2016 ISSUE 2

TÍTLE: EFFECTS OF THE 2008 INTERNATIONAL FINANCIAL CRISIS ON THE PERFORMANCE OF THE STOCK EXCHANGES FROM ARGENTINA, BRAZIL, COLOMBIA, CHILE, MEXICO AND PERU
AUTHORS: Federico Ernesto RINCÓN PRADA, Jairo Alexander GONZÁLEZ BUENO
ABSTRACT: Through the economic development, aspects such as greed, underestimated risks, irresponsibility by control agencies or financial speculation have been key factors in triggering financial crises whose side effects have affected economic, political and social performance of several countries around the world. As capital markets have been fundamental as intermediaries in channeling resources towards financing and investment activities, they have been granted with a high level of importance in measuring the economic performance of countries. This paper reviews the origins of the 2008 international financial crisis and analyzes its relationship with the performance of the 6 most important Latin American stock exchanges during the years 2005 to 2015 through the analysis of price of its index, stock market capitalization, number companies and total amount traded in equities.
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TÍTLE: MODELLING CONDITIONAL VOLATILITY IN THE SPANISH IBEX-35 STOCK INDEX USING HIGH FREQUENCY DATA. A COMPARISON OF THE EGARCH MODEL AND THE BACKPROPAGATION NEURAL NETWORK
AUTHORS: Javier OLIVER
ABSTRACT: The analysis of conditional volatility is a necessary step towards the accurate valuation of the risk inherent in financial assets such as stocks, bonds, indices and derivatives among others. A good volatility prediction is required to diversify portfolios, value financial options, calculate VaR, etc. Therefore, it is necessary to generate models that are capable to predict financial assets’ volatility. At present, the most widely employed models are those belonging to the GARCH family. In this paper the conditional volatility of the Spanish IBEX-35 stock index with high frequency data is analyzed by means of an ARMA-EGARCH model, as this model can capture the asymmetries in the index volatility. Next we apply the backpropagation neural network to the same end and compare the results obtained. The comparison is made using the same variables in both models in order to obtain a more balanced and fair comparison. The results show that the neural network is a good alternative to the traditional GARCH family models. In fact, in the analysis, the backpropagation neural network repeatedly beats the ARMA-EGARCH model regardless the frequency of the data and the error measurement type employed.
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TÍTLE: PUBLIC FUNDING OF THE CATHOLIC CHURCH IN SPAIN. A HISTORICAL APPROACH
AUTHORS: Agustín ROMERO CIVERA
ABSTRACT: This paper analyzes the origins of the separation of Church and State. This separation starts in France and the United States of America and with the liberalism ideology, in the XIXth century, breaking with a long-lasting tradition. In the XXth century this evolution is even stronger, both from the United Nations as following the II Vatican Council. After describing the European context from an economic perspective, the situation of the Catholic Church in the XXth century in Spain is analyzed. It is concluded that the present situation of privilege of the Church in Spain has its roots in the Concordat of 1953 and the Economic Agreement of 1979.
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TÍTLE: SOCIAL RESPONSABLE INVESTMENT IN SPAIN: ETHICS AND TRANSPARENCY
AUTHORS: María Dolores ESPINÓS VAÑÓ
ABSTRACT: This paper studies socially responsable investment in Spain. Specially, it focuses on a basic question, probably the first question made by socially responsible investors: how to identify companies with ethical and social responsible behavior. To this end, the paper describes how the international and the Spanish regulation define social responsible companies and how these companies are selected in order to be included in rankings and ethical stock indexes. Furthermore, the requisites that firms must meet to be included in the so called "ethical funds" are analysed, as well. As a conclusion of the research, it is observed that there exist great terminological confusion and less transparence regarding the application of the selected criteria. Moreover, when the criteria are clearly stated, it is identified that there is no relation between what is commonly understood by particular investors to be ethical or socially responsible and what those criteria are demanding. This fact is made even more evident when it is observed that some companies which are included in the rankings of ethic firms or in ethical stock indexes have been fined repeatedly for not complying the legislation. This behavior should automatically exclude them from the rankings and the indexes, if a simple definition of ethical behavior or social responsibility is applied.
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TÍTLE: MASS APPRAISAL OF RESIDENTIAL REAL ESTATE USING MULTILEVEL MODELLING
AUTHORS: Iván ARRIBAS, Rima TAMOŠIŪNIENĖ
ABSTRACT: Accurate real estate valuation, especially residential real estate valuation, is a topic with a high social and economic impact. Among the methods employed for mass valuation, econometric models are the more widely used. Nevertheless, these models have some drawbacks as they assume some hypothesis which are unrealistic, considering the individuals in the sample as independent and they do not consider the hierarchical data structure. This paper applies a Hierarchical Lineal Model (HLM) to overcome this problem. The model is employed on a big database with three hierarchical levels: apartment, neighborhood and city. It is concluded that HLM improves the traditional econometric model OLS both in terms of goodness of fit and residual variance.
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TÍTLE: VALUATION OF COMPANIES’ INTANGIBLE ASSETS: STATE OF THE ART AND FUTURE CHALLENGES
AUTHORS: Fernando GARCÍA, Francisco GUIJARRO
ABSTRACT: Appropriate management of intangible assets represents a key element for companies' survival and long-term success. For this reason, it is a topic that has devoted the attention of academics and practitioners for several decades. Nevertheless, it still is a controversial issue. In fact, there are still many subjects that are discussed, like the identification and classification of some intangible assets or their measurement and valuation. The main objective of this project is to shed light on this important topic, which has undeniable effects not just on companies, but on consumers and the whole society, as well.
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