Capital Structure and Political Risk in Asia-Pacific Real Estate Markets

This study investigates the determinants of capital structure decisions by real estate firms, with a specific focus on the impact of political risk on leverage. Using a sample of Asia-Pacific REITs and listed property trusts, we find those firms with properties located in countries characterized by relatively high degrees of political risk, such as political instability, and/or greater uncertainty in the ability to repatriate and monetize profits from international investment activities, employ less debt than their counterparts operating in more politically stable environments. This core finding remains robust to alternative sample selection criteria including the division of the sample into high versus low market-to-book value firms, and also holds within the subset of organizations that are active in raising additional capital in the secondary markets

Advisor Choice in Asia-Pacific Property Markets

This paper examines advisor choice decisions by publicly traded REITs and listed property companies in Asia-Pacific real estate markets. Using a sample of 168 firms, we find robust evidence that firms strategically evaluate and compare the increased agency costs associated with external advisement against the potential benefits associated with collocating decision rights with location specific soft information. Our empirical results reveal real estate companies tend to hire external advisors when they invest in countries: 1) that are more economically and politically unstable, 2) whose legal system is based on civil law, 3) where the level of corruption is perceived to be high, and 4) when disclosure is relatively poor. Additionally, we find the probability of retaining an external advisor is directly related to the expected agency costs. Lastly, we find evidence of return premiums in excess of 13 % for firms whose organizational structure matches their investment profile. As such, we conclude that the decision to hire an external advisor represents a value relevant trade-off between the costs and benefits of this organizational arrangement

The Impact of Geographic and Cultural Dispersion on Information Opacity

This paper investigates the influences of intrafirm geographic and cultural dispersion, the distance between the location of a firm’s investments and its headquarters, on the firm’s information environment. Specifically, using a sample of publicly traded real estate companies across the Asia-Pacific region, we examine how intrafirm geographic and cultural distance impacts a firm’s capital acquisition costs. As a consequence of both the heavily regulated operating environment faced by these firms, as well as the capital intensive nature of this industry, funding costs should be of pronounced importance to firms within this sector. Consistent with this paradigm, we find that firms with geographically disperse investments exhibit enhanced informational opacity. Specifically, firms with more geographically disperse investments exhibit higher capital acquisition costs than their more geographically concentrated counterparts. Similarly, firms with more culturally disparate investments also exhibit enhanced informational opacity, as evidenced by increased capital costs. Additionally, we present evidence that the impact of both physical and cultural distance is increasing following the global financial crisis. Taken together, our results provide strong evidence that both intrafirm geographic and cultural dispersion materially impact both an organization’s information environment and funding costs

Considering context and users in interactive systems analysis

Although the take-up of formal approaches to modelling and reasoning about software has been slow, there has been recent interest and facility in the use of automated reasoning techniques such as model checking [5] on increasingly complex systems. In the case of interactive systems, formal methods can be particularly useful in reasoning about systems that involve complex interactions. These techniques for the analysis of interactive systems typically focus on the device and leave the context of use undocumented. In this paper we look at models that incorporate complexity explicitly, and discuss how they can be used in a formal setting. The paper is concerned particularly with the type of analysis that can be performed with them.This work was carried out in the context of the IVY project, supported by FCT (the Portuguese Foundation for Science and Technology) and FEDER (the European Regional Development Fund) under contract POSC/EIA/26646/2004

Interaction engineering using the IVY tool

This paper is concerned with support for the process of usability engineering. The aim is to use formal techniques to provide a systematic approach that is more traceable, and because it is systematic, repeatable. As a result of this systematic process some of the more subjective aspects of the analysis can be removed. The technique explores exhaustively those features of a specific design that fail to satisfy a set of properties. It also analyzes those aspects of the design where it is possible to quantify the cost of use. The method is illustrated using the example of a medical device. While many aspects of the approach and its tool support have already been discussed elsewhere, this paper builds on and contrasts an analysis of the same device provided by a third party and in so doing enhances the IVY tool

Modelling and analysing the interactive behaviour of an infusion pump

Proceedings of the Fourth International Workshop on Formal Methods for Interactive Systems (FMIS 2011)This paper is concerned with the scaleable and systematic analysis of interactive systems. The motivating problem is the procurement of medical devices. In such situations several different manufacturers offer solutions that support a particular clinical activity. Apart from cost, which is a dominating factor, the variations between devices are relatively subtle and the consequences of particular design features are not clear from manufacturers' manuals, demonstrations or trial uses. De- spite their subtlety these differences can be important to the safety and usability of the device. The paper argues that formal analysis of the range of offered devices can provide a systematic means of comparison. The paper also explores barriers to the use of such techniques, demonstrating how layers of specification may be used to make it possible to reuse common specification. Infusion pumps provide a motivating example. A specific model is described and analysed and comparison between competitive devices is discussed rather than dealt with in detail.(undefined

Developing and Verifying User Interface Requirements for Infusion Pumps: A Refinement Approach

It is common practice in the description of criteria for the acceptable safety of systems for the regulator to describe safety requirements that should be satisfied by the system. These requirements are typically described precisely but in natural language and it is often unclear how the regulator can be assured that the given requirements are satisfied. This paper is concerned with a rigorous refinement process that demonstrates that a precise requirement is satisfied by the specification of a given device. It focuses on a particular class of requirements that relate to the user interface of the device. For user interface requirements, refinement is made more complex by the fact that systems can use different interaction devices that have very different characteristics. The described refinement process recognises an input/output hierarchy

An infrastructure for experience centered agile prototyping of ambient intelligence

Ubiquitous computing poses new usability challenges that cut across design and development. We are particularly interested in "spaces" enhanced with sensors, public displays and personal devices. How can prototypes be used to explore the user's mobility and interaction, both explicitly and implicitly, to access services within these environments? Because of the potential cost of development and design failure, the characteristics of such systems must be explored using early versions of the system that could disrupt if used in the target environment. Being able to evaluate these systems early in the process is crucial to their successful development. This paper reports on an effort to develop a framework for the rapid prototyping and analysis of ambient intelligence systems

Modelling and systematic analysis of interactive systems

Two aspects of our research concern the application of formal methods in human-computer interaction. The first aspect is the modelling and analysis of interactive devices with a particular emphasis on the user device dyad. The second is the modelling and analysis of ubiquitous systems where there are many users, one might say crowds of users.The common thread of both is to articulate and prove properties of interactive systems, to explore interactive behaviour as it influences the user, with a particular emphasis on interaction failure. The goal is to develop systematic techniques that can be packaged in such a way that they can be used effectively by developers. This “whitepaper” will briefly describe the two approaches and their potential value as well as their limitations and development opportunities