Mirza Muhammad Naseer | Teesside University (original) (raw)
Papers by Mirza Muhammad Naseer
Emerald Publishing Limited eBooks, May 6, 2024
International Journal of Energy Sector Management, Sep 24, 2023
Purpose This study aims to examine the relationship between environmental, social and governance ... more Purpose This study aims to examine the relationship between environmental, social and governance (ESG) disclosure, firm risk and stock market returns within the Chinese energy sector. Using a variety of econometric techniques, the study seeks to uncover the impact of ESG disclosure on risk mitigation and its influence on stock market performance. Design/methodology/approach Benchmark regression models were used to explore the associations between ESG disclosure, firm risk and stock returns. To address potential endogeneity, a generalised method of moments estimator is used. Quantile regression was used for robustness analysis. Findings The study reveals a negative relationship between ESG disclosure and firm risk, indicating that companies with greater ESG disclosure tend to experience reduced risk exposure. In addition, a positive association is observed between ESG disclosure and stock market returns, suggesting that companies with more comprehensive ESG disclosure practices tend to perform better in the stock market. Research limitations/implications This study implies that investors appreciate sustainable investment and incorporate ESG practices and disclosure in decision-making. Policymakers can promote transparent ESG reporting through regulatory frameworks, fostering sustainable practices in the energy sector. Originality/value Despite the mounting concerns over carbon dioxide emissions and the energy industry’s environmental footprint, this study pioneers a comprehensive analysis of ESG disclosure within this critical sector. Delving into the relationship of ESG practices, firm risk and market returns, this research uniquely examines both risk mitigation and return enhancement, shedding new light on sustainable strategies in the energy domain.
International Journal of Energy Sector Management, 2023
Purpose This study aims to examine the relationship between environmental, social and governance ... more Purpose
This study aims to examine the relationship between environmental, social and governance (ESG) disclosure, firm risk and stock market returns within the Chinese energy sector. Using a variety of econometric techniques, the study seeks to uncover the impact of ESG disclosure on risk mitigation and its influence on stock market performance.
Design/methodology/approach
Benchmark regression models were used to explore the associations between ESG disclosure, firm risk and stock returns. To address potential endogeneity, a generalised method of moments estimator is used. Quantile regression was used for robustness analysis.
Findings
The study reveals a negative relationship between ESG disclosure and firm risk, indicating that companies with greater ESG disclosure tend to experience reduced risk exposure. In addition, a positive association is observed between ESG disclosure and stock market returns, suggesting that companies with more comprehensive ESG disclosure practices tend to perform better in the stock market.
Research limitations/implications
This study implies that investors appreciate sustainable investment and incorporate ESG practices and disclosure in decision-making. Policymakers can promote transparent ESG reporting through regulatory frameworks, fostering sustainable practices in the energy sector.
Originality/value
Despite the mounting concerns over carbon dioxide emissions and the energy industry’s environmental footprint, this study pioneers a comprehensive analysis of ESG disclosure within this critical sector. Delving into the relationship of ESG practices, firm risk and market returns, this research uniquely examines both risk mitigation and return enhancement, shedding new light on sustainable strategies in the energy domain.
Financial Markets, Institutions and Risks
We explore the impact on firm value by numerous factors in the energy industry using panel data f... more We explore the impact on firm value by numerous factors in the energy industry using panel data from 2010 to 2020. The analysis employs different econometric methods, including fixed-effects, random-effects, two-stage least squares, and generalized method of moments. Our main variables of interest are firm value, firm-level climate change risk, fixed assets, leverage, dividend yield, market capitalization, and assets tangibility. The result suggests that investors are valuing energy firms less due to their exposure to climate change risk. We found that climate change risk, fixed assets, firm leverage, and assets tangibility are negatively related while market capitalization and dividend yield are positively related to firm value. These findings have important implications for energy firms, policymakers, and investors. Energy firms need to consider climate change risk in their investment decisions to maintain their market value, and policymakers should encourage firms to disclose the...
