Dissertations / Theses on the topic 'Commercial finance companies Australia'

Stakeholders are increasingly insistent that companies increase firm value. The problem is that stakeholders of financial services firms are unable to accurately determine firm value. The purpose of this correlational study was to examine the accuracy of 4 valuation models in predicting the market value of equity of commercial finance companies. Study participating companies were 8 listed U.S. or Canadian commercial finance companies. The theoretical constructs of the study included the accuracy of valuation models, modern portfolio theory, and the correlation of book value of equity to market value of equity. Financial information on participating companies obtained from public filings were input data in 4 valuation models. Multiple regression analysis of valuation model results and book value of equity (the predictor variables) were used to determine the accuracy of the models in predicting the market value of equity (response variable). The findings of the study showed that all 4 valuation models in combination with the book value of equity were statistically significant predictors of the market value of equity of the participating companies at the p < .05 level. However, the dividend discount model (DDM) and residual income model (RIM) were statistically more accurate without the combination of book value of equity (p = .000 and p = .000, respectively) than the discounted cash flow and risk-adjusted discounted cash flow valuation models (p = .371 and p = .904, respectively). The results of this study contribute to positive social change by providing business leaders an ability to measure the effectiveness of their actions in creating firm value. Corporate social responsibility activities correlate to value creation for firms that engage in promoting employee welfare and other stakeholder welfare.

Stakeholders are increasingly insistent that companies increase firm value. The problem is that stakeholders of financial services firms are unable to accurately determine firm value. The purpose of this correlational study was to examine the accuracy of 4 valuation models in predicting the market value of equity of commercial finance companies. Study participating companies were 8 listed U.S. or Canadian commercial finance companies. The theoretical constructs of the study included the accuracy of valuation models, modern portfolio theory, and the correlation of book value of equity to market value of equity. Financial information on participating companies obtained from public filings were input data in 4 valuation models. Multiple regression analysis of valuation model results and book value of equity (the predictor variables) were used to determine the accuracy of the models in predicting the market value of equity (response variable). The findings of the study showed that all 4 valuation models in combination with the book value of equity were statistically significant predictors of the market value of equity of the participating companies at the p < .05 level. However, the dividend discount model (DDM) and residual income model (RIM) were statistically more accurate without the combination of book value of equity (p = .000 and p = .000, respectively) than the discounted cash flow and risk-adjusted discounted cash flow valuation models (p = .371 and p = .904, respectively). The results of this study contribute to positive social change by providing business leaders an ability to measure the effectiveness of their actions in creating firm value. Corporate social responsibility activities correlate to value creation for firms that engage in promoting employee welfare and other stakeholder welfare.

Knowledge of the investment risk of investment-grade commercial real estate (‘ICRE’) is important because it determines the approaches which should be taken to portfolio management. However, relatively little is known about this risk. This research expands the body of knowledge of ICRE investment risk by producing conclusions about the information content of prices and the distribution of returns in the ICRE context. It is broken into three main parts. First, the ICRE returns-generating process is characterised to form a basis for deducing theoretical conclusions about the information content of prices and the stochastic attributes of returns. The rationale for this approach lies in capital markets literature, which demonstrates that the characteristics of the information structure of markets, the decision-making processes of investors and the market trading mechanism determine the main attributes of the process of price evolution (which is assumed to be the main driver of returns). The analysis concludes that ICRE prices are partially informed, and changes in prices are described by a ‘jump’ process. Second, analysis of a database of ‘large’ price changes supplied by the Property Council of Australia is undertaken to empirically test the jump process hypothesis. This analysis provides evidence that natural events associated with changes in the leasing structure of properties are a primary driver of relatively large, infrequent dislocations in valuation-based prices. With parts one and two as a backdrop, the third part of this research empirically tests a discrete mixture of normals (‘DMON’) model of investment risk. Capital markets research shows that a DMON model flows naturally from jump price processes. DMON models fitted to cross-sectional returns on individual properties supplied by the PCA are found to be superior to the normal and stable Paretian models previously proposed by other researchers. In aggregate these conclusions have serious implications for the management of ICRE portfolios, and suggest a need for additional research. Some implications include: (1) Mean-lower partial variance is superior to mean-variance optimisation. (2) Forecasting the distribution of ICRE returns forms a new tool for active management. (3) Passive portfolio management is inappropriate. (4) Comparables-based valuations may be unreliable for investment decisions.
