Ghiorghe Batrinca - Academia.edu (original) (raw)
Papers by Ghiorghe Batrinca
It is well know that in the Mediterranean and Black Sea area there are a lot of substandard small... more It is well know that in the Mediterranean and Black Sea area there are a lot of substandard small vessels and operators and despite the implementation of ISM and new STCW Convention these vessels are still obtaining employment. Most of these vessels are bought from second hand market, are classed with non IACS classification societies and in this way they are able to postpone forever serious repairs and maintenance work, they are operated without hull and sometimes P&I insurance being a real threat to the environment and innocent charterers. Due to their low operating expenses these vessels are able to offer very low freight rates which are sometimes not able to cover even financial expenses of a new vessel. This paper will try to assess what are the measures Black Sea Port Authorities have to take in order to force substandard ships and operators either to apply international recognised standards or to avoid calling at Black Sea ports.
Adopted by the General Assembly on 11 December 2008, the Convention on Contracts for the Internat... more Adopted by the General Assembly on 11 December 2008, the Convention on Contracts for the International Carriage of Goods Wholly or Partly by Sea ("the Rotterdam Rules") intends to create a uniform and modern legal regime governing the rights and obligations of shippers, carriers and consignees under a contract for door-to-door carriage that includes an international sea leg. This paper will try to identify what will be the main changes brought into the day to day operation of ships and mainly into the activities of seafarers on board their ships.
Without shipping, worldwide trade, the bulk transport of raw materials and the operations of impo... more Without shipping, worldwide trade, the bulk transport of raw materials and the operations of import-export of food and manufactured goods would not be possible. Therefore, shipping is likely to be a driver of worldwide economic growth, but growth in the shipping industry is also driven by worldwide economic expansion itself. The purpose of this study is to examine the causality relationship between the dry bulk market and worldwide economic growth during the time interval 1985 – 2012 by applying a vector autoregressive model.
It is estimated that over 80 percent of the goods sold on international market are carried by sea... more It is estimated that over 80 percent of the goods sold on international market are carried by sea [1] and many times a bill of lading is required for cashing the letter of credit. The parties to the sale contract require that cargo is described as clear as possible and a certificate of quality is very often required, while the shipowner will many times insist that the cargo is described as generic as possible in the Bill of Lading, and no references to cargo quality are accepted. This paper will explain the reasons behind such a scrict requirement from the shipowners point of view and based on recent legal case will provide practical solutions for overcoming the potential disputes arising between shippers, charterers and shipowners.
For many years there is a debate in the shipping industry over the impact of e-chartering web pla... more For many years there is a debate in the shipping industry over the impact of e-chartering web platforms on small and medium chartering houses. Although a lot of efforts and money have been spent in developing such platforms, their impact was lower than anticipated and only few of them are still active. This paper will try to evaluate why such e-chartering systems failed and what would be main requirements for a successful e-chartering web platform.
This paper makes a short analysis of maritime clusters in terms of how they have been developed a... more This paper makes a short analysis of maritime clusters in terms of how they have been developed and how they evolved in the last ten years and also is trying to show the way forward for a possible and needed Romanian maritime cluster.
The shipping industry represents an important component of the global economy. In the context of ... more The shipping industry represents an important component of the global economy. In the context of globalization the importance of marine insurance has increased more than even before. Without insurance, ship owners would be subjected to a wide range of risks that they would not be protected from. Marine insurance facilitates global trade, ensures economic property, provides peace of mind, improves quality of life and provides social benefits. Taking in consideration all these advantages, it becomes essential to analyze and ...
The shipping industry has been growing rapidly from year to year and until not too long ago, ship... more The shipping industry has been growing rapidly from year to year and until not too long ago, shipping was both the greatest beneficiary and hammering pulse of globalization. But now the global economic and financial crisis has stifled the boom of this industry. Since the global economic and financial crisis began in 2009, the problems the shipping industry faces have multiplied, generating a high volatility of prices. With the global expansion of the maritime sector, marine insurance is on the forefront nowadays, more than ever before. As the marine insurance premiums vary according to the value of insured assets and their number, the marine insurance market can be examined through the forecast of ships price in the context of deteriorating economic conditions.