We explore the impact on firm value by numerous factors in the energy industry using panel data f... more We explore the impact on firm value by numerous factors in the energy industry using panel data from 2010 to 2020. The analysis employs different econometric methods, including fixed-effects, randomeffects, two-stage least squares, and generalized method of moments. Our main variables of interest are firm value, firm-level climate change risk, fixed assets, leverage, dividend yield, market capitalization, and assets tangibility. The result suggests that investors are valuing energy firms less due to their exposure to climate change risk. We found that climate change risk, fixed assets, firm leverage, and assets tangibility are negatively related while market capitalization and dividend yield are positively related to firm value. These findings have important implications for energy firms, policymakers, and investors. Energy firms need to consider climate change risk in their investment decisions to maintain their market value, and policymakers should encourage firms to disclose their climate change risk to improve market efficiency. Finally, investors need to incorporate climate change risk in their investment strategies to mitigate potential financial losses.
Singaporean Journal of Business Economics and Management Studies
International Journal of Accounting and Financial Reporting, 2017
Choosing the appropriate mix of various short and long term sources of funds, stands among the ac... more Choosing the appropriate mix of various short and long term sources of funds, stands among the acute decisions to be taken by management of the firms, to form elementary suitability for investment and other decisions. Literature lacking consensus pertinent to impact of capital structure on financial performance of the firms. This study intends to investigate the impact of capital structure on financial performance of fuel and energy sector of Pakistan taking into account secondary data from 2006-14. Empirical results of renowned econometric model multiple regression revealed that there is a significant negative impact of capital structure on ROA and ROE of firms in fuel & energy sector of Pakistan, while EPS is least driven by capital structure parameters, only the size has significant positive bearing on EPS. The research findings suggest provide policy makers and administrators to rely on equity financing rather debt ethos in order to mitigate the default risk exposure.
Financial Markets, Institutions and Risks
The existing literature on stock performance has focused on the viability of asset pricing theori... more The existing literature on stock performance has focused on the viability of asset pricing theories, macroeconomic and microeconomic variations, and institutional disparities. Yet, whether any additional factors influence SP (Stock Performance) remains unanswered. To address this question, the study aims to provide fresh insights into industry factors concerning firm stock performance. The study adds to the existing research literature by focusing on these issues in the context of a developing economy. Data from 80 organizations were evaluated using a multiple regression model for 12 years to study the problem. The findings back up the importance of sector nature in stock performance. According to the results, company size, munificence, and HHI negatively link with financial performance, but growth, GDP, exchange rate, money supply, and oil prices have a positive link. The findings can help firms and individual investors better understand the factors that influence share prices, all...
Journal of Risk and Financial Management
The available research literature on stock performance has primarily stressed the importance of a... more The available research literature on stock performance has primarily stressed the importance of asset price theories, macroeconomic and microeconomic, and institutional differences. However, there is still an open question: Are there any other factors those influence stock performance? This research aims to answer this question by providing new insights into industry factors along with country-level and firm-specific factors in conjunction with the stock performance of the non-financial sector firms listed at the Pakistan Stock Exchange. The study provides new insights into the prevailing research literature by considering an emerging economy, Pakistan. We find that non-financial sector firms are heterogeneous, suggesting applying a fixed effect approach for reliable estimation. To investigate the issue, data from 80 companies spanning 17 years (2004–2020) were analyzed with a fixed-effect model. Our study results revealed that firm tangibility, munificence, gross domestic product, ...
Sustainability, 2021
Agricultural sector is significant for Sub-Saharan African countries and is highly exposed and se... more Agricultural sector is significant for Sub-Saharan African countries and is highly exposed and sensitive to climate change. This study aims to investigate the overall long-run impacts of temperature and precipitation on agricultural growth in 32 Sub-Saharan African countries. As proposed by Chudik and Pesaran, our estimations are based on augmented autoregressive distributed lag(ARDL) modelling and panel estimators with multifactor error structures. We estimate the “dynamic common correlated long-run effects (DCCE)” through the cross-sectionally augmented distributed lag (CS-DL) approach as well as through the cross-sectionally augmented autoregressive distributed lag (CS-ARDL). For robustness check, we also consider the cross-sectionally augmented error correction method (CS-ECM) and the common dynamic process augmented mean group (AMG). The study suggests that rising temperatures have significantly developed a negative long-term relationship with the agricultural growth in Sub-Sah...