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The crucial role played by small and medium-sized industries (SMIs) in developing countries is very well acknowledged. In Malaysia, for example, the SMIs are perceived as the backbone of the nation's industrialisation process. However, the promotion and development of these SMIs are often hampered by their lack of access to formal institutional credits. The lack of access to formal credits is often ascribed to the higher level of perceived risks, moral hazards and transactions costs. At present, banks and SMIs in developing countries do not have the appropriate technology to adequately assess these risks. The present study seeks to suggest that project appraisal practice can and should be adopted by the SMIs in order to assess their project's risks. Banks are recommended to use similar techniques to objectively evaluate their lending risks. Built upon the theoretical framework of finance and development, the study empirically evaluates the relationship between the adoption of project appraisal practice by the SMIs and their access to formal sector finance. In addition, the study also attempts to identify the factors that can influence the company's decision whether or not to adopt formal project appraisal practice. A very significant and positive relationship was found between the adoption of project appraisal practice and the SMIs' access to formal sector finance. The following factors were found to be significant in determining whether or not a firm adopts project appraisal practice: (1) access to banks finance, (2) entrepreneur's level of education, (3) training on project appraisal, (4) market classification, and, (5) level of business experience. The study therefore concludes that the adoption of project appraisal practice by SMIs should be encouraged through formal training. Finally, the study suggests that the present system of providing finance to SMIs should be reformed and a more innovative and efficient system is recommended.

According to the Reserve Bank of Australia (2006) the increased supply of Commercial Mortgage-Backed Securities (CMBS), with a range of subordination, has broadened the investor base in real estate debt markets and reduced the commercial property sector’s dependence on bank financing The CMBS market has been one of the most dynamic and fastest-growing sectors in the capital markets, for a market which was virtually nonexistent prior to 1990. The global CMBS market issuance which stood at AU$5.1 billion (US$4 billion) in 1990 had grown to AU$380 billion (US$299 billion) by the end of 2006. In Australia, a total of over 60 CMBSs with nearly 180 tranches totalling over AU$17.4 billion had been issued to December 2006 from when they were first introduced in 1999. To date few studies have been done on Australian CMBSs outside the credit rating agency circles. These studies are predominantly practitioner focused (Jones Lang LaSalle 2001; Richardson 2003; Roche 2000, 2002). O’Sullivan (1998) and Simonovski (2003) are the only academic studies on CMBSs. As such, this thesis examines issues relating to the development of Australian CMBSs and quantitatively and qualitatively analyses the structuring of Australian CMBSs. In assessing the growth of the Australian CMBS market, an interpretive historical approach (Baumgarter & Hensley 2005) is adopted to provide a cogent review and explanation of features of international and Australian CMBSs. This helps to understand the changing nature of the market and provides better understanding of the present and suggests possible future directions. The Australian CMBS market is matured in comparison with the larger US and EU CMBS markets as seen by the diversity of asset classes backing the issues and transaction types, tightening spreads, and record issuance volumes. High property market transparency (Jones Lang LaSalle 2006b) and predominance of Listed Property Trusts (LPT) as CMBS issuers (Standard & Poor’s 2005b), who legally have to report their activities and underlying collateral performance to regulatory regimes such as Australian Stock Exchange (ASX)/Australian Securities and Investment Commission (ASIC) and their equity partners, have contributed to the success of the Australian CMBS market. Furthermore, the positive commercial real estate market outlook should support future CMBS issuance, with LPTs continuing their dominance as issuers. In investigating property risk assessment in Australian CMBSs, all the CMBSs issued over a six year period of 2000 to 2005 were obtained from Standard and Poor’s presale reports as found in their Ratings Direct database to identify and review how property risk factors were addressed in all issues and within specific property asset classes following the delineation of property risk by Adair and Hutchinson (2005). Adequate assessment of property risk and its reporting is critical to the success of CMBS issues. The proposed framework shows that assessing and reporting property risk in Australian CMBSs, which are primarily backed by direct property assets, under the headings of investment quality risk, covenant strength risk, and depreciation and obsolescence risk can easily be done. The proposed framework should prove useful to rating agencies, bond issuers and institutional investors. Rating agencies can adopt a more systematic and consistent approach towards reporting of assessed property risk in CMBSs. Issuers and institutional investors can examine the perceived consistency and appropriateness of the rating assigned to a CMBS issue by providing inferences concerning property risk assessment. High property market transparency (Jones Lang LaSalle 2006b) and predominance of Listed Property Trusts (LPT) as CMBS issuers (Standard & Poor’s 2005b), who legally have to report their activities and underlying collateral performance to regulatory regimes such as Australian Stock Exchange (ASX)/Australian Securities and Investment Commission (ASIC) and their equity partners, have contributed to the success of the Australian CMBS market. Furthermore, the positive commercial real estate market outlook should support future CMBS issuance, with LPTs continuing their dominance as issuers. In investigating property risk assessment in Australian CMBSs, all the CMBSs issued over a six year period of 2000 to 2005 were obtained from Standard and Poor’s presale reports as found in their Ratings Direct database to identify and review how property risk factors were addressed in all issues and within specific property asset classes following the delineation of property risk by Adair and Hutchinson (2005). Adequate assessment of property risk and its reporting is critical to the success of CMBS issues. The proposed framework shows that assessing and reporting property risk in Australian CMBSs, which are primarily backed by direct property assets, under the headings of investment quality risk, covenant strength risk, and depreciation and obsolescence risk can easily be done. The proposed framework should prove useful to rating agencies, bond issuers and institutional investors. Rating agencies can adopt a more systematic and consistent approach towards reporting of assessed property risk in CMBSs. Issuers and institutional