Tehnoredactarea i grafica au fost realizate de autori Coperta : George Popescu Editura NAUTICA, 2... more Tehnoredactarea i grafica au fost realizate de autori Coperta : George Popescu Editura NAUTICA, 2012 Editur recunoscut CNCSIS Str. Mircea cel B trân nr. 104
The shipping industry has been growing rapidly from year to year and until not too long ago, ship... more The shipping industry has been growing rapidly from year to year and until not too long ago, shipping was both the greatest beneficiary and hammering pulse of globalization. But now the global economic and financial crisis has multiplied the problems of shipping industry, generating a high volatility of prices. In this context, it becomes imperious to analyze and estimate the dynamics of various indices that could be useful to capture market volatility in real time. In this respect, the Baltic Dry Index is considered to be a leading indicator of economic activity reflecting global demand for raw materials, representing a reliable and independent source of information.
As an inherently volatile industry, shipping is characterized by a high risk – high return profil... more As an inherently volatile industry, shipping is characterized by a high risk – high return profile, making its rates and prices difficult to forecast. In shipping industry, investment decisions are taken on a proper risk measurement and management basis, since they are long-term decisions with important financial implications. Taking in consideration the importance of risk measurement and management within the investment environment, the purpose of this study is to provide a proper risk measurement solution for freight-rate risk.
International shipping plays a vital role in global trade. As history has shown, shipping is a cy... more International shipping plays a vital role in global trade. As history has shown, shipping is a cyclical and volatile industry and its evolution is strongly correlated with other industries. In this sense, the analysis of different shipping markets may provide useful and reliable information regarding the worldwide economic activity. The indices produced by Baltic Exchange offer a comprehensive outlook of different shipping markets. Moreover, the analysis of their dynamics from a time period to another improves price transparency and market understanding.
Without the dry bulk shipping market, world trade, industry and our current lifestyles could not ... more Without the dry bulk shipping market, world trade, industry and our current lifestyles could not be maintained. The dry bulk market is very dynamic due to interactions of its various components. The purpose of this study is to analyze the linkages between the Capesize market segment and the Panamax market segment in order to understand the price mechanism and the behavior of market participants.
The global economic and financial crisis has repressed the boom of the shipping industry, generat... more The global economic and financial crisis has repressed the boom of the shipping industry, generating a high volatility of al expansion of the maritime sector, marine insurance is on the forefront nowadays, more than ever before. As the marine insurance premiums vary according to the value of insured assets and their number, the marine insurance market can be analyzed through the forecast business environment.
Cluster analysis is a multivariate method used in many fields in order to group a population of o... more Cluster analysis is a multivariate method used in many fields in order to group a population of objects based on a set of computed variables into a number of different groups, so that similar objects be assigned to the same group. Discriminant analysis represents a technique of supervised recognition of forms used to determine which variables are the best predictors of the classification of objects belonging to a population into predetermined clusters. In this paper we will use discriminant analysis to classify the insurance companies that operated on the Romanian insurance market in 2012, taking in consideration a number of eight variables which are highly relevant for this industry. Before proceeding to discriminant analysis, we performed cluster analysis on the original data in order to identify classes that result from the data.
The number of shipping companies listed on stock exchanges all over the world has significantly i... more The number of shipping companies listed on stock exchanges all over the world has significantly increased over the last 15 years and these companies have generated significant gains and losses for the stock holders. Many times it is difficult to understand how stock prices of shipping companies are moving, since there is no clear correlation between the stock prices of shipping companies and leading market indexes such as Dow Jones Industrial Average (DJIA) or Dow Jones Transportation Average (DJTA). At first sight evolution of stock prices should be linked with the evolution of the shipping indices which are daily published by the Baltic Exchange, but the complex chartering strategies of shipping companies and their preference for long term contracts are considerably reducing the impact of short term evolution of shipping indices on the stock prices. The purpose of this study is to examine the listed shipping companies' stock price sensitivity to the dry bulk market and stock market movements.