Financial Markets, Institutions and Risks, Mar 29, 2022
The existing literature on stock performance has focused on the viability of asset pricing theori... more The existing literature on stock performance has focused on the viability of asset pricing theories, macroeconomic and microeconomic variations, and institutional disparities. Yet, whether any additional factors influence SP (Stock Performance) remains unanswered. To address this question, the study aims to provide fresh insights into industry factors concerning firm stock performance. The study adds to the existing research literature by focusing on these issues in the context of a developing economy. Data from 80 organizations were evaluated using a multiple regression model for 12 years to study the problem. The findings back up the importance of sector nature in stock performance. According to the results, company size, munificence, and HHI negatively link with financial performance, but growth, GDP, exchange rate, money supply, and oil prices have a positive link. The findings can help firms and individual investors better understand the factors that influence share prices, allowing them to assess their investment options better. Other financial institutions can provide better advice and products to investors seeking funding to finance share purchases.
Studies of Applied Economics, 2022
Growing complexities in the indigence and global business environment, the demand for Corporate R... more Growing complexities in the indigence and global business environment, the demand for Corporate Risk Management (CRM) has fostered greatly. Equally, Financial Performance (FP) and Sustainable Growth Rate (SGR) are believed to be vital parameters for assessing any organisation's success. Both FP and SGR are get affected by different risks. Therefore, to the best of our knowledge, this paper is the first endeavour meant to empirically shed light on the Impact of CRM on a firm’s FP and SGR. By taking a sample of 160 listed Non-Financial firms from emerging and developed Countries stocks markets, on the bases of market capitalization, covering a period of 12 years (2007-2018). The CRM index has been constructed by using the Principal Component Analysis technique. Panel data fixed-effect Model applied on the bases of Hausman test. The results articulated that CRM has a significant and positive impact on ROE and SGR in the context of both cases. In contrast, inflation negatively relat...
Naseer, M.M., 2021
The available research literature on stock performance has primarily stressed the importance of a... more The available research literature on stock performance has primarily stressed the importance of asset price theories, macroeconomic and microeconomic, and institutional differences. However, there is still an open question: Are there any other factors those influence stock performance? This research aims to answer this question by providing new insights into industry factors along with country-level and firm-specific factors in conjunction with the stock performance of the non-financial sector firms listed at the Pakistan Stock Exchange. The study provides new insights
into the prevailing research literature by considering an emerging economy, Pakistan. We find that non-financial sector firms are heterogeneous, suggesting applying a fixed effect approach for reliable estimation. To investigate the issue, data from 80 companies spanning 17 years (2004–2020) were analyzed with a fixed-effect model. Our study results revealed that firm tangibility, munificence, gross domestic product, inflation and money supply have negative, while size, growth, dynamism, Herfindahl–Hirschman index, exchange rate and oil prices have a positive relationship with financial performance. The results are robust under alternative estimation approaches and offer useful policy implications.
Sustainability, 2021
Agricultural sector is significant for Sub-Saharan African countries and is highly exposed and se... more Agricultural sector is significant for Sub-Saharan African countries and is highly exposed and sensitive to climate change. This study aims to investigate the overall long-run impacts of temperature and precipitation on agricultural growth in 32 Sub-Saharan African countries. As proposed by Chudik and Pesaran, our estimations are based on augmented autoregressive distributed lag(ARDL) modelling and panel estimators with multifactor error structures. We estimate the “dynamic common correlated long-run effects (DCCE)” through the cross-sectionally augmented distributed lag (CS-DL) approach as well as through the cross-sectionally augmented autoregressive distributed lag (CS-ARDL). For robustness check, we also consider the cross-sectionally augmented error correction method (CS-ECM) and the common dynamic process augmented mean group (AMG). The study suggests that rising temperatures have significantly developed a negative long-term relationship with the agricultural growth in Sub-Saharan Africa. At the same time, the long-run effect of precipitation is less important and not statistically significant in most estimations. According to the CS-DL approach, the negative impact of a 1Crise in temperature could be as high as a 4.2 to 4.7 percentage point decrease in the agricultural growth rate. The results indicate that the warming climate has considerably damaged the agrarian activities in Sub-Saharan Africa, necessitating adaptive climate measures to avoid any food scarcity or economic stagnation in agricultural driven African countries.