investors can examine the perceived consistency and appropriateness of the rating assigned to a CMBS issue by providing inferences concerning property risk assessment. The ultimate goal of structuring CMBS transactions is to obtain a high credit rating as this has an impact on the yield obtainable and the success of the issue. The credit rating process involves highly subjective assessment of both qualitative and quantitative factors of a particular company as well as pertinent industry level or market level variables (Huang et al. 2004), with the final rating assigned by a credit committee via voting (Kwon et al. 1997). As such, credit rating agencies state that researchers cannot replicate their ratings quantitatively since their ratings reflect each agency’s opinion about an issue’s potential default risk and relies heavily on a committee’s analysis of the issuer’s ability and willingness to repay its debt. However, researchers have replicated bond ratings on the premise that financial ratios contain a large amount of information about a company’s credit risk. In this study, quantitative analysis of determinants of CMBS credit ratings issued by Standard and Poor’s from 2000 – 2006 using ANNs and OR and qualitative analysis of factors considered necessary to obtain a high credit rating and pricing issues necessary for the success of an issue through mail surveys of arrangers and issuers are undertaken. Of the quantitative variables propagated by credit rating agencies as being important to CMBS rating, only loan-to-value ratio (LTV) is found to be statistically significant, with the other variables being statistically insignificant using OR. This leads to the conclusion that statistical approaches used in corporate bond rating studies have limited replication capabilities in CMBS rating and that the endogeneity arguments raise significant questions about LTV and debt service coverage ratio (DSCR) as convenient, short-cut measures of CMBS default risk. The ultimate goal of structuring CMBS transactions is to obtain a high credit rating as this has an impact on the yield obtainable and the success of the issue. The credit rating process involves highly subjective assessment of both qualitative and quantitative factors of a particular company as well as pertinent industry level or market level variables (Huang et al. 2004), with the final rating assigned by a credit committee via voting (Kwon et al. 1997). As such, credit rating agencies state that researchers cannot replicate their ratings quantitatively since their ratings reflect each agency’s opinion about an issue’s potential default risk and relies heavily on a committee’s analysis of the issuer’s ability and willingness to repay its debt. However, researchers have replicated bond ratings on the premise that financial ratios contain a large amount of information about a company’s credit risk. In this study, quantitative analysis of determinants of CMBS credit ratings issued by Standard and Poor’s from 2000 – 2006 using ANNs and OR and qualitative analysis of factors considered necessary to obtain a high credit rating and pricing issues necessary for the success of an issue through mail surveys of arrangers and issuers are undertaken. Of the quantitative variables propagated by credit rating agencies as being important to CMBS rating, only loan-to-value ratio (LTV) is found to be statistically significant, with the other variables being statistically insignificant using OR. This leads to the conclusion that statistical approaches used in corporate bond rating studies have limited replication capabilities in CMBS rating and that the endogeneity arguments raise significant questions about LTV and debt service coverage ratio (DSCR) as convenient, short-cut measures of CMBS default risk. However, ANNs do offer promising predictive results and can be used to facilitate implementation of survey-based CMBS rating systems. This should contribute to making the CMBS rating methodology become more explicit which is advantageous in that both CMBS investors and issuers are provided with greater information and faith in the investment. ANN results show that 62.0% of CMBS rating is attributable to LTV (38.2%) and DSCR (23.6%); supporting earlier studies which have listed the two as being the most important variables in CMBS rating. The other variables’ contributions are: CMBS issue size (10.1%), CMBS tenure (6.7%), geographical diversity (13.5%) and property diversity (7.9%) respectively. The methodology used to obtain these results is validated when applied to predict LPT bond ratings. Both OR and ANN produce provide robust alternatives to rating LPT bonds, with no significant differences in results between the full models of the two methods. Qualitative analysis of surveys on arrangers and issuers provides insights into structuring issues they consider necessary to obtain a high credit rating and pricing issues necessary for the success of an issue. Rating of issues was found to be the main reason why investors invest in CMBSs and provision of funds at attractive rates as the main motivation behind CMBS issuance. Furthermore, asset quality was found to be the most important factor necessary to obtain a high credit rating supporting the view by Henderson and ING Barings (1997) that assets backing securitisation are its fundamental credit strength. However, ANNs do offer promising predictive results and can be used to facilitate implementation of survey-based CMBS rating systems. This should contribute to making the CMBS rating methodology become more explicit which is advantageous in that both CMBS investors and issuers are provided with greater information and faith in the investment. ANN results show that 62.0% of CMBS rating is attributable to LTV (38.2%) and DSCR (23.6%); supporting earlier studies which have listed the two as being the most important variables in CMBS rating. The other variables’ contributions are: CMBS issue size (10.1%), CMBS tenure (6.7%), geographical diversity (13.5%) and property diversity (7.9%) respectively. The methodology used to obtain these results is validated when applied to predict LPT bond ratings. Both OR and ANN produce provide robust alternatives to rating LPT bonds, with no significant differences in results between the full models of the two methods. Qualitative analysis of surveys on arrangers and issuers provides insights into structuring issues they consider necessary to obtain a high credit rating and pricing issues necessary for the success of an issue. Rating of issues was found to be the main reason why investors invest in CMBSs and provision of funds at attractive rates as the main motivation behind CMBS issuance. Furthermore, asset quality was found to be the most important factor necessary to obtain a high credit rating supporting the view by Henderson and ING Barings (1997) that assets backing securitisation are its fundamental credit strength. In addition, analyses of the surveys reveal the following: • The choice of which debt funding option to use depends on market conditions. • Credit tranching, over-collateralisation and cross-collateralisation are the main forms of credit enhancement in use. • On average, the AAA note tranche needs to be above AU$100 