Using a panel data analysis of a sample of 80 listed non-financial Jordanian firms during the period from 2000 to 2011, we investigated the corporate cash-holding decision. The firm’s decision to hold cash has come to the fore in last two or three years as a result of the recent global financial crisis, and the impact that this has had on the firms’ ability to raise funds from external sources. There is evidence in the US, for example, that firms have increased their holdings of cash as a result of increasing constraints from external sources. This current study therefore examines this issue from the point of view of a developing economy. We started by investigating the empirical determinants of corporate cash holdings; the results showed that firm size and growth opportunities have no significant effect on corporate cash-holding decisions, while firm’s cash flow, leverage, and liquid assets substitute have a significant negative effect on cash-holding decisions, and profitability and cash dividends have a positive effect on cash-holding decisions. Then we investigated empirically how cash-holding affects the value of corporate firms. Based on Fama and French’s (1998) valuation model and Faulkender and Wang’s (2006) model, the results showed that the marginal value of each Jordanian Dinar (JD) is valued at a discounted value of 0.41 JD; with higher leverage the marginal value of cash is declining, with a higher level of cash the marginal value of cash is increasing and, finally, cash dividends have no significant effect on shareholders’ value. We also investigated empirically how a group of explanatory variables affect a firm’s debt ratio by focusing on the liquidity variable. Results showed that the total debt ratio is positively affected by firm size and is negatively affected by growth opportunities, profitability, assets tangibility and total liquidity, cash, and non-cash liquidity. The long-term debt ratio is positively affected by firm size, non-debt tax shield, asset tangibility, total liquidity, cash, and non-cash liquidity, while the long-term debt ratio is negatively affected by growth opportunities and profitability. For the short-term debt models, the debt ratio is negatively affected by firm size, asset tangibility, and liquidity in its different forms. An investigation into the speed of adjustment showed that Jordanian firms quickly adjusted the total and long-term debt ratio, while they do not have an optimal or target short-term debt ratio.

Submitted by Maicon Juliano Schmidt (maicons) on 2015-06-15T13:40:37Z No. of bitstreams: 1 Anderson Kilpp.pdf: 764491 bytes, checksum: 5287714369b4b7a957c2205868b70831 (MD5) / Made available in DSpace on 2015-06-15T13:40:37Z (GMT). No. of bitstreams: 1 Anderson Kilpp.pdf: 764491 bytes, checksum: 5287714369b4b7a957c2205868b70831 (MD5) Previous issue date: 2015-02-24 / CAPES - Coordenação de Aperfeiçoamento de Pessoal de Nível Superior / Este trabalho surge em função da grande discussão a respeito da tomada de decisão dos gestores quanto ao nível de manutenção de caixa das firmas. O objetivo é verificar se existe uma relação entre o nível de governança corporativa das firmas e a liquidez que elas mantêm. É elaborado um modelo de regressão que inclui indicadores para governança corporativa, nível de liquidez e variáveis de controle apresentadas pela bibliografia da área. Utilizam-se dados de empresas brasileiras de capital aberto, listadas na BM&FBovespa, que compunham o Índice Brasil Amplo (IBRA) em 2014, com período de análise de 2010 a 2013. Realizaram-se regressões estatísticas com dados em painel e efeitos fixos. Os resultados não apresentaram significância estatística para os indicadores de Governança Corporativa (IGC1 e IGC2), elaborados pelo autor. Contudo, para o Nível de Governança Corporativa (NGC) da BM&FBovespa foram encontrados resultados consistentes, que indicam existência de correlação negativa entre NGC e nível de caixa. A interpretação dos resultados sugere a existência de problemas de agência decorrentes da possibilidade de expropriação dos recursos livres e dos interesses privados dos gestores. Além disso, verificam-se indícios de problemas de assimetria de informação, dada a tentativa de compensação dos custos de captação através da manutenção de caixa. / The present dissertation exists because of the big discussion on managers decisions about firm’s cash level. The purpose of this research is to verify if there is a relationship between companies’ level of corporate governance and their degree of liquid assets. For that, we develop a regression model witch includes corporate governance indexes, liquidity level and control variables presented on this area researches. Data comes from brazilian public companies listed in BM&FBovespa and included in IBRA (Índice Brasil Amplo) index, considering the period of 2010 to 2013. We ran statistical regressions with panel data and fixed effects. The results present non significant coefficients for corporate governance indexes IGC1 and IGC2, built by the author. However, BM&FBovespa’s index (NGC) delivers consistent results with negative correlation between corporate governance and level of cash. The interpretation of this results lead to the idea that there are agency problems resulting from the possibility of expropriation of liquid resources and from private interests of managers. Furthermore, we verify evidence of assimetric information problems, once it seems managers try to compensate the high cost of debt with cash.

