A fuzzy-set analysis of conditions influencing mutual fund performance
Abstract This paper presents an application of fuzzy-set qualitative comparative analysis (fsQCA) to frame the conditions that lead to over- or under-performance of mutual funds. Building upon a considerable library of research on fund returns, the study uses fsQCA to affirm and extend earlier discoveries. Considered here is fund performance relative to Morningstar ratings, features of the funds themselves, as well as characteristics of the fund managers. Results suggest that positive Morningstar and analyst ratings are necessary conditions, on average, for funds to generate value according to the Jensen's alpha ratio. Just over seven percent of the cases imply that funds have attractive Sh…
Alternative paths to high performance of independent financial advisors: A fuzzy-set analysis
Abstract This study performs a fuzzy-set Qualitative Comparative Analysis (fsQCA) to determine the conditions that lead to high performance of independent financial advisors. The study examines the performance of these companies in terms of their involvement in innovation activities, participation in business networks, and open innovation as a strategy to cope with difficult market conditions resulting from the recent economic downturn. This approach clarifies the relationship between combinations of conditions and high performance. The results suggest that involvement in innovation activities is the most relevant factor in financial advisors performance. Independent financial advisors may …
Networking and knowledge creation: Social capital and collaborative innovation in responding to the COVID-19 crisis
This study empirically explores the role of social capital in creating collaborative innovation and collective intelligence and maintaining organizational sustainability in the unprecedented COVID-19 crisis. Data were collected from a sample of 289 managers, directors and heads of departments of top 50 manufacturing firms in Jordan and analyzed using Smart-PLS-SEM. The results indicate that social capital significantly impacts collaborative innovation, collective intelligence and organization sustainability during the COVID-19 crisis. They also reveal that collective intelligence significantly impacts collaborative innovation and organization sustainability. This study enriches the literatu…
Influences on mutual fund performance: comparing US and Europe using qualitative comparative analysis
This study examines the conditions that lead mutual funds to underperform or outperform competitors. Using fuzzy-set qualitative comparative analysis (fsQCA), we draw upon extensive research on fund returns to affirm and extend earlier discoveries. Fund performance (Morningstar ratings), features of the funds themselves, and characteristics of the fund managers are considered. Positive Morningstar star and analyst ratings are necessary conditions for funds to generate value (measured by Jensen’s alpha). Funds with low management fees and low ongoing fees have attractive Sharpe ratios and high returns. Likewise, large funds with good Morningstar ratings have good Sharpe ratios and returns, o…
Special Issue: Current Trends in Research in Accounting Finance and Management Control
On January 27, 2016, an agreement was signed with OmniaScience to select articles to be published in the journal Intangible Capital, in a special issue titled "Current Trends in Research in Accounting, Finance and Management Control." The agreement was reached within the framework of three events at the University of Valencia, from June 27 to 30, 2016: XXI Workshop on Accounting and Management Control. “Memorial Raymond Konopka”, X Iberoamerican Congress of Management Accounting, III International Congress on Port Management.More than 200 papers were presented to these events. After being peer-reviewed by a scientific committee made up of 50 professionals, 123 papers were selected. Then, t…
Key factors of information management for crowdfunding investor satisfaction
Abstract Crowdlending platforms are becoming increasingly important as a collective financing mechanism for entrepreneurs and small and medium-sized enterprises (SMEs), especially those at an early stage. This study, which is based on a survey of investors on a Spanish crowdlending platform, uses fuzzy-set qualitative comparative analysis (fsQCA) to examine investor satisfaction with crowdlending platforms. Specifically, the study examines communication policies and the quality of the investor experience based on the information provided by these platforms. The value of this article lies in its examination of the antecedents of crowdlending investor satisfaction. The analysis shows that the…
The relationship between non-audit fees and audit quality: dealing with the endogeneity issue
Purpose – The purpose of this paper is to explore whether the provision of non-audit services (NAS) by public accounting firms undermines audit quality. The study addresses this question by testing for an association between the provision of consulting services and auditor independence in listed companies. Design/methodology/approach – The authors study if the magnitude of non-audit fees explains variations in earnings management by looking at the joint determination of non-audit fees, audit fees, and abnormal accruals using the SURE-regression estimation method. Findings – Evidence from tested models suggests that audit services quality is uncompromised by the provision of NAS. In other w…
Alternative paths to high consulting fees: A fuzzy-set analysis
Abstract Little research exists on factors that cause high consulting fees. This study examines what combinations of factors can generate the kind of competitive advantage that consulting firms can benefit from. Accordingly, this study performs a fuzzy-set qualitative comparative analysis (fsQCA) to ascertain whether consulting-client satisfaction explains differences in consulting fees and determine the conditions that lead to high consulting fees. This analysis suggests complex pathways driving companies' willingness to pay higher consulting fees. This methodological approach sheds new light on the relationship between combinations of conditions and high consulting fees. The set of condit…
The financial performance of listed companies in pursuit of the Sustainable Development Goals (SDG)
[EN] Socially responsible companies whose values are aligned with the United Nations Sustainable Development Goals (UN SDGs) contribute to creating wealth and long-term economic and social value. This alignment leads to a competitive advantage based on the triple bottom line that enhances financial performance. In this paper, fuzzy-set qualitative comparative analysis (fsQCA) is used to identify the configurations of conditions that lead to high or low financial performance (return on equity) for a sample of companies in the IBEX 35. Firms should adopt business models that embrace the SDGs because sustainability-based models can ensure not only the present but also the future of generations…
Business school grading on both sides of the Atlantic
Abstract This study examines factors that influence academic performance in introductory finance and economics classes in Spain and compares results to those of similar classes in the United States. Unlike in the US, the better-performing students in Spain attend the earliest morning classes, and inadequate sleep does not always significantly associate with lower grades. The Spanish students closer to graduation outperform their less-experienced peers, but the US students delaying taking the introductory class until closer to graduation do not typically do better, or worse. The number of work hours per week outside the university negatively associates with academic performance for students …
Financing of Productive Investments: A Model with Coordinated Scenarios
This research raises a company that knows the cash requirements to purchase capital equipments in order to satisfy the demand for the products of each of the proposed scenarios. The company is negotiating with credit institutions a series of loans at different interest rates. Also, the company can make capital increases. A model focused on the financial needs using scenarios allows us to combine funding sources to cover the costs of the acquisition of production equipment to meet the demand for each scenario. This combination remunerates own financing, settles interest and repays the borrowed capital. The results indicate that the model is robust and minimizes the financial cost of a possib…
Quality of consulting services and consulting fees
Abstract This study explores whether consulting service clients' degree of satisfaction can explain differences in consulting service fees to the same clients. By monitoring factors having a relationship with consulting fees as well as consulting service quality attributes, this study notes that client satisfaction with consulting team positively and strongly affects consulting fees. A dimension of consulting client satisfaction, which is not a consulting service quality attribute, is the factor that better explains consulting service pricing. This satisfaction dimension may allow consultants to charge higher fees through higher leverage while setting prices during contracting process. Clie…