million and have 60 - 85% subordination for the CMBS issue to be economically viable. • Structuring costs range between 0.1% – 1% of issue size and structuring duration ranges from 4 – 9 months. • Preferred refinancing options are further capital market issues and bank debt. • Pricing CMBSs is greatly influenced by factors in the broader capital markets. For instance, the market had literary shut down as a result of the “credit crunch” caused by the meltdown in the US sub-prime mortgage market. These findings can be useful to issuers as a guide on the cost of going to the bond market to raise capital, which can be useful in comparing with other sources of funds. The findings of this thesis address crucial research priorities of the property industry as CMBSs are seen as a major commercial real estate debt instrument. By looking at how property risk can be assessed and reported in a more systematic way, and investigating quantitative and qualitative factors considered in structuring CMBSs, investor confidence can be increased through the increased body of knowledge. Several published refereed journal articles in Appendix C further validate the stature and significance of this thesis. It is evident that the property research in this thesis can lead aid in the revitalisation of the Australian CMBS market after the “shut down” caused by the melt-down in the US sub-prime mortgage market and can also be used to set up property-backed CMBSs in emerging countries where the CMBS market is immature or non-existent. In addition, analyses of the surveys reveal the following: • The choice of which debt funding option to use depends on market conditions. • Credit tranching, over-collateralisation and cross-collateralisation are the main forms of credit enhancement in use. • On average, the AAA note tranche needs to be above AU$100 million and have 60 - 85% subordination for the CMBS issue to be economically viable. • Structuring costs range between 0.1% – 1% of issue size and structuring duration ranges from 4 – 9 months. • Preferred refinancing options are further capital market issues and bank debt. • Pricing CMBSs is greatly influenced by factors in the broader capital markets. For instance, the market had literary shut down as a result of the “credit crunch” caused by the meltdown in the US sub-prime mortgage market. These findings can be useful to issuers as a guide on the cost of going to the bond market to raise capital, which can be useful in comparing with other sources of funds. The findings of this thesis address crucial research priorities of the property industry as CMBSs are seen as a major commercial real estate debt instrument. By looking at how property risk can be assessed and reported in a more systematic way, and investigating quantitative and qualitative factors considered in structuring CMBSs, investor confidence can be increased through the increased body of knowledge. Several published refereed journal articles in Appendix C further validate the stature and significance of this thesis. It is evident that the property research in this thesis can lead aid in the revitalisation of the Australian CMBS market after the “shut down” caused by the melt-down in the US sub-prime mortgage market and can also be used to set up property-backed CMBSs in emerging countries where the CMBS market is immature or non-existent.

Orientador: Eder Pires de Camargo
Banca: Silvia Regina Quijadas Aro Zuliani
Banca: Camila Silveira da Silva
Resumo: Este trabalho apresenta uma análise sobre as Representações Sociais (RS) que licenciandos-bolsistas de um projeto Pibid-Química possuem acerca de aspectos da Educação Especial e da Educação Inclusiva, como conceitos que caracterizam um aluno com Necessidades Educacionais Especiais, sobre o processo de inclusão e o papel dos professores de Química para atuar com estes alunos. Os dados foram constituídos através de entrevistas individuais com 24 licenciandos-bolsistas e as análises foram fomentadas por meio de discussões feitas com dez bolsistas em um Grupo Focal, ambos registrados com gravador de voz. Com caráter qualitativo e utilizando a Análise de Conteúdo foram elaboradas três grandes categorias que representam os objetivos deste trabalho, e as subcategorias presentes em cada uma foram analisadas de acordo com a Teoria do Núcleo Central, de forma, a saber, quais conceitos se encontram no sistema central ou no sistema periférico das RS desses futuros professores. Considerando que há um déficit na formação de professores de Química para atuar com alunos que possuam alguma deficiência, transtorno global de desenvolvimento ou super habilidades/superdotação, o Pibid se torna um importante processo formativo e experiencial, embora tenha sido observado que conceitos, que seriam desejáveis estar no Núcleo Central do RS de futuros professores, ainda estão nos sistemas periféricos dos mesmos. Assim, conclui-se sobre a urgência de modificações na formação acadêmica de professores vol... (Resumo completo, clicar acesso eletrônico abaixo)
Mestre

This study is driven by two competing perspectives, substitutive and complementary, to examine the effects of internal audit function quality and sourcing arrangements on external audit fees. The substitution perspective expects high-quality internal controls to substitute for external audit activities, thus, decreasing external audit fees. In contrast, the complementary perspective proposes that high-quality internal audit functions require more reviews and reports, leading to increased external audit fees. This study analyses the competing perspectives using a combined dataset from the Morningstar database and questionnaire responses from chief audit executives of listed Australian companies. This study established a composite measure of internal audit function quality based on five internal audit function attributes to assess the relationship between internal audit function quality and audit fees. An ordinary least square regression analysis of 408 listed Australian firms from 2017 to 2018 found a positive relationship between internal audit function quality and external audit fees. Analyses of sourcing arrangements for internal audits suggest that higher internal audit functions will increase audit fees regardless of firms’ sourcing arrangements. This study provides a much needed literary update given that previous literature focused on examining the internal audit function quality and audit fee linkage in Australia before 1 July 2004, when the Corporate Law Economic Reform Program No. 9 was introduced. The Corporate Law Economic Reform Program No. 9 seeks to improve investor confidence in publicly listed companies in Australia and regulates auditors’ engagement. There have been contentious debates about the costs and benefits of this law for Australian public companies. Effects from the Corporate Law Economic Reform Program No. 9 are captured in the observation window for this study (1 January 2017 to 31 December 2018), filling an important gap in the literature. This study also contributes to the internal audit outsourcing literature by exploring the relationship between the outsourcing arrangement of internal audit functions and the external audit fees among listed companies in Australia.