Made available in DSpace on 2016-03-15T19:26:18Z (GMT). No. of bitstreams: 1 Hugo Garbe.pdf: 696698 bytes, checksum: 11502f18d4fcaf0231bbc818afc66dc5 (MD5) Previous issue date: 2015-02-02 / Coordenação de Aperfeiçoamento de Pessoal de Nível Superior / The unusual keeper box is the tendency of companies to have greater liquidity. After the 2008 Subprime crisis, it was observed that some US companies retiam a greater amount of cash compared to pre-crisis period. This behavior was attributed , among several factors, the set of uncertainties in the economic and regulatory environment. The aim of this work is to incorporate research in the United States to the Brazilian reality , analyzing its grip on the national context. The population of interest in this study refers to non-financial companies listed on the São Paulo Stock Exchange . In this case we have 156 companies that comprise the initial sample . The study covers the years 2003 to 2013. Companies that were not traded during this period , were removed from the analysis. At this stage , the sample is 83 companies, which was reduced to 54 companies opened after a preliminary check of the data. The outbreak of the 2008 economic crisis , international markets found themselves in a situation of fragility , especially those who were not prepared in terms of financial regulation to address its effects. Economic crises encourage companies to have a higher level cash retention , since there is essentially a reduction in their levels of investment , reduction of credit in the financial market , and the effects of uncertainty about the future of the economy. The above authors analyzed the cash US companies during the crisis of 2001 and found that during the period there were cash retention, compared with previous periods. In this study, where the sample is comprised of companies with publicly traded on the São Paulo stock exchange , it was found in the data, that when comparing pre and post-crisis , there is a reduction of cash retention after 2008, which brings us to the conclusion that the economic crisis had a negative impact on companies surveyed. / A retenção não usual de caixa é a tendência das empresas de ter maior liquidez. Após a crise do Subprime de 2008, observou-se que algumas empresas americanas retiam um montante maior de caixa, comparativamente ao período pré-crise. Esse comportamento foi atribuído, entre diversos fatores, ao conjunto de incertezas no ambiente econômico e regulatório. O objetivo do presente trabalho é transpor pesquisas realizadas nos Estados Unidos para a realidade brasileira, analisando sua aderência no contexto nacional. A população de interesse do presente estudo refere-se às empresas não financeiras listadas na Bolsa de Valores de São Paulo. Neste caso, temos 156 empresas que compões a amostra inicial. O estudo abrange o ano de 2003 a 2013. Empresas que não tinham capital aberto durante este período, foram retiradas da análise. Neste estágio, a amostra é de 83 empresas, que foi reduzida a 54 empresas abertas após checagem preliminar dos dados obtidos. A deflagração da crise econômica de 2008, os mercados internacionais se viram em uma situação de fragilidade, principalmente aqueles que não estavam preparados em termos de regulação financeira para enfrentar os seus efeitos. As crises econômicas incentivam as companhias a ter um nível maior de retenção de caixa, uma vez que há essencialmente uma redução de seus níveis de investimentos, redução do crédito no mercado financeiro, e os efeitos da incerteza quanto ao futuro da economia. Os autores supracitados analisaram o caixa de empresas norte-americanas durante a crise de 2001 e verificaram que durante o período houve retenção de caixa, se comparado com períodos anteriores. Na presente pesquisa, onde a amostra é composta por empresas com capital aberto na bolsa de valores de São Paulo, verificou-se nos dados estatísticos, que na comparação pré e pós-crise, há uma redução da retenção de caixa após 2008, o que nos traz a conclusão de que a crise econômica teve um impacto negativo nas empresas pesquisadas.

