Nikhil Yadav, Priyanka Tandon, Ravindra Tripathi and Rajesh Kumar Shastri
The purpose of the study is to investigate the long-run and short-run dynamic relationship between crude oil prices and the movement of Sensex for the period of 2000–2018.
Abstract
Purpose
The purpose of the study is to investigate the long-run and short-run dynamic relationship between crude oil prices and the movement of Sensex for the period of 2000–2018.
Design/methodology/approach
The study uses the augmented Dickey–Fuller test for the presence of unit root, Johansen cointegration test for estimating the cointegration among the variables. Further, in the case of no cointegration found, the study employed the vector autoregression (VAR) model to estimate the long-run relationship and the Granger causality/Wald test for short-run relationship. The study also conducted tests for the prerequisites of the model: serial correlation, heteroskedasticity and normality of data.
Findings
The study found that both the variables, crude oil prices and Sensex are integrated of order 1, that is, I (1), and there is no cointegration between them. Further, the results proliferated from the VAR model unfold the marked effect of previous month crude oil prices (lag 1) on the movement of Indian stock market represented by Sensex considered as the benchmark index. Furthermore, VAR–Granger causality/block exogeneity Wald tests results indicated that there is a causal relationship between the crude oil prices and Sensex under the VAR environment. The model does not have any serial correlation and heteroskedasticity indicating toward the unbiased and robust estimates.
Research limitations/implications
The study is conducted till the year 2018, and data for the present period (post-2018) is excluded due to ongoing trade issues between the USA and oil-exporting countries such as Iran. The current COVID-19 outbreak has also put serious issues. Due to limited time and availability of standardized data, researchers have considered Sensex as equity index only, but for more generalized research outcome few other equity indexes could have been taken for study.
Originality/value
The study is completely original in nature and is an extensive study of the relationship between the crude oil price and Indian stock market with reference to causality between the variables.
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Parvathy S. Nair, Atul Shiva, Nikhil Yadav and Priyanka Tandon
The purpose of this study is to investigate the influence of mobile applications on investment decisions by retail investors in stocks and mutual funds. This study focuses on how…
Abstract
Purpose
The purpose of this study is to investigate the influence of mobile applications on investment decisions by retail investors in stocks and mutual funds. This study focuses on how mobile technologies are applied on mobile apps by retail investors for e-trading in emerging financial markets.
Design/methodology/approach
The study explored predictive relevance for the adoption behavior of retail investors under the Unified Theory of Acceptance and Use of Technology (UTAUT) framework. Further, goal contagion theory was applied to investigate the adoption behavior of investors towards e-trading. An adapted questionnaire was used to collect the date from April to June 2021 and data analysis was performed on 507 usable responses. The methodology adopted in this study is variance based partial least square structural equational modelling (PLS-SEM). Additionally, the study explains important and performing constructs based on the response of retail investors towards mobile app usage for investment decisions.
Findings
The study shows that effort expectancy, performance expectancy followed by perceived return were the primary determinants of behavioral intentions to use mobile applications by retail investors for e-trading. Further, habit of investors determined the adoption behavior of investors towards mobile apps. Additionally, the study revealed that perceived risk is not an important aspect for retail investors in comparison to perceived return.
Research limitations/implications
The study in future can address to the aspect of personality traits of retail investors for technology adoption for investment decisions. Further investigation is required on addressing unobserved heterogeneity of retail investors towards technology adoption process in emerging financial markets.
Practical implications
The study provides theoretical and practical implications for retail investors, financial advisors and technology companies to understand the behavioral pattern and mobile apps adoption behavior of retail investors in emerging financial market. The findings in the study will help broking firms to sensitize their clients for effective use of their respective mobile apps for e-trading purposes. The study will strengthen the knowledge of financial advisors to understand investment behavior of retail investors in emerging financial markets.
Originality/value
This study unfolds a novel framework of research to understand the technology adoption pattern of retail investors for e-trading by mobile applications in emerging financial markets. The present study provides significant understanding in the domain of technology adoption by retail investors under behavioral finance environment.
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Anurag Bhadur Singh, Priyanka Tandon and Deepmala Jasuja
The present study tries to examine the relationship between financial inclusion and environmental quality as proxied by carbon emissions in India covering the period from 2008 to…
Abstract
Purpose
The present study tries to examine the relationship between financial inclusion and environmental quality as proxied by carbon emissions in India covering the period from 2008 to 2018.
Design/methodology/approach
A financial inclusion index has been composed using principal component analysis (PCA) based on three dimensions: access, penetration and usage. After testing for stationarity of the data, the authors adopted the autoregressive distributive lag model (ARDL) methodology.
Findings
The study found that financial inclusion and growth lead to increased carbon emissions in India and the government must resort to greener policies, whereas empirical results support that globalization reduced the pollutants emissions in both the long term and short period in India.
