The current issue of ABR represents a wide spectrum of emerging business scenario analysis ranging from stock market trend, retail market dynamics, and financial services through to performance appraisal and investment behaviour studies. The first article by Selvam et al takes a close look at the possible impact of Index Futures and Options introduction on the Spot Market volatility in BSE. This paper provides evidence on the impact of futures and options on spot market volatility and it was found that there are no significant changes in the volatility of the spot market due to the introduction of index futures and options in the Sensex Index. Rajesh Kothari and Narendra Sharma have conducted an in depth study in valuating Indian Investors’ response towards the service quality of mutual funds companies in India with special emphasis on impact of advertisement Information. Deepa Mangala and Monika Dhawan have thrown lights on the Seasonality in Stock Returns in emerging and developed stock markets. They examined the existence of day-of-the-week effect across stock markets of six countries - three developed and three emerging economies. The study shows that developed stock markets are less volatile and more efficient than emerging stock markets. Srinivasan et al havepresented an interesting study on investigating the impact of underlying spot market volatility after the introduction of futures and options trading in India by using standard EGARCH (1, 1) model. The findings suggest that, both futures and options trading reduce the volatility of spot market after the introduction of futures and options trading in India. The results of futures and options markets reveal that there were no asymmetric effects present in Indian spot market.
Punjab has become a land of unlimited opportunities, offering distinct advantages to the investors and industries. Taking a cue from these Mittal et al have contributed an interesting study on trends in consumption pattern of consumers in Punjab with focus on the relative performance of Traditional Retail stores and Organized Retail Stores. They observed that convenience and variety are the two attributes which make the organized retail stores preferable to traditional retail stores. While efficiency of index options market in the USA and Europe has attracted the attention of researchers for a long time, smaller and relatively new markets like India continue to lack systematic research. To bridge the research gap, Navdeep Aggarwal and Mohit Gupta examined the efficiency of the index options market using daily closing on Nifty 50 index options to study the Empirical Evidence on the Efficiency of Index Options Market in India. As the findings are found to be similar to those of developed and large markets, the efficiency in Indian index options market is deemed to be comparable to developed markets.
The present day business environment characterized by excessive competition, rapidly changing business cycle and increased uncertainty about outcomes, etc. have added to the complexity of the job of a CEO and other executive directors. Given the complexity of their job, it is essential that they must be adequately remunerated. Lakhwinder Singh Kang and Payal in their study on Corporate Performance Vis-à-vis Executive Compensation used net profits, earning per share and return of equity as measures of corporate performance and total assets as a measure of corporate size. Executive compensation was found to be significantly associated with earning per share and total assets. Performance appraisal is a very critical HRD institutional mechanism to provide specific documentation regarding current and future personnel actions. Punia and Siwatch’s study on performance appraisal practices in Indian Universities have made a striking revelation that performance of faculty cannot be well managed until and unless the organisation adopts a well organised system of performance evaluation; and that the performance evaluation of an organisation cannot give required and actual benefit or results until the employees are well aware about the existing appraisal system of the organisation. Deb and Kavita Chavali have made an interesting study aiming at evaluating the gender differences in investment decisions. Finding of the study reveals that there exists significant difference between male and female investors with regard to making financial decisions.
Indian stock market is highly dynamic and volatile, which merited a study on Return-Volume Dynamics in Indian Stock Market by Mahajan and Singh who examined the relationship between returns and trading volume by using data on the Sensitive index of the Bombay Stock Exchange (BSE).Among other things, a positive and insignificant contemporaneous correlation between return and trading volume was found. Bonus issue, of late, has become critical in Indian Stock Market with volatile market reactions from investors. Jyoti Sharma and Rohini Singh examined the semi-strong form efficiency of the Indian stock market and determined whether the market reacts to information regarding bonus issues. Although the study showed a positive market reaction to the bonus issues, the results were not statistically significant implying that the Indian market is semi-strong form efficient. In the stock market, the announcement of an event may be more significant than the occurrence of the event as the investors’ perceptions get revolutionized by these announcements and it gets reflected through the movement in the stock price behavior. This prompted Renuka Sharma and Ramesh Chander to present a study on the theme. The study ascertained from the analysis that the investors definitely react to the earnings announcements in a different way under the diverse market conditions The long-term analysis made in the first segment of the study has not shown any inconsistency in the stock price behavior which results into any kind of informational inefficiency.
We wish to thank the contributors of the papers as well as the readers who continue to add value to the Asia-Pacific Business Review Journal. We also look forward to receiving sustained cooperation and support from the researchers and readers for help maintaining quality and loyalty in future.
Prof. A. N. Sarkar