Pour répondre à leurs difficultés financières, les entreprises doivent procéder à une opération de restructuration consistant à modifier leurs éléments de passif et subsidiairement d’actif. Pour cela, elles doivent identifier et surmonter les obstacles à cette opération en vue d’aboutir à un résultat qui correspond à leurs nouveaux besoins. Chaque système juridique apporte des réponses différentes en fonction de sa tradition, de common law ou de civil law, et des intérêts qu’il cherche à préserver. Entre les intérêts du débiteur et ceux des créanciers, le droit des entreprises en difficulté français a lui-même beaucoup évolué à mesure que les entreprises et les créanciers se sont sophistiqués. D’un droit de la faillite, à un droit pro-créanciers, il est devenu un droit pro-débiteur et semble devenir un droit mixte dont la protection des intérêts de l’une et l’autre des parties parait plus équilibrée. De tradition civiliste, il subit pourtant une influence constante des tribunaux de commerce qui semblent forcer une mutation tenant compte des innovations financières et juridiques des grandes entreprises, tout en restant adapté aux petites entreprises. Ce droit vivant et volontariste affirme clairement ses objectifs de préserver l’activité, les emplois, d’apurer le passif et apporte des outils aux entreprises en difficulté, lorsque le débiteur et les créanciers n’arrivent pas à surmonter eux-mêmes leurs divergences d’intérêts. Ces outils ont évolué et doivent continuer à évoluer pour s’adapter aux innovations contractuelles de certains commerçants, tout en restant un cadre protecteur pour d’autres
To face financial difficulties, companies shall proceed to restructuring operation involving modification of their assets and liabilities. To this end, companies shall identify and overcome barriers to this operation to reach an overcome suited to their new needs. Each legal system provides different responses according to its legal origin, common law or civil law, and the interests it aims to protect. Between the debtor’s and the creditor’s interests, French insolvency law evolved a lot as the companies and the creditors became more sophisticated. From a bankrupt law to a creditors-friendly law, French insolvency law became a debtor-friendly law and now appears to be a mixed law which seems to protect both parties interests in a more balanced way. Despite its civil law origin, French law is constantly influenced by commercial courts that seem to force a mutation following the financial and legal innovations of large companies, while remaining adapted to small businesses. This living and proactive law clearly states its objectives to preserve the business, the employment, reduce liabilities and provides tools for companies facing difficulties, when the debtor and the creditors fail to overcome their diverging interests. These tools evolved and have to continue to evolve to adapt to contractual innovations of some business stakeholders, while remaining a protective environment for others

by Fok Yin-mei and Leung Suk-yee.
Thesis (M.B.A.)--Chinese University of Hong Kong, 1994.
Includes bibliographical references (leaves 17-19).
