This cluster is a community of internationally leading scholars, where a vibrant research environment and reciprocal support facilitate the investigation of challenging questions on the functioning of firms and markets.
The InsTED network aims to enhance understanding of the role of institutions, both domestic and international, in the process of economic development. Click here to visit the InsTED network blog.
Firms, Markets and Value
The "Firms, Markets and Value" cluster is a vibrant research community composed of academic researchers working across the Departments of Accounting, Economics and Finance. Members research over a broad spectrum of issues in relation to the functioning of markets, firm governance, corporate behaviour and valuation.
The FMV cluster is a research group with a commitment to be an internationally recognised centre for excellence over five broad themes, over which members of the cluster have developed leading expertise and an outstanding track record.
|XII Workshop on Empirical Research in Financial Accounting|
|SWUFE-UOE Joint Research Workshop||
|Macro & Financial Intermediation Workshop||
|Corporate Finance Conference||
Run jointly with Universities of Bristol, Manchester, and Lancaster
|Cluster Research Workshop|
|Invited Seminars and Distinguished Lectures|
Cost of Capital and Asset Pricing in the UK
Alan Gregory and Rajesh Tharyan are the principal investigators of an ESRC funded project, the twin aims of which are: first, to facilitate the creation and maintenance of high quality, survivorship bias free, standardised and regularly updated set of specific financial data for free use by academics, researchers and also potentially by regulatory bodies such as the Completion and Markets Authority(CMA), formerly the Competition Commission, Office of Fair Trading (OFT), OFWAT, OFCOM and other regulators and second, to provide a more satisfactory model of the cost of capital and asset pricing in the UK.
The project maintains a repository at that provides access to a set of risk factors for the UK market. These risk factors are analogous to the Fama-French Size, Value and Momentum factors for the US. In addition to the risk factors, the repository also provides a number of benchmark portfolios that are used commonly in applications such as tests of asset pricing models, event studies etc.
A key objective of the project is to provide insights for the extensive regulatory use of asset pricing models in the UK, both in terms of market inquiries and in the setting of utility prices by regulators. Research carried out as a part of the project has attracted interest from a number of regulators and the project team have been invited to present at the CMA and at other regulators including OFCOM. Research outputs from the project have also been cited in several influential Competition Commission/CMA market inquiries. It is anticipated that this paper will be cited in several ongoing market investigations.
The project is enabling the advancement of empirical research in the asset pricing area in a UK context, particularly in relation to the estimation of cost of capital. Also, in addition to serving as a valuable resource for academic research, the project is generating significant impact by informing regulatory policy.
Better Business for all
Better Business for All is a UK Government Initiative. It is an extension of a project that Kevin McMeeking started with local councils. This project was 'Safer Workplaces Better Business' (which in essence was similar to the 'Safer Foods' initiative that you see ubiquitously (i.e relevant institutions (e.g. restaurants) are graded from 0 to 5 on the health and safety of their food service). The Safer Workplaces project sought to extend this to other areas of risk.
We created initially a document (hard copy) which was then transformed into an electronic version with the opportunity to interact with local councillors. The object was that relevant entities might undertake the risk management measures needed to meet relevant legislation and then signal their quality / brand name reputation in some way.
- Gregory , A., Shan, H. and Tharyan R. In search of Beta - presented at the 2016 Competition and Markets Authority, London.
- Garcia-Ares, P.A. Analytical Solutions to Multi-period Credit Portfolio Management: A Macroeconomic Approach at Moody’s Analytics
- Neira J.: Cross-Country Differences in Productivity, paper presented at the InterAmerican Development Bank (Washington D.C.)
- Sonika, R.: E.On Energy advisory project
- Tharyan, R. and Bi, X.: Collective Holding, Monitoring and Acquisition Performance – Evidence from China.
Cluster-funded research projects
|Das, Kaustav||Kalyan Chatterjee, (Pennsylvania State University)||Competition in R&D activities, its sequential nature and optimal criteria for funding|
|Garcia-Ares, Pedro Angel||Fernando Zapatero (USC)||Substitution effects and lottery demand|
|Igarashi, Yoske||Credit risk analysis with creditor's option to extend maturities|
|Kalogirou, Fani||Paul Andre (HEC Lausanne)||Voluntary adoption of IFRS by UK unlisted firms and investment decisions at the firm- and group- level|
|Kiosse, Vicky||Jo Horton & Evisa Mitrou (Exeter)||Why do firms retain their defined benefit plans? Evidence from the UK|
|Livne, Gilad||UK voting reform on executive compensation|
|Livne, Gilad & Tsipouridou, Maria||Jo Horton (Exeter)||New auditor reform|
|McMeeking, Kevin||Beverley Hawkins (Exeter), Chiara DeMartini (Pavia)||Risk management, valuation and governance|
|Michelon, Giovanna||Pietro Bonetti (Padova)||Real effects of environmental disclosure|
|Neira, Julian & Singhania, Rish||European productivity and firm dynamics|
|Paananen, Mari & Tarsalewska, Monika||Jo Horton (Exeter)||The implication of social networks on capital allocation|
|Tarsalewska, Monika||J. Chircop (Lancaster)||Annual report length and MA efficiency|
Kalyan Chatterjee, (Pennsylvania State University)
Dr Claudia Arena (University of Naples Federico II, Italy)
Jieun Chung (Concordia University, Canada)
The foundation of the FMV cluster is the portfolio of innovative world-class research conducted by a respected international faculty. The cluster is offering Ph.D. supervision in any of the research themes, which will allow applicants to work alongside some of outstanding scholars in the field, while being exposed to an interdisciplinary and collaborative research environment. We also work and continue to expand our collaborations with other academic institutions, industry, practitioners and regulators by providing research and consulting, and organising conferences and seminars.