Citation: Talib, M.N.A.; Ahmed, M.; Naseer, M.M.; Slusarczyk, B.; Popp, J. The Long-Run Impacts o... more Citation: Talib, M.N.A.; Ahmed, M.; Naseer, M.M.; Slusarczyk, B.; Popp, J. The Long-Run Impacts of Temperature and Rainfall on Agricultural Growth in Sub-Saharan Africa. Sustainability 2021, 13, 595.
International Journal of Accounting and Financial Reporting, 2017
Choosing the appropriate mix of various short and long-term sources of funds, stands among the ac... more Choosing the appropriate mix of various short and long-term sources of funds, stands among the acute decisions to be taken by management of the firms to form elementary suitability for investment and other decisions. Literature is lacking in consensus pertinent to impact of capital structure on financial performance of the firms. This study intends to investigate the impact of capital structure on financial performance of fuel and energy sector of Pakistan taking into account secondary data from 2006-14. Empirical results of renowned econometric model multiple regression revealed that there is a significant negative impact of capital structure on ROA and ROE of firms in fuel & energy sector of Pakistan, while EPS is least driven by capital structure parameters, only the size has significant positive bearing on EPS. The research findings provide suggestions to policy makers and administrators to rely on equity financing rather debt ethos in order to mitigate the default risk exposure.
Drafts by Mirza Muhammad Naseer
Banks have heap on their adoption and usage of ATMs as a major e-banking instrument to produce si... more Banks have heap on their adoption and usage of ATMs as a major e-banking instrument to produce significant contributions to their operations and financial results. This study examine whether ATM networks has offer positive benefits for banks in Pakistan by rising their productive efficiency. The link between IT investment and firm performance has been broadly studied, but a small number of researchers have study the impact of ATMs on a firm’s cost efficiency. We thus empirically check the effects of ATMs on cost efficiency of banks in Pakistan. Numerous prior studies tried to establish the value of ATM investments these though unsuccessful to present real ATMs investment data that considered the power of its consumption and as a result, used a dummy variable to indicate whether or not the ATM investment was made. This practice has made it unfeasible to evaluate the accurate value of ATM investment. To improve this flawed measure, we use real ATM numbers and bank operating and financial data to assess the scope of ATM investment. The broad objective of this study was therefore to analyze the effect of the ATMs on the cost efficiency of banks in Pakistan. Other factors were also considered, those are bank size, non-performing loans ratio, number of banks during period of study and number of ATMs. Number of ATMs, and bank size were found significant. The results showed that number of ATMs which made positive significant affect on cost efficiency of banks in Pakistan bank size and non-performing loan are also significant.
In the finance, the agency theory attempts to describe the behaviors of numerous agents that medi... more In the finance, the agency theory attempts to describe the behaviors of numerous agents that mediate in the firm's funding (managers, stockholders and debt holders) and to evaluate the influence of these behaviors on the financial structure. In view of the agency theory, the ideal capital structure comes from settlement among several funding choices like equity, debts and other securities and that let the settlement of conflicts of interests among the capital providers (stockholders and debt providers) and managers. The debt allows stockholders and managers to follow to same intentions, but origins other conflicts between managers and stockholders one side and creditors on the other side. The ideal level of debt is the one that assure the least of total agency costs. Overview Agency Theory Agency theory which express that in what manner the executive, manager (agents) perform in the best interest of owners, shareholders (Principals) of an organization. Theory consider the relationship wherever in a deal ''one or more persons (the principal(s)) engage another person (the agent) to perform some service on their behalf which involves delegating some decision making authority to the agent'' (Jensen and Meckling, 1976: 308). The agency theory developed by Jensen and Meckling (1976). Agency theory point out the cost arises due to conflict of interest among manager, debt holders and equity holders. Jensen and Meckling (1976) considered the conflict between the shareholder and manager and between shareholders and bondholders as major type of conflict those will leads to agency problem thus agency cost. They further stated that agency problem also relative with debt in the shape of risk shifting. Agency theory with the view that the mangers issue debt instead of shares and bond themselves to payout future cash flows it is not possible if they distribute the earning in shape of dividend.
