Zakaria Salhi, Maryam Baroudi and Hicham Ouakil
This paper analyzes the ex-ante determinants of asset securitization in Moroccan banks, providing a detailed exploration of factors influencing securitization in the Moroccan…
Abstract
Purpose
This paper analyzes the ex-ante determinants of asset securitization in Moroccan banks, providing a detailed exploration of factors influencing securitization in the Moroccan banking sector.
Design/methodology/approach
The study focuses on funding, performance, risk transfer and regulatory capital arbitrage hypotheses. By employing a probit model, we examined all Moroccan banks that securitized their assets from 2002 to 2022. Additional analyses were conducted with alternative variables and by splitting the sample into two periods, 2002–2013 and 2014–2022, to assess the impact of the regulation law 119-12 implemented in 2013 on the Moroccan securitization market.
Findings
The results indicate that the search for alternative funding sources and bank size emerge as significant factors driving securitization in Morocco. Additionally, there is limited evidence that loan portfolio quality is a decisive factor to securitize. Meanwhile, there is no evidence that securitization is driven by performance and regulatory capital arbitrage. Robustness tests further support these findings, while also suggesting that banks may engage in securitization to enhance their performance and, to a lesser extent, reduce regulatory capital.
Originality/value
This paper contributes to the empirical literature by identifying the determinants that drive Moroccan banks to securitize, addressing a research gap in the relatively understudied Moroccan securitization market. The findings provide valuable insights for bankers, investors and policymakers, highlighting the potential benefits of securitization and suggesting policy changes to foster a robust securitization market while ensuring financial stability.
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Mouna Amari, Bassem Salhi and Anis Jarboui
The objective of this study is to explore the effects of financial literacy level and risk aversion on the saving behavior. The literature review showed dialectical results…
Abstract
Purpose
The objective of this study is to explore the effects of financial literacy level and risk aversion on the saving behavior. The literature review showed dialectical results. Therefore, this study attempts to clarify the debatable of these results by studying the mediating effect of risk aversion on the relationships between demographics determinants and saving behavior moderated by the effect of the financial literacy level.
Design/methodology/approach
The data were collected from the University of Normandy; the study sample included 516 respondents representing different segments of French households. The structural equation analysis was utilized to control the impact of financial literacy as a moderate variable and the risk aversion as a mediator variable among the link between sociodemographic factors and saving behavior.
Findings
The results demonstrated that there were significant effects of demographics factors on risk aversion. Moreover, financial literacy moderates the relationships between risk aversion and saving behavior.
Research limitations/implications
The major limitation of this research is the small size of the study sample. This paper is restricted to French households. Future financial education training should cover the European context.
Practical implications
This study provides further evidence that financial literacy should be considered an important factor for improving household well-being. The paper encourages governments and financial institutions to create a national financial education program.
Originality/value
This paper is the first attempt to employ a sample of low-income households after financial education training in the French context.
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Evrim Baran Aydın, Eyüp Başaran, Sevgi Ateş and Reşit Çakmak
The aim of this study was to investigate the activity of 4-((4-((2-hydroxyethyl)(methyl)amino)benzylidene) amino)-1,5-dimethyl-2-phenyl-1,2-dihydro-3H-pyrazol-3-one (HEMAP), a…
Abstract
Purpose
The aim of this study was to investigate the activity of 4-((4-((2-hydroxyethyl)(methyl)amino)benzylidene) amino)-1,5-dimethyl-2-phenyl-1,2-dihydro-3H-pyrazol-3-one (HEMAP), a Schiff base synthesized and characterized for the first time, to the authors’ knowledge, as a novel inhibitor against corrosion of mild steel (MS) in hydrochloric acid solution.
Design/methodology/approach
HEMAP was characterized by some spectroscopic methods including High-Resolution Mass Spectrometry (HRMS), Proton Nuclear Magnetic Resonance (1H NMR), Carbon-13 (C13) nuclear magnetic resonance (13C NMR) and Fourier Transform Infrared Spectroscopy (FT-IR). Then, the inhibition efficiency of HEMAP on MS in a hydrochloric acid solution was investigated by potentiodynamic polarization and electrochemical impedance spectroscopy (EIS). To explain the inhibition mechanism, the surface charge, adsorption isotherms and thermodynamic parameters of MS in the inhibitor solution were studied.
