one of the most controversial aspects of financial markets is capital market liberalization of course not so liberalization under the rules of governmental severities. based on financial theories there are a number of reasons , that capital flows openness should lead to increases in economic growth. on the other hand most economists believe that the cost of openness outweigh the benefits , such...

This paper examines the link between capital market governance (CMG) and several key measures of market performance. Using detailed data from individual stock exchanges, we develop a composite CMG index that captures three dimensions of security laws: the degree of earnings opacity, the enforcement of insider laws, and the effect of removing short-selling restrictions. We find that improvements...

We are indebted to the Asset Magazine, headed by its dynamic editor-in-chief, Mr.. Danny Yu, for organizing this forum on Philippine capital markets. This is an issue that should be high in our agenda for reform. Clearly it is critical for the government to immediately deal with a looming fiscal crisis but that should not distract us from the equally important task of accelerating the developme...

This paper quantifies the impact of changes in U.S. monetary policy on sovereign bond spreads in emerging market countries. Specifically, the paper explores empirically how country risk, as proxied by sovereign bond spreads, is influenced by U.S. monetary policy, country-specific fundamentals, and conditions in global capital markets. While country-specific fundamentals are important in explain...

65 Banks' internal risk management models and their prudential recognition The Basle Market Risk Paper,1 which amended the Basle Capital Accord of 1988, requires internationally operating banks to apply capital charges to their market price risks2 as well as to their counterparty risks as from December 31, 1997. One reason is the sharply growing importance of off-balancesheet business; in Germa...

This experimental study is based on an examination by Theissen (2000), who compared single trading mechanisms. In contrast to his work, trading behaviour, market efficiency and market liquidity are also analyzed on an extended market, consisting of a call and a continuous auction in one trading period. In addition, the experimental design incorporates traders with perfect information of the fun...

This paper develops an affine term structure for the valuation of money market funds. This valuation framework is then used to consider the economic implications of funds that are supported by a capital buffer. The main findings are twofold. First, relatively small capital buffers are capable of absorbing daily fluctuations between a fund’s shadow price and its amortized cost. For example, a fu...