ABSTRACT --- p.iii
TABLE OF CONTENTS --- p.v
LIST OF TABLES --- p.viii
ACKNOWLEDGEMENTS --- p.ix
Chapter
Chapter I. --- INTRODUCTION --- p.1
Background of the Study --- p.1
Objectives of the Study --- p.8
Chapter II. --- RELATIONSHIPS BETWEEN COMPANIES AND THEIR BANKS： FURTHER REMARKS AND LITERATURE REVIEW --- p.9
Dynamics in the Management of Corporate Banking Relationships --- p.9
Companies' Bank Selection Behaviors --- p.12
Bibliography --- p.17
Books --- p.17
Periodicals --- p.17
Chapter III. --- METHODOLOGY --- p.20
Qualitative Study --- p.20
Quantitative Study --- p.21
Questionnaire Design --- p.21
Population and Sampling --- p.22
Data Processing --- p.23
Chapter IV. --- FINDINGS AND ANALYSIS: QUALITATIVE STUDY --- p.24
Initial Screening --- p.24
Credit Analysis --- p.25
Granting Credit --- p.28
Credit Monitoring and Control --- p.29
How Do Banks Develop and Maintain Relationships with Clients? --- p.30
Chapter V. --- FINDINGS AND ANALYSIS: QUANTITATIVE STUDY --- p.33
The Research Sample --- p.33
Bank Selection --- p.34
Bank Usage --- p.35
Split Banking --- p.37
Bank Switching --- p.38
Perceived Importance of Bank Attributes in Major Bank Selection --- p.39
Basic Bank Attributes --- p.39
Bank's Image --- p.40
Lending Policy --- p.41
Product Quality --- p.41
Account Officers --- p.42
Pricing Factors --- p.43
Usage of Financial Institutions Other Than Banks --- p.43
Other Findings --- p.44
Chapter VI. --- RECOMMENDATIONS --- p.47
Product Development --- p.47
Improving the Performance of Account Officers --- p.48
Marketing Strategies --- p.49
Bank's Image --- p.51
Pricing Strategies --- p.52
Accountant's Role in the Banking Relationships --- p.53
Chapter VII. --- CONCLUSION --- p.56
APPENDICES
Chapter 1. --- QUESTIONNAIRE FOR BANKERS --- p.57
Chapter 2. --- QUESTIONNAIRE FOR CLIENT COMPANIES --- p.58
Chapter 3. --- COVERING LETTER --- p.63
Chapter 4. --- COMPANIES' HEADQUARTERS --- p.64
Chapter 5. --- INDUSTRIES IN WHICH COMPANIES WERE PRINCIPALLY ENGAGED --- p.65
Chapter 6. --- COMPANIES' NUMBER OF PERMANENT EMPLOYEES --- p.66
Chapter 7. --- COMPANIES' YEARS OF ESTABLISHMENT --- p.67
Chapter 8. --- COMPANIES' FORM OF OWNERSHIP --- p.68
Chapter 9. --- THE RESPONSIBILITY OF SELECTING THE MAJOR BANK IS --- p.69
Chapter 10. --- WHO ARE RESPONSIBLE FOR SELECTING THE MAJOR BANK? --- p.70
Chapter 11. --- INFORMATION SOURCES USED IN SELECTING THE MAJOR BANK --- p.71
Chapter 12. --- BANKS EMPLOYED BY COMPANIES --- p.72
Chapter 13. --- NUMBER OF BANKS USED BY COMPANIES --- p.73
Chapter 14. --- REASONS FOR USING MORE THAN ONE BANK --- p.74
Chapter 15. --- HOW LONG COMPANIES HAVE WORKED WITH THEIR MAJOR BANK? --- p.75
Chapter 16. --- FACTORS FOR SWITCHING THE MAJOR BANK --- p.76
Chapter 17. --- IMPORTANCE OF BANK ATTRIBUTES IN MAJOR BANK SELECTION --- p.77
Chapter 18. --- FINANCIAL INSTITUTIONS OTHER THAN BANKS USED BY COMPANIES --- p.79
Chapter 19. --- CROSS TABULATION: LOCATION OF HEADQUARTERS BY WHO SELECT THE MAJOR BANK --- p.80
Chapter 20. --- CROSS TABULATION: LOCATION OF HEADQUARTERS BY MAJOR BANK --- p.81

The mere presence of the audit committee does not necessarily translate into an effective monitoring body. As a result, the search for mechanisms to enhance corporate governance and increase the quality of financial reports has mostly focused on the structure of audit committees. This thesis empirically investigates whether there is an association between audit committee effectiveness (ACE) and the selection of a high quality auditor for both Australian and Saudi listed companies using their local guidelines to enhance ACE as benchmarks. In addition, the association between ACE and non-audit services (NAS) purchases is examined only for Australian listed company as providing such services by the incumbent auditors is not allowed for Saudi listed companies. Moreover, this thesis also empirically examine the relationships between six audit committee characteristics, namely, independence, size, activity, charter, expertise and literacy and the selection of a high quality auditor for both Australian and Saudi listed companies. Also the relationships between the six audit committee characteristics and NAS purchases are empirically tested only for Australian listed companies. While there was a positive (negative) association between ACE and the selection of a specialist auditor (the magnitude of NAS purchases) for the Australian Stock Exchange (ASX) listed companies, there was no association between ACE and the selection of a specialist auditor for the Saudi Stock Market listed companies. Because both countries have very similar recommendations regarding enhancing audit committee effectiveness, the findings of this thesis indicate that there are other factors such as different audit committee framework, different market development and cultural factors that might affect ACE. In addition, the findings indicate that audit committee independence is the most important determinant of both audit quality and NAS purchases for the ASX listed companies. Because complying with audit committee recommendations is costly especially for small companies, which have limited resources, audit committee independence should have the priority when locating the limited resources.