Findings
EIS tests displayed that the highest inhibition efficiency was calculated approximately as 99.5% for 5 × 10−2 M HEMAP in 1 M HCl solution. The adsorption of HEMAP on the MS surface was found to be compatible with the Langmuir model isotherm. The thermodynamic parameter results showed that the standard free energy of adsorption of HEMAP on the MS surface was found to be more chemical than physical.
Originality/value
This study is important in terms of demonstrating the performance of the first synthesized HEMAP molecule as an inhibitor against the corrosion of MS in acidic media. EIS tests displayed that the highest inhibition efficiency was calculated approximately as 99.5% for 5 × 10−2 M HEMAP in 1 M HCl solution.
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Zineb Kandoussi, Zakaria Boulghasoul, Abdelhadi Elbacha and Abdelouahed Tajer
The purpose of this paper is to improve the performance of sensorless vector control of induction motor drives by developing a new sliding mode observer for rotor speed and fluxes…
Abstract
Purpose
The purpose of this paper is to improve the performance of sensorless vector control of induction motor drives by developing a new sliding mode observer for rotor speed and fluxes estimation from measured stator currents and voltages and estimated stator currents.
Design/methodology/approach
In the present paper, the discontinuity in the sliding mode observer is smoothed inside a thin boundary layer using fuzzy logic techniques instead of sign function to reduce efficiently the chattering phenomenon that affects the rotor speed.
Findings
The feasibility of the proposed fuzzy sliding mode observer has been verified by experimentation. The experimental results are obtained with a 1 kW induction motor using a dSPACE system with DS1104 controller board showing clearly the effectiveness of the proposed approach in terms of dynamic performance compared to the classical sliding mode observer.
Practical implications
The experimental results of the whole control structure highlights that this kind of sensorless induction motor drive can be used for variable speed drive in industrial applications such as oil drilling, electric vehicles, high speed trains (HSTs) and conveyers. Such drives may work properly at zero and low speed in both directions of rotation.
Originality/value
Both the proposed speed observer and the classical sliding mode observer have been developed and implemented experimentally with other adaptive observers for detailed comparison under different operating conditions, such as parameter variation, no-load/load disturbances and speed variations in different speed operation regions.
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Leanne J. Morrison, Alia Alshamari and Glenn Finau
This paper aims to interrogate the accountabilities of the foreign companies which have directly invested in the Iraqi oil and gas industry.
Abstract
Purpose
This paper aims to interrogate the accountabilities of the foreign companies which have directly invested in the Iraqi oil and gas industry.
Design/methodology/approach
Using both qualitative and quantitative methodologies, the authors first map the stakeholder accountabilities (qualitative) of foreign oil and gas companies and second, the authors seek to demonstrate quantitatively – through structural break tests and publicly available sustainability reports – whether these companies have accounted for their environmental and social impacts both to Iraqi people and to the global community.
Findings
The authors find that the Western democratic values embedded in stakeholder theory, in terms of sustainability, do not hold the same meaning in cultural contexts where conceptions and application of Western democratic values are deeply problematic. This paper identifies a crucial problem in the global oil supply chain and problematises the application of traditional theoretical approaches in the context of the Iraqi oil and gas industry.
Practical implications
Implications of this study include the refocus of attention onto the local and global environmental impacts of the Iraqi oil and gas industry by foreign direct investments. Such a refocus highlights the reasons and ways that decision makers should accommodate these less salient stakeholders.
Originality/value
The primary contribution is the critique of the lack of environmental accountability of foreign direct investment companies in the Iraqi oil and gas industry. The authors also make theoretical and methodological contributions via the problematisation of the cultural bias inherent in traditional stakeholder theories, and by introducing a quantitative method to evaluate the accountabilities of companies.