Emerald Publishing Limited eBooks, May 6, 2024
International Journal of Energy Sector Management, Sep 24, 2023
Purpose This study aims to examine the relationship between environmental, social and governance ... more Purpose This study aims to examine the relationship between environmental, social and governance (ESG) disclosure, firm risk and stock market returns within the Chinese energy sector. Using a variety of econometric techniques, the study seeks to uncover the impact of ESG disclosure on risk mitigation and its influence on stock market performance. Design/methodology/approach Benchmark regression models were used to explore the associations between ESG disclosure, firm risk and stock returns. To address potential endogeneity, a generalised method of moments estimator is used. Quantile regression was used for robustness analysis. Findings The study reveals a negative relationship between ESG disclosure and firm risk, indicating that companies with greater ESG disclosure tend to experience reduced risk exposure. In addition, a positive association is observed between ESG disclosure and stock market returns, suggesting that companies with more comprehensive ESG disclosure practices tend to perform better in the stock market. Research limitations/implications This study implies that investors appreciate sustainable investment and incorporate ESG practices and disclosure in decision-making. Policymakers can promote transparent ESG reporting through regulatory frameworks, fostering sustainable practices in the energy sector. Originality/value Despite the mounting concerns over carbon dioxide emissions and the energy industry’s environmental footprint, this study pioneers a comprehensive analysis of ESG disclosure within this critical sector. Delving into the relationship of ESG practices, firm risk and market returns, this research uniquely examines both risk mitigation and return enhancement, shedding new light on sustainable strategies in the energy domain.
International Journal of Energy Sector Management, 2023
Purpose This study aims to examine the relationship between environmental, social and governance ... more Purpose
This study aims to examine the relationship between environmental, social and governance (ESG) disclosure, firm risk and stock market returns within the Chinese energy sector. Using a variety of econometric techniques, the study seeks to uncover the impact of ESG disclosure on risk mitigation and its influence on stock market performance.
Design/methodology/approach
Benchmark regression models were used to explore the associations between ESG disclosure, firm risk and stock returns. To address potential endogeneity, a generalised method of moments estimator is used. Quantile regression was used for robustness analysis.
Findings
The study reveals a negative relationship between ESG disclosure and firm risk, indicating that companies with greater ESG disclosure tend to experience reduced risk exposure. In addition, a positive association is observed between ESG disclosure and stock market returns, suggesting that companies with more comprehensive ESG disclosure practices tend to perform better in the stock market.
Research limitations/implications
This study implies that investors appreciate sustainable investment and incorporate ESG practices and disclosure in decision-making. Policymakers can promote transparent ESG reporting through regulatory frameworks, fostering sustainable practices in the energy sector.
Originality/value
Despite the mounting concerns over carbon dioxide emissions and the energy industry’s environmental footprint, this study pioneers a comprehensive analysis of ESG disclosure within this critical sector. Delving into the relationship of ESG practices, firm risk and market returns, this research uniquely examines both risk mitigation and return enhancement, shedding new light on sustainable strategies in the energy domain.
Financial Markets, Institutions and Risks
We explore the impact on firm value by numerous factors in the energy industry using panel data f... more We explore the impact on firm value by numerous factors in the energy industry using panel data from 2010 to 2020. The analysis employs different econometric methods, including fixed-effects, random-effects, two-stage least squares, and generalized method of moments. Our main variables of interest are firm value, firm-level climate change risk, fixed assets, leverage, dividend yield, market capitalization, and assets tangibility. The result suggests that investors are valuing energy firms less due to their exposure to climate change risk. We found that climate change risk, fixed assets, firm leverage, and assets tangibility are negatively related while market capitalization and dividend yield are positively related to firm value. These findings have important implications for energy firms, policymakers, and investors. Energy firms need to consider climate change risk in their investment decisions to maintain their market value, and policymakers should encourage firms to disclose the...