Investments in business acquisitions have become a key part of corporate investment strategy. Business acquisitions are a vibrant investment decision which forms part of a firm’s growth strategy, that influences and determines firm value. Efficiency theory suggests that companies are motivated to invest in business acquisitions to realise synergy gains. Although there are previous studies undertaken to examine determinants of domestic business acquisitions in countries like the U.S and the U.K, determinants applicable in these countries may not have equal influence on business acquisition decisions of companies that are listed on the Australian Securities Exchange. Identification of factors influencing the business acquisition decision (the deal value) of companies listed on the Australian Securities Exchange provides a theroritical guidance on estimating the most possible purchase price consideration for acquirers and on formulating new policies to develop a more competitive capital market for regulators. The study by Erel et al. (2012) shows Australia is having the largest number of domestic mergers and acquisitions recording 4,875 during the period from 1990 to 2007 compared to all mergers and acquisitions recorded in all other countries. The importance of identifying factors influencing business acquisition decisions motivates this study to examine the factors influencing the business acquisition decision (the deal value) of acquirers that are listed on the Australian Securities Exchange. This study examines the factors influencing the business acquisition decision of companies that are listed on the Australian Securities Exchange, from acquirer’s characteristics and macro-economic point of view. This study also investigates whether the determinants related to acquirer’s characteristics and the macro-economic environment are impacted by the industry classification and the time. Specifically, the study examines how the determinants, such as acquirer’s characteristics (profitability, leverage and liquidity), and macro-economic characteristics (interest rate, exchange rate and stock market index) affect the business acquisition decision (the deal value) of acquirers that are listed on the Australian Securities Exchange. The Ordinary Least Squares (OLS) multiple regression assessment of the 160 completed business acquisitions representing 79.13 per cent of population in terms of total deal value of completed business acquisitions during 1997 to 2012 shows evidence that the acquirer’s profitability before considering the impact of the industry classification and the time, is statistically significantly positively associated with the business acquisition decision (the deal value) of acquirers that are listed on the Australian Securities Exchange. This finding lends support to previous empirical studies that greater profitability of an acquirer motivates them investing on business acquisitions. The study finds that the acquirer’s leverage before considering the impact of the industry classification and the time, is statistically positively associated with the business acquisition decision (the deal value) of acquirers that are listed on the Australian Securities Exchange. This finding contributes to previous empirical studies that greater leverage of an acquirer motivates them investing on business acquisitions. The study finds that the acquirer’s liquidity before considering the impact of the industry classification and the time, is statistically significantly negatively associated with their business acquisition decision (deal value) of acquirers that are listed on the Australian Securities Exchange. This finding is not consistent with the findings from prior studies. When acquirer’s business acquisition decision is influenced by their industry classification, this study support that the acquirer’s profitability and leverage have a statistically significant positive impact on the business acquisition decision (the deal value) of acquirers listed on the Australian Securities Exchange whilst the acquirer’s liquidity has a statistically negative impact on their business acquisition decision. When acquirer’s business acquisition decision is influenced by the time in terms of when the business acquisition occurs, this study support that the acquirer’s profitability and leverage have a statistically significant positive impact on the business acquisition decision (the deal value) of acquirers listed on the Australian Securities Exchange whilst the acquirer’s liquidity has a statistically negative impact on their business acquisition decision. This study finds that the macro-economic variables of interest rate and exchange rate are statistically significantly positively associated with the business acquisition decision (the deal value) of acquirers that are listed on the Australian Securities Exchange. This finding supports to previous empirical studies that higher interest rate and higher exchange rate motivate investments in business acquisitions. The study supports that the macro-economic variable, stock market index is statistically negatively associated with the business acquisition decision (the deal value) of acquirers that are listed on the Australian Securities Exchange. This finding supports to previous empirical studies that the lower stock market index motivates investments in business acquisitions. When acquirer’s business acquisition decision is influenced by their industry classification, this study support that the macro-economic variables of interest rate and exchange rate have a statistically significant positive impact on the business acquisition decision (the deal value) of acquirers that are listed on the Australian Securities Exchange whilst the macro-economic variable stock market index is statistically negatively associated with the business acquisition decision (the deal value) of acquirers that are listed on the Australian Securities Exchange. When acquirer’s business acquisition decision is influenced by the time in terms of when the business acquisition occurs, the study supports that the macro-economic variable stock market index has a statistically positive impact on the business acquisition decision (the deal value) of acquirers that are listed on the Australian Securities Exchange.