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Ahmad Al Izham Izadin, Rosylin Mohd. Yusof and Ahmad Rizal Mazlan
This study aims to examine the integration of Maqasid Shariah principles in evaluating stablecoins and traditional cryptocurrencies within Islamic investment portfolios. The focus…
Abstract
Purpose
This study aims to examine the integration of Maqasid Shariah principles in evaluating stablecoins and traditional cryptocurrencies within Islamic investment portfolios. The focus is on enhancing returns and reducing risk, providing a Shariah-compliant framework for Islamic investors.
Design/methodology/approach
This study uses quantile regression and Monte Carlo simulation to analyse the diversification benefits of stablecoins (Tether [USDT] and Tether Gold [XAUT]) and traditional cryptocurrencies (Bitcoin [BTC]) across different Islamic indices by market capitalisation size from 31 December 2020 to 1 July 2024.
Findings
BTC increases returns but with higher volatility, which may conflict with the principles of Islamic finance. However, when viewed from a portfolio perspective, pairing BTC with stablecoins like USDT and XAUT can provide stability and risk mitigation. This strategy aligns better with Maqasid Shariah by minimising excessive uncertainty (Gharar) and offering tangible asset backing. These strategies are particularly relevant to large-cap indices. However, the increased risk in Islamic Mid and Islamic Small portfolios suggests that the diversification benefits are less pronounced for these indices.
Practical implications
The results offer practical insights for investors, portfolio managers, Shariah advisors and policymakers in asset allocation and risk management. Incorporating stablecoins and cryptocurrencies can optimise risk-adjusted returns in Islamic portfolios.
Originality/value
To the best of the authors knowledge, this study is the first to integrate Maqasid Shariah principles in the evaluation of stablecoins and traditional cryptocurrencies, extending the literature on Islamic finance and digital assets. This research offers empirical evidence on the performance and compliance of these assets within Islamic portfolios, providing a comprehensive framework for Shariah-compliant investment strategies.
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Fouad Jamaani and Manal Alidarous
This study aims to examine the short- and long-lived effects of the International Financial Reporting Standards (IFRS) mandate on the quality of reporting information of initial…
Abstract
Purpose
This study aims to examine the short- and long-lived effects of the International Financial Reporting Standards (IFRS) mandate on the quality of reporting information of initial public offering (IPO) firms in emerging market economies.
Design/methodology/approach
The study used several difference-in-differences models for a sample comprising 102 Saudi Arabian IPO firms for 2003–2017.
Findings
It found that mandating the application of the IFRS had a significant short-lived but no long-lived effect on IPO firms’ information asymmetry. When information asymmetry was high such as in the primary market, the IFRS succeeded in alleviating the underpricing of IPO firms. Conversely, in the secondary market, with negligible information asymmetry, the IFRS was not beneficial for the long-term performance of companies in the IPO market.
Originality/value
This study is the first of its kind in the emerging market context and has important implications for IPO investors and analysts, IFRS-IPO researchers and policymakers in emerging economies. The results empirically confirmed that the IFRS mandate had solely a short-lived effect and no long-lasting impact, on the problem of asymmetric information in the IPO market. The effectiveness of the IFRS in producing quality financial reporting is contingent upon large-scale information asymmetry and vanishes when investors and analysts have abundant information about listed firms, even for emerging economies such as Saudi Arabia.
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Abiot Mindaye Tessema, Muhammad Kaleem Zahir-Ul-Hassan and Ammad Ahmed
The purpose of this study is to examine the influence of corporate governance (CG) mechanisms on earnings management (EM) within the Gulf Co-operation Council (GCC) countries. In…
Abstract
Purpose
The purpose of this study is to examine the influence of corporate governance (CG) mechanisms on earnings management (EM) within the Gulf Co-operation Council (GCC) countries. In addition, the impact of firm’s political connections (PCs) on EM is investigated, as well as whether it moderates the relationship between CG and EM.
Design/methodology/approach
Fixed-effects model is used on a sample of non-financial firms across the GCC countries to test the hypotheses. Moreover, a two-stage least squares method and a propensity score matching procedure are used to mitigate potential reverse causality and sample selection bias.