Abstract: Shipping companies are exposed to various risks in the course of their business. In ord... more Abstract: Shipping companies are exposed to various risks in the course of their business. In order to survive on a highly competitive market, shipping companies should focus on risk management. Taking in consideration that volatility in ship prices may generate large profits, but also massive losses, the purpose of this study is to quantify the asset price risk in the shipping industry for different types of portfolios by applying the analytical Value at Risk model.
In shipping, the freight market represents the adjustment mechanism linking supply and demand. Mo... more In shipping, the freight market represents the adjustment mechanism linking supply and demand. Most of the times, the time charter level is a consequence of the equilibrium between demand and supply of ships in the area, but there are also situations when the market raises significantly in an area and, as a consequence, vessels situated at a shorter or a longer distance from that area are ballasting toward the hot area, shattering the equilibrium. The purpose of this study is to assess the bidirectional relationships between various components of Baltic Supramax Index by applying vector autoregressive models
An appropriate level of reinsurance is one of the premises of the existence and functioning of a ... more An appropriate level of reinsurance is one of the premises of the existence and functioning of a stable insurance market. In the Romanian insurance market, currently, reinsurance represents the most appropriate solution for insurance companies, as it helps to dispersion of risks, achievement of solvency requirements, levelling of risk profile and growth of underwriting capacity. This study attempts to analyze the determinants of the demand for reinsurance in the Romanian insurance market during the period 2008 – 2012. According to the final results achieved by applying specific panel data techniques, the determinants of the demand for reinsurance in the Romanian insurance market are the return on total assets ratio, company size, number of years since the company operates in the Romanian insurance market and the financial leverage in insurance.
It is well know that in the Mediterranean and Black Sea area there are a lot of substandard small... more It is well know that in the Mediterranean and Black Sea area there are a lot of substandard small vessels and operators and despite the implementation of ISM and new STCW Convention these vessels are still obtaining employment. Most of these vessels are bought from second hand market, are classed with non IACS classification societies and in this way they are able to postpone forever serious repairs and maintenance work, they are operated without hull and sometimes P&I insurance being a real threat to the environment and innocent charterers. Due to their low operating expenses these vessels are able to offer very low freight rates which are sometimes not able to cover even financial expenses of a new vessel. This paper will try to assess what are the measures Black Sea Port Authorities have to take in order to force substandard ships and operators either to apply international recognised standards or to avoid calling at Black Sea ports.
Adopted by the General Assembly on 11 December 2008, the Convention on Contracts for the Internat... more Adopted by the General Assembly on 11 December 2008, the Convention on Contracts for the International Carriage of Goods Wholly or Partly by Sea ("the Rotterdam Rules") intends to create a uniform and modern legal regime governing the rights and obligations of shippers, carriers and consignees under a contract for door-to-door carriage that includes an international sea leg. This paper will try to identify what will be the main changes brought into the day to day operation of ships and mainly into the activities of seafarers on board their ships.
Without shipping, worldwide trade, the bulk transport of raw materials and the operations of impo... more Without shipping, worldwide trade, the bulk transport of raw materials and the operations of import-export of food and manufactured goods would not be possible. Therefore, shipping is likely to be a driver of worldwide economic growth, but growth in the shipping industry is also driven by worldwide economic expansion itself. The purpose of this study is to examine the causality relationship between the dry bulk market and worldwide economic growth during the time interval 1985 – 2012 by applying a vector autoregressive model.