Purpose – Many theoretical financial theories attempt to explain the behaviour of stocks and the structure of their returns, namely the Portfolio Theory, the Capital Asset Pricing Model (CAPM), the Efficient Market Hypothesis (EMH), and Behavioural Finance. These theories, however, have provided incomplete and contradictory explanations regarding stock market anomalies. The aim of this research is to analyse the theory of anomalies and develop a comprehensive theoretical model based on the extant financial theories to develop an improved explanation about stock market anomalies. The principal aim of the current research is to examine the presence of several anomalies, covering macroeconomic, calendar and event variables, in a secondary stock market within Australia, namely the National Stock Exchange of Australia (NSXA), and a number of the sub-indices contained within this stock market. Design/methodology/approach – This research empirically tests the efficiency of the NSXA. The role played by each of the following independent variables is examined by applying specific statistical techniques: long and short-term interest rates; exchange rates; day of the week; weekends; months of the year; turn of the calendar year, January, turns of the month; Australian end of financial year; Australian federal election, US presidential election and sporting events Findings – The results are interesting and contradict with the existing research. Though the empirical analyse yields statistically significant results for some hypothesis and not for others, the research finds that: a clear interest rate effect for both short and longterm interest rates; an observable and strong monthly effect and suggestive relationship between the NSX Resources sub-indices and Australian federal elections. Research limitations/implications – the main limitations of the research related to: 1) the particularity of investors in the NSXA falls out of the scope of this study, they may provide further insight as to why the anomalous behaviour was observed; 2) difficulty quantifying the physical location of the companies listed on the exchange as knowledge of this may have been supportive in explaining trading patterns and anomalous behaviour and 3) the impact of market capitalization and firm size was not considered due to a lack of available data. Future research may want to incorporate firm size when undertaking analysis to determine if a relationship exists between company size and anomalies. The main implication of the research is that there is only partial confirmation for the validity of the EMH. While the EMH is not rejected in each of the tests undertaken, the fact that some anomalies are observed implies that the EMH cannot be seen as an all-encompassing theory of how stock markets operate or behave. The current research raises the concept of segmented market efficiency. Practical implications – This research indicates that the NSXA does exhibit several specific anomalies. The presence of such anomalies provides investors with greater knowledge which can be used to maximise financial returns, in both the medium and long term, by improving decisions relating to the timing of stock investment. Originality/value – To the researcher’s best knowledge the focus of stock market anomalies in an Australian context has been exclusively to examine the Australian Stock Exchange (ASX). This is the first study to focus on a "secondary" smaller, less well recognised stock market, the NSXA. Additionally, this is the first study to consider economic, calendar and event variables in an integrated model to provide an improved explanation of stock anomalies.

This thesis critically examines the statutory unfair prejudice remedy provided for in section 163 of the Companies Act 71 of 2008 (‘the Act’). Section 163 is evaluated against its equivalents in England, Australia and Canada. Section 163 is considered against its predecessors to determine whether problems associated with the formulation and application of its predecessors have now been eradicated. It is argued that although it is important to ensure that company legislation is able to provide protection of an international standard to shareholders to be able to attract capital investment in a competitive market, one has to be cautious of slavishly following legislative trends in foreign jurisdictions. The South African legislature indiscriminately incorporated only parts of the Canadian unfair prejudice remedy in section 163. This approach also resulted, amongst others, in the introduction of foreign concepts. The legislature further failed to take cognisance of the unique historical developments relating to the unfair prejudice remedy in South Africa. This has led to the reintroduction of problems experienced with previous formulations of the statutory unfair prejudice remedy in South Africa and left certain problems relating to the interpretation and application of the statutory unfair prejudice remedy unresolved. Consideration is also given to the interrelationship between section 163 and some of the statutory remedies in the Act. Section 163 is also assessed in the context of the Constitution of the Republic of South Africa, 1996. In conclusion, recommendations for possible legislative amendments are made and an interpretational framework for the interpretation and application of the statutory unfair prejudice remedy in section 163 is provided.
Mercantile Law
LL. D. (Mercantile Law)

Technical barriers to trade are product health and safety related regulations imposed by governments to restrict or control the inflow and outflow of particular products. This thesis begins with a brief review of governments' sovereign rights in the context of international standards to be adopted in restricting or controlling market access to specific products. This is followed by an analysis of the multilateral regulatory environment under the World Trade Organisation's (WTO) agreements, with particular emphasis on GATT (1994) Article XX and the Agreements on Sanitary and Phytosanitary Measures and the Technical Barriers to Trade. This analysis aims to assist a better understanding of the new global trade order under the WTO regime as it deals with the contradiction between safety concerns versus market access and trade liberalisation. The thesis then examines in detail the various European Union (EU) regulations as they relate to veterinary biological vaccines and the requirements for Australian products to be allowed into EU markets. The bureaucratic requirements of such regulations appear to protect domestic producers from foreign competition, by, at the very least, frustrating market access through a myriad of committees and technical requirements designed to retard market penetration. The EU regulations, therefore, appear to have negatively impacted on trade flows. The Australian market is typically oligopolistic in structure and significant foreign take-over of domestic production in the 1990's, has reduced Australia's ownership in domestic production of veterinary biological vaccines. Given this circumstance it is unlikely that the Australian government would invest significant resources investigating the likelihood of a challenge to the EU through the WTO dispute mechanism.

Recently, the Saudi Capital Market Authority (CMA) opened the door for foreign investors to invest directly in the stock exchange market (Tadawul) to gain more welfare from their investments. Along with this step, the CMA released a set of Rules for Qualified Foreign Financial Institutions Investments (RQFFII) in Listed Shares 2015 that aimed to attract and protect the shareholders' rights. In this research project, the RQFFII have been examined to discover the level of attraction that these Saudi rules offer to foreign investment. The project also aimed to highlight strengths and weaknesses in the rules with regard to the protection shareholders' rights. This thesis explored the possible influence of foreign investments in the Saudi stock exchange. The research project aimed to increase the CMA and shareholders' awareness and knowledge in regard to these rules which lead to more protection of the local stock exchange.