本研究旨在探討家族企業接班與接班人類型對於公司現金來源及現金價值的影響。本研究使用於1992年至2015年被列於S&P 1500指數的公司為樣本進行實證研究。實證結果顯示家族企業接班後將減少使用發行股票為公司現金的來源。此外，當接班人為家族成員時，企業接班後的邊際現金價值會較低；然而於財務限制的家族企業，企業接班將使當年度的邊際現金價值提高。本研究結果顯示資本市場對於家族企業接班投以較高的關注，尤其當接班人為家族成員時程度更為顯著。 / This study examines the effect of succession on the cash saving behavior and the value of cash holdings for family firms. By examining the Standard and Poor 1500 indexed firms from 1992 to 2015, we find that cash savings from equity issuance decrease around successions, and the decreasing effect lasts longer with family related successors. In addition, the marginal value of cash holdings will be lower after succession if the successor is associated with the family. But if family firms are financial constrained, the marginal value of cash holdings will be higher with family firms with succession at the year of succession but not after. These findings indicate that the capital markets are concerned with the succession implication for family firms more than non-family firms, especially when the successors are family members.

Submitted by Cristiane Shirayama (cristiane.shirayama@fgv.br) on 2011-06-03T17:17:44Z No. of bitstreams: 1 66080100264.pdf: 308949 bytes, checksum: 7a390b2d4b90a64b4e8396e2d219827f (MD5) / Approved for entry into archive by Gisele Isaura Hannickel(gisele.hannickel@fgv.br) on 2011-06-03T17:35:19Z (GMT) No. of bitstreams: 1 66080100264.pdf: 308949 bytes, checksum: 7a390b2d4b90a64b4e8396e2d219827f (MD5) / Approved for entry into archive by Gisele Isaura Hannickel(gisele.hannickel@fgv.br) on 2011-06-03T17:40:23Z (GMT) No. of bitstreams: 1 66080100264.pdf: 308949 bytes, checksum: 7a390b2d4b90a64b4e8396e2d219827f (MD5) / Made available in DSpace on 2011-06-03T18:34:47Z (GMT). No. of bitstreams: 1 66080100264.pdf: 308949 bytes, checksum: 7a390b2d4b90a64b4e8396e2d219827f (MD5) Previous issue date: 2011-08-08 / Este trabalho analisa se o modelo de demanda corporativa por liquidez desenvolvido por Almeida, Campelo e Weisbach (2002) pode ser utilizado para identificar se empresas latino- americanas apresentam restrição financeira para obter financiamento. Para testarmos a hipótese de que as empresas restritas financeiramente detêm um nível de caixa mais elevado, e sua propensão marginal a poupar o excedente de caixa gerado também é superior às empresas irrestritas, procedeu-se uma análise de dados em painel, relativos a uma amostra que inclui empresas de capital aberto no Brasil e no México, de 2001 a 2009. As empresas restritas financeiramente, tanto do Brasil quanto do México, aumentam o nível do caixa em decorrência do tamanho de seus ativos, sendo um fator relevante para gestão do caixa na América Latina. As empresas Mexicanas irrestritas apresentam um nível de caixa superior às restritas, além de apresentar uma propensão marginal a poupar inferior às empresas irrestritas mexicanas, consistente com a expectativa inicial, de que o investment grade obtido logo no começo da amostra facilitou o acesso ao crédito para as empresas da amostra. / We examine the model of corporate demand for liquidity, developed by Almeida, Campelo and Weisbach (2002) can be used to identify whether Latin American companies have financial constraint to obtain financing. To test the hypothesis that financially constrained firms have a higher level of cash, and their marginal propensity to save the cash surplus generated is superior to unconstrained firms, we carried out an analysis of panel data relating to a sample, which includes publicly traded companies in Brazil and Mexico from 2001 to 2009. Financially constrained firms, both Brazil and Mexico, increase the level of cash due to the size of its assets, being a relevant factor for cash management in Latin America. Unconstrained Mexican companies have a higher level of cash than restricted firms have, and present a lower propensity to save cash than constrained Mexican firms, consistent with the initial expectation that the investment grade obtained at the beginning of the sample made easier access to credit for firms in the sample.