It is estimated that over 80 percent of the goods sold on international market are carried by sea... more It is estimated that over 80 percent of the goods sold on international market are carried by sea [1] and many times a bill of lading is required for cashing the letter of credit. The parties to the sale contract require that cargo is described as clear as possible and a certificate of quality is very often required, while the shipowner will many times insist that the cargo is described as generic as possible in the Bill of Lading, and no references to cargo quality are accepted. This paper will explain the reasons behind such a scrict requirement from the shipowners point of view and based on recent legal case will provide practical solutions for overcoming the potential disputes arising between shippers, charterers and shipowners.
For many years there is a debate in the shipping industry over the impact of e-chartering web pla... more For many years there is a debate in the shipping industry over the impact of e-chartering web platforms on small and medium chartering houses. Although a lot of efforts and money have been spent in developing such platforms, their impact was lower than anticipated and only few of them are still active. This paper will try to evaluate why such e-chartering systems failed and what would be main requirements for a successful e-chartering web platform.
This paper makes a short analysis of maritime clusters in terms of how they have been developed a... more This paper makes a short analysis of maritime clusters in terms of how they have been developed and how they evolved in the last ten years and also is trying to show the way forward for a possible and needed Romanian maritime cluster.
The shipping industry represents an important component of the global economy. In the context of ... more The shipping industry represents an important component of the global economy. In the context of globalization the importance of marine insurance has increased more than even before. Without insurance, ship owners would be subjected to a wide range of risks that they would not be protected from. Marine insurance facilitates global trade, ensures economic property, provides peace of mind, improves quality of life and provides social benefits. Taking in consideration all these advantages, it becomes essential to analyze and ...
The shipping industry has been growing rapidly from year to year and until not too long ago, ship... more The shipping industry has been growing rapidly from year to year and until not too long ago, shipping was both the greatest beneficiary and hammering pulse of globalization. But now the global economic and financial crisis has stifled the boom of this industry. Since the global economic and financial crisis began in 2009, the problems the shipping industry faces have multiplied, generating a high volatility of prices. With the global expansion of the maritime sector, marine insurance is on the forefront nowadays, more than ever before. As the marine insurance premiums vary according to the value of insured assets and their number, the marine insurance market can be examined through the forecast of ships price in the context of deteriorating economic conditions.
Tehnoredactarea i grafica au fost realizate de autori Coperta : George Popescu Editura NAUTICA, 2... more Tehnoredactarea i grafica au fost realizate de autori Coperta : George Popescu Editura NAUTICA, 2012 Editur recunoscut CNCSIS Str. Mircea cel B trân nr. 104
The shipping industry has been growing rapidly from year to year and until not too long ago, ship... more The shipping industry has been growing rapidly from year to year and until not too long ago, shipping was both the greatest beneficiary and hammering pulse of globalization. But now the global economic and financial crisis has multiplied the problems of shipping industry, generating a high volatility of prices. In this context, it becomes imperious to analyze and estimate the dynamics of various indices that could be useful to capture market volatility in real time. In this respect, the Baltic Dry Index is considered to be a leading indicator of economic activity reflecting global demand for raw materials, representing a reliable and independent source of information.
As an inherently volatile industry, shipping is characterized by a high risk – high return profil... more As an inherently volatile industry, shipping is characterized by a high risk – high return profile, making its rates and prices difficult to forecast. In shipping industry, investment decisions are taken on a proper risk measurement and management basis, since they are long-term decisions with important financial implications. Taking in consideration the importance of risk measurement and management within the investment environment, the purpose of this study is to provide a proper risk measurement solution for freight-rate risk.
International shipping plays a vital role in global trade. As history has shown, shipping is a cy... more International shipping plays a vital role in global trade. As history has shown, shipping is a cyclical and volatile industry and its evolution is strongly correlated with other industries. In this sense, the analysis of different shipping markets may provide useful and reliable information regarding the worldwide economic activity. The indices produced by Baltic Exchange offer a comprehensive outlook of different shipping markets. Moreover, the analysis of their dynamics from a time period to another improves price transparency and market understanding.