We explore the impact on firm value by numerous factors in the energy industry using panel data f... more We explore the impact on firm value by numerous factors in the energy industry using panel data from 2010 to 2020. The analysis employs different econometric methods, including fixed-effects, randomeffects, two-stage least squares, and generalized method of moments. Our main variables of interest are firm value, firm-level climate change risk, fixed assets, leverage, dividend yield, market capitalization, and assets tangibility. The result suggests that investors are valuing energy firms less due to their exposure to climate change risk. We found that climate change risk, fixed assets, firm leverage, and assets tangibility are negatively related while market capitalization and dividend yield are positively related to firm value. These findings have important implications for energy firms, policymakers, and investors. Energy firms need to consider climate change risk in their investment decisions to maintain their market value, and policymakers should encourage firms to disclose their climate change risk to improve market efficiency. Finally, investors need to incorporate climate change risk in their investment strategies to mitigate potential financial losses.
Singaporean Journal of Business Economics and Management Studies
International Journal of Accounting and Financial Reporting, 2017
Choosing the appropriate mix of various short and long term sources of funds, stands among the ac... more Choosing the appropriate mix of various short and long term sources of funds, stands among the acute decisions to be taken by management of the firms, to form elementary suitability for investment and other decisions. Literature lacking consensus pertinent to impact of capital structure on financial performance of the firms. This study intends to investigate the impact of capital structure on financial performance of fuel and energy sector of Pakistan taking into account secondary data from 2006-14. Empirical results of renowned econometric model multiple regression revealed that there is a significant negative impact of capital structure on ROA and ROE of firms in fuel & energy sector of Pakistan, while EPS is least driven by capital structure parameters, only the size has significant positive bearing on EPS. The research findings suggest provide policy makers and administrators to rely on equity financing rather debt ethos in order to mitigate the default risk exposure.
Financial Markets, Institutions and Risks
The existing literature on stock performance has focused on the viability of asset pricing theori... more The existing literature on stock performance has focused on the viability of asset pricing theories, macroeconomic and microeconomic variations, and institutional disparities. Yet, whether any additional factors influence SP (Stock Performance) remains unanswered. To address this question, the study aims to provide fresh insights into industry factors concerning firm stock performance. The study adds to the existing research literature by focusing on these issues in the context of a developing economy. Data from 80 organizations were evaluated using a multiple regression model for 12 years to study the problem. The findings back up the importance of sector nature in stock performance. According to the results, company size, munificence, and HHI negatively link with financial performance, but growth, GDP, exchange rate, money supply, and oil prices have a positive link. The findings can help firms and individual investors better understand the factors that influence share prices, all...
Journal of Risk and Financial Management
The available research literature on stock performance has primarily stressed the importance of a... more The available research literature on stock performance has primarily stressed the importance of asset price theories, macroeconomic and microeconomic, and institutional differences. However, there is still an open question: Are there any other factors those influence stock performance? This research aims to answer this question by providing new insights into industry factors along with country-level and firm-specific factors in conjunction with the stock performance of the non-financial sector firms listed at the Pakistan Stock Exchange. The study provides new insights into the prevailing research literature by considering an emerging economy, Pakistan. We find that non-financial sector firms are heterogeneous, suggesting applying a fixed effect approach for reliable estimation. To investigate the issue, data from 80 companies spanning 17 years (2004–2020) were analyzed with a fixed-effect model. Our study results revealed that firm tangibility, munificence, gross domestic product, ...
Sustainability, 2021
Agricultural sector is significant for Sub-Saharan African countries and is highly exposed and se... more Agricultural sector is significant for Sub-Saharan African countries and is highly exposed and sensitive to climate change. This study aims to investigate the overall long-run impacts of temperature and precipitation on agricultural growth in 32 Sub-Saharan African countries. As proposed by Chudik and Pesaran, our estimations are based on augmented autoregressive distributed lag(ARDL) modelling and panel estimators with multifactor error structures. We estimate the “dynamic common correlated long-run effects (DCCE)” through the cross-sectionally augmented distributed lag (CS-DL) approach as well as through the cross-sectionally augmented autoregressive distributed lag (CS-ARDL). For robustness check, we also consider the cross-sectionally augmented error correction method (CS-ECM) and the common dynamic process augmented mean group (AMG). The study suggests that rising temperatures have significantly developed a negative long-term relationship with the agricultural growth in Sub-Sah...