Submitted by Newton Arata (nw_arata@hotmail.com) on 2012-09-06T20:46:23Z No. of bitstreams: 1 MPFE_NewtonArata_Cash holding.pdf: 522094 bytes, checksum: ef66f1f783cd069b20749cd0f636450c (MD5) / Approved for entry into archive by Suzinei Teles Garcia Garcia (suzinei.garcia@fgv.br) on 2012-09-10T12:46:19Z (GMT) No. of bitstreams: 1 MPFE_NewtonArata_Cash holding.pdf: 522094 bytes, checksum: ef66f1f783cd069b20749cd0f636450c (MD5) / Made available in DSpace on 2012-09-10T13:02:02Z (GMT). No. of bitstreams: 1 MPFE_NewtonArata_Cash holding.pdf: 522094 bytes, checksum: ef66f1f783cd069b20749cd0f636450c (MD5) Previous issue date: 2012-08-22 / This research extends previous studies of cash holdings and its determinants by studying the relationship between the degree of internationalization and the level of corporate cash holdings. Differently from domestic firms, internationalized firms have more investment opportunities and face more adversity in their businesses. We used a sample of non-financial publicly traded companies in Brazil and Mexico for the period 2006 to 2010. Panel regressions with fixed effects were used in the study. We found evidence that degree of internationalization is a determinant of cash and that cash holding increases quadratically as the degree of company internationalization increases. Brazilian dividend-paying companies hold more cash but this effect does not apply to Mexican companies. Furthermore, the behavior detected for Brazilian and Mexican companies was different from American companies studied by (Chiang and Wang, 2011). Finally, in the period before the crisis, companies held less cash on their balance sheets. / Estendemos estudos anteriores a cerca do nível de caixa e seus determinantes, analisando a relação entre grau de internacionalização e nível de caixa das empresas. Diferente das empresas domésticas, as empresas internacionalizadas possuem mais oportunidades de investimento e enfrentam mais adversidades nos seus negócios. Utilizamos uma amostra de empresas de capital aberto não financeiras do Brasil e do México, para o período de 2006 a 2010. Regressões em painel com efeitos fixos foram utilizadas. Encontramos evidências de que o grau de internacionalização é um determinante de caixa e que o nível de caixa aumenta de forma quadrática à medida que o grau de internacionalização da empresa aumenta. As empresas brasileiras pagadoras de dividendos seguram mais caixa, mas que esse efeito não se aplica para empresas mexicanas. Além disso, o comportamento encontrado para as empresas brasileiras e mexicanas foi diferente de empresas norte-americanas, estudadas por Chiang e Wang (2011). Por fim, no período antes da crise, as empresas seguraram menos caixa em seus balanços.

本研究使用固守職位理論(Entrenchment theory)解釋在經理人更替後因風格不同及代理人問題造成繼任者有現金持有動機的轉換，此項交乘效果將造成公司現金持有決策的轉變。同時本研究使用多角化公司的財務決策轉變作為例子，解釋在能力配對理論(Ability-matching theory)中不同公司性質造成CEO更替之後決策轉變的原因。研究結果顯示在兩種理論之下，被強制替換或自動離職的狀況將會帶來經理人風格轉變、前任代理人問題減輕或在公司狀況不同下使得現金持有因素有顯著的增減。然而整體實證結果因增減效果彼此抵消，CEO更替對於現金持有的影響並不顯著。 / Our research used entrenchment theory to explain the changing in cash holding after CEO turnover can be caused by different managerial style and agency problem. The interaction of turnover and entrenchment effect will transform motivations of holding cash and further changing the liquidity policy. Meanwhile, we used the ability-matching theory to explain the changing of financial decision in diversified companies to show how different company characteristics affect corporate financial strategy after CEO turnover. Our results showed that based on the two theory, CEO characteristics, agency problem and firm characteristic will significantly affect the financial variables. However, the total effect of CEO turnover on cash holding policy is insignificant because the different effects off set the total effect.

