper aims to measure the efficiency scores of Waqf departments in all states that run Waqf funds in their State Islamic Religion Councils (SIRCs). Data envelopment analysis (DEA) can best measure the Waqf management efficiency (WME) index measurement. In assessing the technical efficiency score of each state, WME index using DEA analysis was applied with the consecutive periods of years of the whole state precisely. The findings showed that the most improving Waqf department of SIRCs is Penang state, which has seen increasing WME Index in four periods of investigation; therefore, this state became the benchmark for the rest of the states in Malaysia

Effect of Structural Break on Financial Development and Economic Growth Nexus in Middle-Income Countries in Asia: Moderating Role of Technological Advancements

Asian countries have experienced many financial catastrophes and pandemics in the past couple of decades. Therefore, evaluating the effect of structural breaks on economies has taken substantive attention in the empirical literature. Thus, this study aims to investigate the effect of structural breaks on the Financial Development (FD) and Economic Growth (EG) of middle-income countries in Asia. The study considered the global financial crisis of 2008 as a key structural break. The sample consisted of 24 middle-income countries while the sample period was 20 years from 2000 to 2019. Technological Advancement was considered a moderator variable that facilitate the smooth functioning of the FD and EG. Structural Break was identified using the "xtbreak" function and the effect was analyzed with panel unit root, panel homogeneity test and short panel cointegration. The findings revealed that before the structural break, FD and moderator variables were the only significant variables but after the structural breaks, Human Capita and Private Consumption also have become significant. FD had a significant negative influence over EG before and after the structural break but the moderator variable had a positive influence. HC was not a significant factor before the structural break but has become significant after the economic downturn with a positive influence on EG. In contrast, PC shows a negative influence after the structural breaks. Hence, it guides the policymakers to decide on reducing investments for FD and direct funds to HC development and developing the technology. Moreover, they must consider making policy decisions to reduce PC

A study on the dynamic relations between macro economic variables and stock market performance / Huzaimi Hussain, Jaafar Pyeman and Mohd. Mokhtar Ghani

The purpose of this study is to investigate the dynamic relationship between stock market performance and macroeconomic variables in Malaysia. The Kuala Lumpur Composite Index (KLCI) is used to proxy for the stock market performance and macroeconomic variables employed are three-month treasury bills rate, inflation rate, and economic growth as measured by gross domestic product. This study utilizes cointegration and causal relationship approach to accomplish the research objectives. The findings from this study exhibit that there are long run cointegration relationship between stock market performance and macroeconomic indicators. Moreover, results of further analysis generally show that all the indicators have substantial impacts on KLCI with the most immediate impact coming from treasury bills rate. In addition it is shown via the variance decomposition procedure that treasury bills rate is highly exogenous. The major policy implication of this study is that market performance can be monitored by Central Bank through treasury bills rate

Dynamic relationship between sector-specific indices and macroeconomic fundamentals / Jaafar Pyeman and Ismail Ahmad

This study focuses on the issue of long-run and short-run relationships between sector-specific indices of Bursa Malaysia and macroeconomic variables. The traditional variable under observation in analyzing stock market performance has been an aggregate stock market index. However, the application of an aggregate index could lead to misleading interpretation on the actual performance of each sector in Bursa Malaysia. Therefore, the main objective of this study is to analyze the dynamic properties of the relationship between sector-specific indices of Bursa Malaysia and macroeconomic variations. The sectoral indices of Bursa Malaysia selected for this study are namely, Construction, Plantation, Consumer Product, Finance, Industrial Product, Mining, Hotel, Property and Trading and Services. The macroeconomic variables are represented by real economic activity, interest rate, inflation rate, money supply and exchange rate. The monthly data series of the macroeconomic variables and stock market indices are obtained for the period from 1993 to 2006. This study has identified various trends of responses among the sector-specific indices towards the innovation in macroeconomic variables. The results suggest that unanticipated changes in macroeconomic variables could lead to similar patterns in some of the sector-specific indices with the effects differing mainly in terms of speed of adjustments towards equilibrium level in the long-run