Practical implications
Based on the results, several policy prescriptions are rendered for policymakers: (1) need to move toward greener energy policies and (2) enhance the awareness of green financing instruments such as green bonds in India. Therefore, policymakers should be more proactive in accepting green and sustainable financial alternatives.
Originality/value
The present study contributes to the scant literature on the financial inclusion–emission nexus in India. This study considers three inclusion parameters that are not present in previous studies.
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Gaytri Malhotra, Miklesh Prasad Yadav, Priyanka Tandon and Neena Sinha
This study unravels an attempt to investigate the dynamic connectedness of agri-commodity (wheat) of Russia with 10 financial markets of wheat importing counties during the…
Abstract
Purpose
This study unravels an attempt to investigate the dynamic connectedness of agri-commodity (wheat) of Russia with 10 financial markets of wheat importing counties during the Russia–Ukraine invasion.
Design/methodology/approach
This study took the daily prices of Wheat FOB Black Sea Index (Russia) along with stock indices of 10 major wheat-importing nations of Russia and Ukraine. The time frame for this study ranges from February 24, 2022 to July 31, 2022. This time frame was selected since it fully examines all of the effects of the crisis. The conditional correlations and volatility spillovers of these indices are predicted using the DCC-GARCH model, Diebold and Yilmaz (2012) and Baruník and Křehlík (2018) models.
Findings
It is found that there is dynamic linkage of agri-commodity of with stock markets of Iraq, Pakistan and Tanzania in short run while stock markets of Egypt, Turkey, Bangladesh, Pakistan, Brazil and Iraq are spilled by agri-commodity in long run. In addition, it documents that there is large spillover in short run than medium and long run comparatively. This signifies that investors have more diversification opportunity in short run then long run contemplating to invest in these markets.
Originality/value
To the best of the authors’ understanding this is the first study to undertake the dynamic linkage of agri-commodity (wheat) of Russia with financial market of select importing counties during the Russia–Ukraine invasion.
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Anurag Bhadur Singh and Priyanka Tandon
The present study tries to explore the various fund attributes that influence the mutual fund performance. Further, study examined the effect of mutual fund attributes namely, Net…
Abstract
Purpose
The present study tries to explore the various fund attributes that influence the mutual fund performance. Further, study examined the effect of mutual fund attributes namely, Net Asset Value (NAV), Portfolio turnover ratio (PTR), fund size (AUM), expense ratio (ExpR) and fund age (Age) on mutual fund's performance using gross return and risk-adjusted performance measures.
Design/methodology/approach
The study evaluated balanced panel data (short panel) comprising 81 Indian equity mutual fund schemes for the period of 2013–2019. The study estimated relationship between fund attributes (Net asset value, Portfolio turnover ratio, Fund age, fund size and Expense ratio) and fund performance (using gross return and risk-adjusted performance measures), through panel data regression using fixed-effects model as suggested by Hausman specification test on transformed data (due to high multicollinearity), with cluster-robust estimators due to the presence of heteroskedasticity in the model.
Findings
The findings of the study suggested that using gross return as fund performance measure, PTR, NAV, AUM, Age exhibit significant relationship with the fund performance whereas using risk-adjusted performance measures (Treynor ratio and Jensen alpha) NAV and ExpR significantly influences the fund performance. Identification of the significant relationship between fund characteristics and fund performance offers valuable insights to the investors and fund managers for rationally managing their portfolio with the ultimate objective of the wealth maximization.
Research limitations/implications
The study considered only 81 equity mutual fund schemes. Some of the data were not available at the time of the study due to the policy of the company. The present study contributes significantly in examining the expected association between fund attributes and fund performance in the context of Indian mutual fund industry where this relationship were explored less.
Practical implications
The findings of the present study will help the investors to take the rational investment decision with the ultimate objective of maximum return with minimal risk. The findings also offer significant germane to the stakeholders in making rational decision-making process.
Originality/value
There is dearth of study concerning the relationship between mutual fund characteristics and fund performance with respect to Indian mutual fund industry. Therefore, study provides valuable insights to the area of the portfolio selection and management with respect to Indian mutual funds.
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Nivedita Mehta, Sapna Arora and Disha Gulia
This study attempts to recognize obstacles and barriers to financial inclusion in the agriculture sector, propose a framework based on the inter-contextual link between the…
Abstract
This study attempts to recognize obstacles and barriers to financial inclusion in the agriculture sector, propose a framework based on the inter-contextual link between the barriers and understand the financial exclusion in the agriculture sector at the grassroots level. Previously published research articles were used to identify the barriers to financial inclusion, followed by informal interviews and collaborative discussions with the local farmers of the Sonipat district of Haryana and expert interviews using a structured questionnaire. TISM and MICMAC analysis are used to decern the nature of the relationship among the barriers discovered. The authors find that inadequate financial literacy, a shortage of financial awareness and the reluctance of various financial institutions are significant linkage barriers to strong driving and dependence power. High transaction costs and poor infrastructural support are the independent barriers. The paper identifies these new barriers to financial inclusion in the Indian agriculture sector and the framework depicting financial exclusion in India. This paper only gives a framework of barriers and does not quantify the effect of any relationship identified, but strongly emphasizes granting the Indian agriculture sector broad and simple financial access to advance and strengthen the nation's sustainable, inclusive economic growth.