Comme un déterminant de la survie d'une banque durant la crise financière de 2007/2008, la liquidité dans le secteur bancaire a depuis récemment représenté un défi pour les communautés financières et universitaires. Les trois articles présentés dans cette thèse portent sur les deux principales facettes de la liquidité dans le secteur bancaire: la détention d'actifs liquides (à savoir, la trésorerie et les ressources assimilées) et le processus de création de la liquidité dans les banques utilisé pour financer des prêts. Comme on le verra dans les articles, ces deux aspects de la liquidité peuvent être considérés comme les deux faces d'une même pièce. Je reconnais que la liquidité dans le secteur bancaire est liée à la création monétaire; cependant, cette thèse se concentre sur les deux précités aspects de la liquidité. Tout d'abord, cette introduction présente comment le concept de la liquidité a évolué dans la pensée économique dominante. La seconde partie considère le renouveau de la détention de cash qui a été observée depuis la crise financière de 2007/2008 dans le secteur bancaire. La troisième section examine les propriétés de liquidité. La quatrième section explore ce que nous ne savons pas sur la liquidité. La cinquième section identifie et sélectionne trois problèmes fondamentaux relatifs à liquidité et qui sont analysés dans les trois articles présentés dans thèse. La sixième et dernière section présente la méthodologie utilisée dans les trois articles pour répondre à ces questions. Chapitre 1 : “Why do banks hold cash ?". La détention de cash et assimilé cash par les banques détiennent est devenue un enjeu majeur depuis la crise financière de 2008 qui a démontré que la trésorerie retenue est un déterminant majeur dans les chances de survie des banques. Cet article examine les déterminants de la détention de cash banque en utilisant des données internationales pour la période 1981-2014. Sur la base d'un grand échantillon, nous documentons une augmentation séculaire de la détention de cash par les banques pendant une période de 35 ans. Nous apportons la preuve que la nature optimale dynamique de la détention de cash est rejetée dans le secteur bancaire. Ces résultats contrastent avec le secteur non bancaire, où la nature optimale dynamique de trésorerie est observée. Chapitre 2: “Does an increase in capital negatively impact banking liquidity creation?”. A partir d'un ensemble de données composé d'un panel de 940 banques cotées des pays européens, américains et asiatiques, cet article documente l'évolution de la création de la liquidité bancaire au cours d'une période de 35 ans (1981-2014). La preuve empirique confirme que les niveaux de risque et de capital jouent un rôle significatif et négatif dans la création de liquidité par les banques. Dans l'ensemble, les effets négatifs de l’augmentation de capital sur la création de la liquidité bancaire sont plus importants que les effets positifs sur la gestion du risque correspondant, ce qui suggère que les exigences de fonds propres imposées pour soutenir la stabilité financière affectent négativement la création de liquidités. Ces résultats ont de larges implications pour les régulateurs bancaires. Chapitre 3: “Positive effects of Basel III on banking liquidity creation”. Ce document évalue l'effet du cadre réglementaire de Bâle III sur la création de liquidité bancaire. Les résultats sont basés sur un ensemble de données de panel de banques américaines qui représentent environ 60% des prêts et dépôts américains sur une période de 7 ans (2009-2015), en plus de différence dans la différence et les méthodes de survie standard. Tous les composants de Bâle III pris ensemble, il existe des preuves empiriques que Bâle III a un effet positif sur la création de liquidité bancaire sur le marché américain, en particulier pour les grandes banques. Ces résultats ont de larges implications pour les régulateurs bancaires. / As one determinant of a bank’s survival during the financial crisis of 2007-2008, liquidity in the banking sector presents a challenge for the financial and academic communities and has recently become a central point of interest. The three articles presented in this thesis focus on the two main facets of liquidity in the banking sector: the holding of liquid assets (i.e., cash and assimilated resources) and the process of liquidity-creation in banks used to fund loans. As will be discussed in the articles, these two aspects of liquidity can be viewed as two sides of the same coin. I acknowledge that liquidity in banking is linked to the creation of money; however, this thesis focuses on the aforementioned two aspects of liquidity. First, this section presents how ideas about liquidity in the banking sector have evolved in mainstream economic thought. Second, it considers the revival of cash-holding that has been observed since the financial crisis of 2007-2008. Third, it discusses the properties of liquidity. Fourth, it explores what we do not know about liquidity. Fifth, it identifies the fundamental issues analyzed in the three articles. Finally, it presents the methodology used in the articles to address these issues. Chapter1: “Why do banks hold cash ?”