Findings
This study reveals that CG mechanisms such as board size and board independence are negatively associated with EM, while CEO duality is positively association with EM. In addition, this study shows that institutional ownership and blockholders do not influence EM. Furthermore, PCs are shown to play a moderating role in the relationship between CG and EM. The results of this study are robust to endogeneity testing and to alternative measures of CG.
Research limitations/implications
Because of a lack of data, the authors do not consider additional CG attributes such as tenure, education and age of board members. Future research could explore the impact of these attributes when data becomes available.
Practical implications
This study provides valuable insights for government officials, policymakers, standard-setters, regulators and corporations by presenting new evidence on the relationship among CG, PCs and EM. Moreover, this study underscores that, in the absence of a strong institutional infrastructure and investor protection, relying solely on strong CG and Islamic values and GCC culture may have a limited impact on effective monitoring of opportunistic managerial behaviors.
Originality/value
This study contributes to existing literature with a specific focus on the unique political, legal, institutional, social and cultural setting of the GCC region. Moreover, this study provides new insights that PCs serve as a governance mechanism in mitigating EM because relatively little attention has been given to the impact of PCs in improving accounting outcomes, especially in the context of the GCC region where Islamic ethical norms often shape business practices.
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This study aims to review the stages of the traditional disaster timeline, propose an extended version of this timeline and discuss the disaster strategies relevant to the…
Abstract
Purpose
This study aims to review the stages of the traditional disaster timeline, propose an extended version of this timeline and discuss the disaster strategies relevant to the different stages of the extended timeline.
Design/methodology/approach
An extensive review of the existing literature was made to discuss the need for an extended version of the conventional disaster timeline and to explain the differences between the various disaster management strategies. The research approach was based on theoretical and practical reasoning underpinned by the literature.
Findings
The proposed extended disaster timeline allows better allocation of a wider range of management strategies. Successful disaster management depends on prioritisation of efforts and the use of the right strategy(s) at the right time: before, during and after an incident.
Practical implications
This study provides a better conceptualisation of the disaster stages and corresponding strategies. It clarifies the role of each strategy, thus linking it more effectively with the disaster timeline. Subsequently, this study is expected to improve decision-making associated with the disaster management process. In the end, it is expected to help transforming the conventional disaster timeline into a more practical one that is result-oriented more than only being a conceptual model.
Originality/value
Disaster management strategies are used interchangeably very often in the literature. A few attempts were made to capture multiple strategies in one study to demonstrate what constitutes effective disaster management without mixing irrelevant strategies with the different disaster stages.
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Fatima Al Maeeni, Nejla Ould Daoud Ellili and Haitham Nobanee
This study aims to investigate the extent and trend of corporate social responsibility (CSR) disclosure by UAE listed banks and the impact of corporate governance mechanisms on…
Abstract
Purpose
This study aims to investigate the extent and trend of corporate social responsibility (CSR) disclosure by UAE listed banks and the impact of corporate governance mechanisms on this disclosure.
Design/methodology/approach
Content analysis of banks’ annual reports from 2009 to 2019 was applied to investigate the CSR disclosure level by constructing a disclosure index. Panel data regressions were applied to analyze the impact of corporate governance mechanisms on CSR disclosure.
Findings
UAE banks show an improving trend in the CSR disclosures. In addition, the board of directors and ownership structure are significantly and positively associated with the CSR disclosures. The results vary across the banking systems.
Research limitations/implications
This study considers the extent of the CSR disclosure in UAE banks’ annual reports, and future research should consider more industries and communication channels.
Practical implications
This study sheds light on the extent of the CSR disclosure of UAE listed banks and assists UAE policymakers in implementing appropriate corporate governance mechanisms.
Social implications
The findings provide banks with a better understanding of the benefits of strengthening corporate governance to improve their CSR disclosure.
Originality/value
This study contributes to the literature by constructing a more comprehensive disclosure index and examining the impact of corporate governance mechanisms on CSR disclosure by considering both the conventional and Islamic banking systems.