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Kavita Kshatriya and Priyanka Sharad Shah
This paper aims to examine the presence of impulsive and compulsive buying among consumers. It studies the various factors that affect and moderate the impulsiveness and…
Abstract
Purpose
This paper aims to examine the presence of impulsive and compulsive buying among consumers. It studies the various factors that affect and moderate the impulsiveness and compulsiveness of buying.
Design/methodology/approach
Literature review resulted in four constructs – social media influence, social media preferences, hedonic motivation and shop in COVID-19. On conducting factor analysis in statistical package for the social sciences, the variables were divided under the influence of social media, social commerce, electronic word of mouth (EWOM) of social commerce, hedonic happiness, hedonic fun and shopping in times of COVID-19. Structural equation modeling is conducted in AMOS (statistical software) for a diagrammatic representation of the relationship between the variables. Regression analysis is used to re-affirm the above relationship. Testing of hypotheses is done with the help of the chi-square test.
Findings
All six latent variables are significantly related to impulsive and compulsive buying. However, the regression analysis shows social media influence as the strongest predictor for impulse buying and hedonic happiness for compulsive buying. Also, the presence of the pandemic COVID-19 leads to impulsive buying as well as compulsive buying in the apparel and accessory segment.
Practical implications
Marketers should capitalize on spontaneous buying in both forms – impulsive buying and compulsive buying. Social media influencers, as well as more consumer engagement on social media, can promote impulsive buying. However, compulsive buyers will be more attracted towards great in-store experiences or hedonically driven advertisements, as they do not just shop for buying the product; they shop for the experience of shopping.
Originality/value
This study uncovers the difference in factors that affect impulsive and compulsive buying. Though both behaviours seem points of the same scale, they are inherently different and can be predicted with social media influence and hedonic happiness.
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Priyanka Jain, Saroj Kumar Datta and Ankur Roy
This paper is an attempt to explore the awareness and attitude of the management students towards corporate social responsibility (CSR). Students are perceived as future managers…
Abstract
Purpose
This paper is an attempt to explore the awareness and attitude of the management students towards corporate social responsibility (CSR). Students are perceived as future managers of the corporate world and their perception about CSR is deemed important to business organisations. The students can make companies understand their responsibility towards various stakeholders. The paper aims to discuss these issues.
Design/methodology/approach
By doing a review of past literature, an appropriate scale consisting of forty-one items has been developed to measure the dimensions of CSR. Data were collected from 294 students of various business schools situated in Rajasthan (India). The data collected was subjected to exploratory factor analysis to extract the main dimensions that would bring out the attitudes of the students towards CSR.
Findings
Results revealed that the companies should pay attention to accountability towards stakeholders, corporate governance, ethical commitment and humanitarian concerns besides fulfilling other responsibilities as covered under the eight factors identified in the study.
Research limitations/implications
This paper used survey data from small sample of management students in a limited geographic area. Hence, it might be difficult to generalize the results to a larger, more representative population. The research also suggests how corporations can make CSR an integral part of the business organisation.
Practical implications
The dimensions identified in the study if incorporated by the business in its day-to-day operations can make it socially responsible as well as socially acceptable in the true sense.
Originality/value
This research makes an empirical contribution to identify the factors which management students expect business enterprises should do to be justified as socially responsible corporate citizens.
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Shekhar Saroj, Rajesh Kumar Shastri, Priyanka Singh, Mano Ashish Tripathi, Sanjukta Dutta and Akriti Chaubey
Human capital is a portfolio of rich skills that the labour possesses. Human capital has attracted significant attention from scholars. Nevertheless, empirical findings on the…
Abstract
Purpose
Human capital is a portfolio of rich skills that the labour possesses. Human capital has attracted significant attention from scholars. Nevertheless, empirical findings on the utility of human capital have often been divided. To address the research gap in the literature, the authors attempt to understand how human capital plays a significant role in financial development and economic growth nexus.
Design/methodology/approach
The authors rely on secondary data published by the World Bank. The authors use econometric tools such as the autoregressive distributive lag (ARDL) model and related statistical tests to study the relationship between human capital, India's financial growth and gross domestic product (GDP) growth.
Findings
Study findings suggest that human capital and financial development contribute significantly to economic growth. Further, the authors found that human capital has a positive and significant moderating effect on the path of joining financial development and economic growth.
Practical implications
The study contributes to the human capital debate. Despite the rich body of literature, the study based on World Bank data confirms the previous findings that investment in human capital is always useful for the financial and economic growth of the nation.
Originality/value
This paper reveals some unique findings regarding effect of financial development and economic growth nexus which opens the window of new dimension to think about their nexus. It also provides a different pathway to foster the economic growth by using human capital and financial development as together, especially in India.