. This paper investigates the determinants of bank cash holding by using international data for the period 1981-2014. The results do not seem to provide support for the substitutability hypothesis regarding the substitutive relation between cash and debt levels. Further, using the GMM-system estimation method, we find no support for the dynamic optimal cash model, suggesting that cash management in the banking sector is bounded by number of constraints that make it difficult for the agents to optimize their utility. Chapter 2: “Does an increase in capital negatively impact banking liquidity creation?”. From a dataset composed of a panel of 940 listed banks based in European, American and Asian countries, this paper documents the evolution of bank liquidity creation over a 35-year period (1981-2014). The empirical evidence confirms that risk and equity levels play a significant and negative role. Overall, the negative effects of equity increases on bank liquidity creation are more significant than corresponding positive effects on risk management, suggesting that capital requirements imposed to support financial stability negatively affect liquidity creation. These findings have broad implications for policymakers. Chapter 3: “Positive effects of Basel III on banking liquidity creation”. This paper estimates the effect of the Basel III regulatory framework on banking liquidity creation. The results are based on a panel data set of U.S. banks that represent approximately 60% of U.S. loans and deposits over a 7-year period (from 2009 to 2015) in addition to difference-in-difference and standard survival methods. All components of Basel III taken together, there is empirical evidence that Basel III has a positive effect on banking liquidity creation in the US market in particular for major banks. These findings have broad implications for policy makers.

This paper addresses the problem of a failing net debt approach; deposited funds rarely compensate the cost of debt. Venturing into operational credit facilities, the study evaluates the efficiency and feasibility of transitioning into fully cash-free liquidity management. The study takes a holistic approach and evaluates the research questions from the perspective of management through case studies on four smaller Swedish industrial firms. The study finds that there is substantial potential to free up capital; return on equity could have been boosted by an annual 5-10 percent including substantial one-off distributions. The study also concludes that Agency reasons are strong reasons for why firms are carrying material cash reserves. Through qualitative interviews, the study identifies several additional, but not less important, obstacles in the way of a full out cash-free transition. Most significantly, the financial system is not offering fully committed long term operational credit facilities and operating across different jurisdictions complicates the consolidation of liquidity. The study concludes that the matter would not have vast negative implications on real business activities, although further research would be required in regard to an extended debt overhang problem. / Uppsatsen kretsar kring den fallerande logiken med begreppet nettoskuld; tillgodohavanden på bank genererar sällan upp för kostnaden relaterad till motsvarande skuld. Med utgångspunkt i operationella kreditstrukturer utvärderas möjliga effektivitetsvinster och genomförbarheten av en fullständig övergång till kassa-fri likviditetshantering. Studien har ett holistiskt angreppssätt och utvärderar frågeställningarna från ett management-perspektiv genom fallstudier på fyra mindre svenska industriella bolag. Studien finner betydande möjligheter att frigöra kapital; årliga avkastningen på eget kapital hade kunnat öka med 5–10 procent och betydande engångsutdelningar hade varit möjliga. Studien finner vidare att agentteorin är en stark anledning till att bolag bär betydande kassapositioner. Genom kvalitativa intervjuer identifierar studien ytterligare, men ej desto mindre betydande, hinder för en kassa-fri övergång. Mest betydelsefullt, är att nuvarande finansiella system inte erbjuder för syftet fullgoda kreditstrukturer, samt det faktum att företag med verksamhet över olika jurisdiktioner upplever juridiska svårigheter med att konsolidera likviditet. Studien drar slutsatsen att en övergång inte skulle medföra betydande negativa konsekvenser för den operativa affärsverksamheten, men identifierar samtidigt att ytterligare studier skulle vara nödvändiga framförallt kring hur finansiella incitament kopplade till agent-teorins ’debt overhang’ skulle förändras vill en övergång till en fullt garanterad operationell kreditstruktur.