Without the dry bulk shipping market, world trade, industry and our current lifestyles could not ... more Without the dry bulk shipping market, world trade, industry and our current lifestyles could not be maintained. The dry bulk market is very dynamic due to interactions of its various components. The purpose of this study is to analyze the linkages between the Capesize market segment and the Panamax market segment in order to understand the price mechanism and the behavior of market participants.
The global economic and financial crisis has repressed the boom of the shipping industry, generat... more The global economic and financial crisis has repressed the boom of the shipping industry, generating a high volatility of al expansion of the maritime sector, marine insurance is on the forefront nowadays, more than ever before. As the marine insurance premiums vary according to the value of insured assets and their number, the marine insurance market can be analyzed through the forecast business environment.
Cluster analysis is a multivariate method used in many fields in order to group a population of o... more Cluster analysis is a multivariate method used in many fields in order to group a population of objects based on a set of computed variables into a number of different groups, so that similar objects be assigned to the same group. Discriminant analysis represents a technique of supervised recognition of forms used to determine which variables are the best predictors of the classification of objects belonging to a population into predetermined clusters. In this paper we will use discriminant analysis to classify the insurance companies that operated on the Romanian insurance market in 2012, taking in consideration a number of eight variables which are highly relevant for this industry. Before proceeding to discriminant analysis, we performed cluster analysis on the original data in order to identify classes that result from the data.
The number of shipping companies listed on stock exchanges all over the world has significantly i... more The number of shipping companies listed on stock exchanges all over the world has significantly increased over the last 15 years and these companies have generated significant gains and losses for the stock holders. Many times it is difficult to understand how stock prices of shipping companies are moving, since there is no clear correlation between the stock prices of shipping companies and leading market indexes such as Dow Jones Industrial Average (DJIA) or Dow Jones Transportation Average (DJTA). At first sight evolution of stock prices should be linked with the evolution of the shipping indices which are daily published by the Baltic Exchange, but the complex chartering strategies of shipping companies and their preference for long term contracts are considerably reducing the impact of short term evolution of shipping indices on the stock prices. The purpose of this study is to examine the listed shipping companies' stock price sensitivity to the dry bulk market and stock market movements.
Abstract: Shipping companies are exposed to various risks in the course of their business. In ord... more Abstract: Shipping companies are exposed to various risks in the course of their business. In order to survive on a highly competitive market, shipping companies should focus on risk management. Taking in consideration that volatility in ship prices may generate large profits, but also massive losses, the purpose of this study is to quantify the asset price risk in the shipping industry for different types of portfolios by applying the analytical Value at Risk model.
In shipping, the freight market represents the adjustment mechanism linking supply and demand. Mo... more In shipping, the freight market represents the adjustment mechanism linking supply and demand. Most of the times, the time charter level is a consequence of the equilibrium between demand and supply of ships in the area, but there are also situations when the market raises significantly in an area and, as a consequence, vessels situated at a shorter or a longer distance from that area are ballasting toward the hot area, shattering the equilibrium. The purpose of this study is to assess the bidirectional relationships between various components of Baltic Supramax Index by applying vector autoregressive models
An appropriate level of reinsurance is one of the premises of the existence and functioning of a ... more An appropriate level of reinsurance is one of the premises of the existence and functioning of a stable insurance market. In the Romanian insurance market, currently, reinsurance represents the most appropriate solution for insurance companies, as it helps to dispersion of risks, achievement of solvency requirements, levelling of risk profile and growth of underwriting capacity. This study attempts to analyze the determinants of the demand for reinsurance in the Romanian insurance market during the period 2008 – 2012. According to the final results achieved by applying specific panel data techniques, the determinants of the demand for reinsurance in the Romanian insurance market are the return on total assets ratio, company size, number of years since the company operates in the Romanian insurance market and the financial leverage in insurance.