Financial Markets, Institutions and Risks, Mar 29, 2022
The existing literature on stock performance has focused on the viability of asset pricing theori... more The existing literature on stock performance has focused on the viability of asset pricing theories, macroeconomic and microeconomic variations, and institutional disparities. Yet, whether any additional factors influence SP (Stock Performance) remains unanswered. To address this question, the study aims to provide fresh insights into industry factors concerning firm stock performance. The study adds to the existing research literature by focusing on these issues in the context of a developing economy. Data from 80 organizations were evaluated using a multiple regression model for 12 years to study the problem. The findings back up the importance of sector nature in stock performance. According to the results, company size, munificence, and HHI negatively link with financial performance, but growth, GDP, exchange rate, money supply, and oil prices have a positive link. The findings can help firms and individual investors better understand the factors that influence share prices, allowing them to assess their investment options better. Other financial institutions can provide better advice and products to investors seeking funding to finance share purchases.
Studies of Applied Economics, 2022
Growing complexities in the indigence and global business environment, the demand for Corporate R... more Growing complexities in the indigence and global business environment, the demand for Corporate Risk Management (CRM) has fostered greatly. Equally, Financial Performance (FP) and Sustainable Growth Rate (SGR) are believed to be vital parameters for assessing any organisation's success. Both FP and SGR are get affected by different risks. Therefore, to the best of our knowledge, this paper is the first endeavour meant to empirically shed light on the Impact of CRM on a firm’s FP and SGR. By taking a sample of 160 listed Non-Financial firms from emerging and developed Countries stocks markets, on the bases of market capitalization, covering a period of 12 years (2007-2018). The CRM index has been constructed by using the Principal Component Analysis technique. Panel data fixed-effect Model applied on the bases of Hausman test. The results articulated that CRM has a significant and positive impact on ROE and SGR in the context of both cases. In contrast, inflation negatively relat...
Naseer, M.M., 2021
The available research literature on stock performance has primarily stressed the importance of a... more The available research literature on stock performance has primarily stressed the importance of asset price theories, macroeconomic and microeconomic, and institutional differences. However, there is still an open question: Are there any other factors those influence stock performance? This research aims to answer this question by providing new insights into industry factors along with country-level and firm-specific factors in conjunction with the stock performance of the non-financial sector firms listed at the Pakistan Stock Exchange. The study provides new insights
into the prevailing research literature by considering an emerging economy, Pakistan. We find that non-financial sector firms are heterogeneous, suggesting applying a fixed effect approach for reliable estimation. To investigate the issue, data from 80 companies spanning 17 years (2004–2020) were analyzed with a fixed-effect model. Our study results revealed that firm tangibility, munificence, gross domestic product, inflation and money supply have negative, while size, growth, dynamism, Herfindahl–Hirschman index, exchange rate and oil prices have a positive relationship with financial performance. The results are robust under alternative estimation approaches and offer useful policy implications.
Sustainability, 2021
Agricultural sector is significant for Sub-Saharan African countries and is highly exposed and se... more Agricultural sector is significant for Sub-Saharan African countries and is highly exposed and sensitive to climate change. This study aims to investigate the overall long-run impacts of temperature and precipitation on agricultural growth in 32 Sub-Saharan African countries. As proposed by Chudik and Pesaran, our estimations are based on augmented autoregressive distributed lag(ARDL) modelling and panel estimators with multifactor error structures. We estimate the “dynamic common correlated long-run effects (DCCE)” through the cross-sectionally augmented distributed lag (CS-DL) approach as well as through the cross-sectionally augmented autoregressive distributed lag (CS-ARDL). For robustness check, we also consider the cross-sectionally augmented error correction method (CS-ECM) and the common dynamic process augmented mean group (AMG). The study suggests that rising temperatures have significantly developed a negative long-term relationship with the agricultural growth in Sub-Saharan Africa. At the same time, the long-run effect of precipitation is less important and not statistically significant in most estimations. According to the CS-DL approach, the negative impact of a 1Crise in temperature could be as high as a 4.2 to 4.7 percentage point decrease in the agricultural growth rate. The results indicate that the warming climate has considerably damaged the agrarian activities in Sub-Saharan Africa, necessitating adaptive climate measures to avoid any food scarcity or economic stagnation in agricultural driven African countries.
