This paper considers the problem of information acquisition in an intermediated market, where the specialists have access to superior technology for acquiring information. These informational advantages of specialists relative to households lead to disagreement between the two groups, changing...

This paper considers the problem of information acquisition in an intermediated market, where the specialists have access to superior technology for acquiring information. These informational advantages of specialists relative to households lead to disagreement between the two groups, changing...

In last decades financial innovation and the rise of new classes of financial institutions, combined with a change in the trading behavior of traditional institutional investors, have been contributed largely to increased market liquidity. Financial innovation has been considered to lower cost...

This study examines the factors, both micro- and macro-economic, responsible for financial innovations in Emerging Markets. The possible benefits and threats of financial innovations in Emerging Market Economies are also analysed. Financial innovations lower cost of capital, reduce financial...

One year after Coronovirus and three years later after initially suggesting them, we revisit the performance of balanced portfolios of leveraged ETFs that we initially suggested in the 2017 paper. Leveraged ETFs provide a convenient mechanism to dynamically change portfolio exposure and can be...

Structured financial products and derivatives were one of the major financial innovations since 18th century, which improve market completeness by transforming risk-sharing mechanisms. Since then, thousands of derivative types were created, and its market has grown to over six-times greater than...

This paper aims to find the effectiveness of Cryptocurrency on well-formed portfolio with assets like Commodities, Exchange Traded Fund (ETFs), Stock assets and currency value of INR. There are several ways to determine the effectiveness in diversification. In this paper we use SOLVER, Modern...

This paper compares the informational content of judgmentally determined sovereign ratings produced by a private sector bank and by the rating agency Standard and Poor's, with ratings derived from econometric analysis of sovereign default. We show that downgrades in both the bank and the agency...

We propose a modelling treatment for the option-implied risk neutral distribution (RND) which disaggregates its long-term and short-term dynamics. Long memory parameters calibrated on the RND moments serve as tractable mathematical constructs to filter out effects of smooth structural change...

This paper extends recent discussion on the effectiveness of mutual fund performance measures. We utilize the well-known value premium to examine the ability of mutual fund performance measures to distinguish between the results of value funds and growth funds. Specifically, we examine the...