Current State and Issues of Logistics Cost Accounting and Management in Malaysia

Background: Logistics cost is an important factor affecting the competitiveness on both macro (national) and micro level (firms). Logistics cost indicates the performance of logistics industry, efficiency level and its competitiveness. Research Problem: Despite of its significance, current state of logistics cost accounting and management in Malaysia has not properly addressed and the issues surround logistics cost measurement remains incoherent. Aim of research: The purpose of this study is to give an overview of the current state and issues of logistics cost accounting and management in Malaysia. Research Method: This study used content analysis as a qualitative research tool, and supported by literature material with regards the concerned research tool. Findings: This study has found the importance of having standard logistics cost accounting measurement, which plays a vital role in determining the accuracy of the logistics cost and ascertain the efficiency level of logistics industry in Malaysia. Implication: This study leads to trigger the awareness of current state and issues of logistics cost accounting and management in Malaysia

Current State and Issues of Logistics Cost Accounting and Management in Malaysia

Background: Logistics cost is an important factor affecting the competitiveness on both macro (national) and micro level (firms). Logistics cost indicates the performance of logistics industry, efficiency level and its competitiveness. Research Problem: Despite of its significance, current state of logistics cost accounting and management in Malaysia has not properly addressed and the issues surround logistics cost measurement remains incoherent. Aim of research: The purpose of this study is to give an overview of the current state and issues of logistics cost accounting and management in Malaysia. Research Method: This study used content analysis as a qualitative research tool, and supported by literature material with regards the concerned research tool. Findings: This study has found the importance of having standard logistics cost accounting measurement, which plays a vital role in determining the accuracy of the logistics cost and ascertain the efficiency level of logistics industry in Malaysia. Implication: This study leads to trigger the awareness of current state and issues of logistics cost accounting and management in Malaysia

The relevance of capital structure theories to consumer product firms at bursa Malaysia / Abdul Razak Abdul Hadi, Jaafar Pyeman and Ahmad Kasyidi Ismail.

This paper examines the relevance of Capital Structure Management theories to the value of consumer product firms listed at Bursa Malaysia. Within the framework of Modigliani-Miller and Trade-Off theories, this paper uses Generalized Method of Moments (GMM) as an estimation model employing yearly panel data from the year 2010 to 2014. The test results from GMM indicate that earnings per share (EPS) and debt-equity ratio (D/E) have no significant relation with the firm’s value as represented by the closing price per share (CP). Even though the findings are rather alarming, one must admit that the Modigliani-Miller and Trade-Off theories are irrelevant to those consumer product companies at Bursa Malaysia. Perhaps, this is an indication that the efficient market hypothesis applicable to certain sectors at Bursa Malaysia

Impact of Technological Advancements on Environmental Degradation: Evidence from ASEAN

This research investigates the long-run and short-run effects of technological advancements on environmental degradation in ASEAN countries. The research was conducted using Pooled Mean Group (PMG) panel data estimation methodologies, and the data set used in this study includes annual data from 2000 to 2019. Results revealed that the development of technology reduces the environmental degradation of ASEAN countries. Improvements in technology and more money for research and development through domestic savings lead to increased environmental quality in the long run. Therefore, this study concludes that policymakers should increase the investment in technological innovations to reduce environmental degradation. Keywords: Economic Growth; Environmental Degradation; Technological Advancements; Pooled Mean Group eISSN: 2398-4287 © 2022. The Authors. Published for AMER ABRA cE-Bs by e-International Publishing House, Ltd., UK. This is an open-access article under the CC-BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/). Peer–review under the responsibility of AMER (Association of Malaysian Environment-Behaviour Researchers), ABRA (Association of Behavioural Researchers on Asians/Africans/Arabians), and cE-Bs (Centre for Environment-Behaviour Studies), Faculty of Architecture, Planning & Surveying, Universiti Teknologi MARA, Malaysia. DOI: https://doi.org/10.21834/ebpj.v7i21.367

A study on the dynamic relations between macroeconomic variables and stock market performance / Huzaimi Hussain... [et al.]

The purpose of this study is to investigate the dynamic relationship between stock market performance and macroeconomic variables in Malaysia. The Kuala Lumpur Composite Index (KLCI) is used to proxy for the stock market performance and macroeconomic variables employed are three-month treasury bills rate, inflation rate, and economic growth as measured by gross domestic product. This study utilizes cointegration and causal relationship approach to accomplish the research objectives. The findings from this study exhibit that there are long run cointegration relationship between stock market performance and macroeconomic indicators. Moreover, results of further analysis generally show that all the indicators have substantial impacts on KLCI with the most immediate impact coming from treasury bills rate. In addition it is shown via the variance decomposition procedure that treasury bills rate is highly exogenous. The major policy implication of this study is that market performance can be monitored by Central Bank through treasury bills rate