Credit
Source: https://bm.hkust.edu.hk/bizinsight/tag/credit Parent: https://bm.hkust.edu.hk/bizinsight/bizbites
KRAFT, Pepa
Detecting Fraud Using Changes in Credit Ratings
Do credit rating actions predict accounting fraud? The answer is yes, according to Allen H. Huang and Shiheng Wang of HKUST and their colleague. Their study also suggests that evidence of fraudulent accounting is strongest when it comes from issuer-paid credit rating agencies (CRAs); their investor-paid rivals are less able to detect fraud signals ... Read More
[ BizBites ]
KRAFT, Pepa
Detecting fraud using changes in credit ratings
Do credit rating actions predict accounting fraud? The answer is yes, according to Allen H. Huang and Shiheng Wang of HKUST and their colleague. Their study also suggests that evidence of fraudulent accounting is strongest when it comes from issuer-paid credit rating agencies (CRAs); their investor-paid rivals are less able to detect fraud signals ... Read More
[ BizStudies ]
The Usefulness of Credit Ratings for Accounting Fraud Prediction
Accounting fraud imposes significant costs on firms and their stakeholders in the forms of higher costs of capital, inefficient resource allocation, regulatory sanctions, and investment losses. Not surprisingly, stakeholders, regulators, and researchers are interested in fraud detection. Credit rating agencies are one of the most important information ... Read More
[ BizTalks ]
KRAFT, Pepa
YU, Gwen
Market Power and Credit Ratings Globally and in Japan
Recent decades have seen extraordinary growth in cross-border debt financing as financial systems become more globally integrated and companies take advantage of foreign markets to share risk, increase liquidity, and obtain cheaper capital. In the first study to comprehensively identify corporate rating patterns for a broad set of international firms, HKUST ... Read More
[ BizStudies ]
SUN, Chengzhu
WANG, Shujing
Do Payout Policies Affect Credit Risk?
Firms return capital to their equity investors through their “payout policy.” In the case of “dividend payouts,” money is usually transferred to shareholders’ accounts at regular intervals. Despite the tax disadvantage, dividend payouts remain economically significant and resilient. However, we do not yet know how dividend payout raises and cuts affect ... Read More
[ BizStudies ]
SAIDI, Farzad
ZALDOKAS , Alminas
Firm Patents and Signalling Value in Loan Contracting
Economic partnerships and other transactions have some degree of information asymmetry between the contracting parties. As such, the information environment is vital when it comes to determining relationship quality and stability. In many markets, superior private information is seen as a competitive advantage when compared to publicly available information ... Read More
[ BizStudies ]
An Unexpected Way that Defaults Impact Other Borrowers
We are interested in understanding how credit crises spread through the real economy. To this end we focus on an understudied aspect of financial crises, the effect of borrowers' defaults on the contracts the bank writes with other borrowers. In a crisis this is one means by which restrictive credit environments pass from borrower to borrower. We provide ... Read More
[ BizTalks ]