Citation: Talib, M.N.A.; Ahmed, M.; Naseer, M.M.; Slusarczyk, B.; Popp, J. The Long-Run Impacts o... more Citation: Talib, M.N.A.; Ahmed, M.; Naseer, M.M.; Slusarczyk, B.; Popp, J. The Long-Run Impacts of Temperature and Rainfall on Agricultural Growth in Sub-Saharan Africa. Sustainability 2021, 13, 595.
International Journal of Accounting and Financial Reporting, 2017
Choosing the appropriate mix of various short and long-term sources of funds, stands among the ac... more Choosing the appropriate mix of various short and long-term sources of funds, stands among the acute decisions to be taken by management of the firms to form elementary suitability for investment and other decisions. Literature is lacking in consensus pertinent to impact of capital structure on financial performance of the firms. This study intends to investigate the impact of capital structure on financial performance of fuel and energy sector of Pakistan taking into account secondary data from 2006-14. Empirical results of renowned econometric model multiple regression revealed that there is a significant negative impact of capital structure on ROA and ROE of firms in fuel & energy sector of Pakistan, while EPS is least driven by capital structure parameters, only the size has significant positive bearing on EPS. The research findings provide suggestions to policy makers and administrators to rely on equity financing rather debt ethos in order to mitigate the default risk exposure.
Banks have heap on their adoption and usage of ATMs as a major e-banking instrument to produce si... more Banks have heap on their adoption and usage of ATMs as a major e-banking instrument to produce significant contributions to their operations and financial results. This study examine whether ATM networks has offer positive benefits for banks in Pakistan by rising their productive efficiency. The link between IT investment and firm performance has been broadly studied, but a small number of researchers have study the impact of ATMs on a firm’s cost efficiency. We thus empirically check the effects of ATMs on cost efficiency of banks in Pakistan. Numerous prior studies tried to establish the value of ATM investments these though unsuccessful to present real ATMs investment data that considered the power of its consumption and as a result, used a dummy variable to indicate whether or not the ATM investment was made. This practice has made it unfeasible to evaluate the accurate value of ATM investment. To improve this flawed measure, we use real ATM numbers and bank operating and financial data to assess the scope of ATM investment. The broad objective of this study was therefore to analyze the effect of the ATMs on the cost efficiency of banks in Pakistan. Other factors were also considered, those are bank size, non-performing loans ratio, number of banks during period of study and number of ATMs. Number of ATMs, and bank size were found significant. The results showed that number of ATMs which made positive significant affect on cost efficiency of banks in Pakistan bank size and non-performing loan are also significant.
In the finance, the agency theory attempts to describe the behaviors of numerous agents that medi... more In the finance, the agency theory attempts to describe the behaviors of numerous agents that mediate in the firm's funding (managers, stockholders and debt holders) and to evaluate the influence of these behaviors on the financial structure. In view of the agency theory, the ideal capital structure comes from settlement among several funding choices like equity, debts and other securities and that let the settlement of conflicts of interests among the capital providers (stockholders and debt providers) and managers. The debt allows stockholders and managers to follow to same intentions, but origins other conflicts between managers and stockholders one side and creditors on the other side. The ideal level of debt is the one that assure the least of total agency costs. Overview Agency Theory Agency theory which express that in what manner the executive, manager (agents) perform in the best interest of owners, shareholders (Principals) of an organization. Theory consider the relationship wherever in a deal ''one or more persons (the principal(s)) engage another person (the agent) to perform some service on their behalf which involves delegating some decision making authority to the agent'' (Jensen and Meckling, 1976: 308). The agency theory developed by Jensen and Meckling (1976). Agency theory point out the cost arises due to conflict of interest among manager, debt holders and equity holders. Jensen and Meckling (1976) considered the conflict between the shareholder and manager and between shareholders and bondholders as major type of conflict those will leads to agency problem thus agency cost. They further stated that agency problem also relative with debt in the shape of risk shifting. Agency theory with the view that the mangers issue debt instead of shares and bond themselves to payout future cash flows it is not possible if they distribute the earning in shape of dividend.