Parul Bhatia

Bio: Parul Bhatia is an academic researcher from Fore School of Management. The author has contributed to research in topics: Dividend & Stock exchange. The author has an hindex of 2, co-authored 8 publications receiving 10 citations.

Sub-prime Crisis or COVID-19: A Comparative Analysis of Volatility in Indian Banking Sectoral Indices

Abstract: Stock market volatility may be a function of company, industry, or world over information made public. The present study has investigated the volatility of Indian banking sectoral indices with the ...

An empirical investigation of N-11 countries as successors of BRICS using panel data modeling

Abstract: PurposeFor more than four decades, persistent economic activities and a focused growth strategy resulted in significant infrastructural and other favorable economic and institutional changes in the world's developing nations. High-quality growth is not just a function of sound economic policies but also implementing a broad range of social policies. The BRICS (Brazil, Russia, India, China and South Africa) nations have proven their testimony on both these factors. Following their path are some other emerging economies like N-11 (or Next Eleven propounded by Goldman Sachs (2005) Report), which this present study tries to examine as successors of BRICS.Design/methodology/approachAlong with panel data regression modelling, the study has applied econometric procedures robust to heterogeneities across various nations and have been able to produce more reliable results that can be generalized for other similar groups of countries. 11 independent variables (both economic and institutional) have been used to meet the study's objective for a period of 34 years (1985–2018).FindingsThe findings of the study reveal that the governments of both the group of countries must work toward their macro-economic stability factors (external debt stocks), technological capabilities (mobile and fixed broadband subscriptions), human capital (health expenditure) and political conditions (mainly the rule of law) to enhance their sustainable economic growth.Research limitations/implicationsThis study enhances knowledge of the determinants of economic growth in emerging countries. Firms from BRICS and N-11 may better understand the factors influencing their internationalization process (both economic and institutional). The study is significant not just for the researchers but also for the policymakers of the BRICS and N-11 to understand in which areas their country is leading or lagging. The study is useful even for the policymakers of other emerging countries of the world who might take lessons from these nations (especially BRICS) and follow their success path. This study helps the governments of other groups of emerging countries such as PIN (Pakistan, Indonesia and Nigeria); MINT (Mexico, Indonesia, Nigeria and Turkey); CIVETS (Colombia, Indonesia, Vietnam, Egypt, Turkey and South Africa), etc. which can follow the path of BRICS economies in growth and formulate policies to increase their economic growth accordingly. At the enterprise level, it helps MNCs understand BRICS and N-11 markets and formulating entry and growth strategies in these most emerging countries of the world.Originality/valueThe present study is unique. It tries to investigate the projections of the Goldman Sachs report after 15 years of its release. It tries to determine the factors responsible for the economic development in the N-11 countries with advanced econometric techniques. Majorly, the focus is to comparatively analyze the growth trajectory for BRICS and N-11 nations and suggest whether N-11 has the potential to become successors of BRICS. A concentrated effort to examine the most significant drivers (both economic and institutional), which may lead to economic progression, has been made in this study.

Do Macro Economic Variables and Nifty 50 Move Together

Abstract: The stock market moves in contagion with many variables at macro level from the economy. The changing patterns and trends in inflation, interest rates, exchange rates and related parameters for an economy may create an impact on the stock market movements. In the present study, we have attempted to analyze that whether the macroeconomic variables (exchange rate, foreign direct investment, foreign exchange reserves, index of industrial production and wholesale price index) move in line with National Stock Exchange’s index (Nifty 50). Johansen Co-integration analysis along with Vector Auto Regression model has been used on a monthly data from January 2009 to March 2018 to interpret the results. It ha s been found that there is no co-integration between the variables in the long run.

Role of Artificial Intelligence in Bank’s Asset Management

Abstract: Banking operations have been supported by latest technology-based systems along with the traditional processes which prevailed in earlier banking era. With the large number of smart phone users, there has been a paradigm shift in increasing demand for digital products like mobile banking, Internet banking, E-wallets, etc. A common trend in banking technology is using an application programming interface (API) that enables a third-party application to use an interface through which the customer can access a variety of services. Besides APIs, technologies like blockchain and artificial intelligence (AI) have great impact in changing the face of banking industry. However, this exposes the banks to a variety of cybersecurity threats which may cause service disruptions to the customers. Therefore, this study discusses the pros and cons of these AI techniques along with their scope of application for banks’ asset management.

Co-integration Between Sensex and Other Popular Indices: A Decadal Study:

Abstract: We examine the inter-relationship between India, the USA, Japan, China, France, Dubai and Germany using multivariate co-integration techniques. The study has investigated co-movements betwe...

A Simple Traffic Light Approach to Backtesting Expected Shortfall

Abstract: We propose a Traffic Light approach to backtesting Expected Shortfall which is completely consistent and analogous to the Traffic Light approach to backtesting VaR initially proposed by the Basel Committee on Banking Supervision in their 1996 consultative document. The approach relies on the generalized coverage test for Expected Shortfall developed in.

Sub-prime Crisis or COVID-19: A Comparative Analysis of Volatility in Indian Banking Sectoral Indices

Abstract: Stock market volatility may be a function of company, industry, or world over information made public. The present study has investigated the volatility of Indian banking sectoral indices with the ...

Impact of macroeconomic variables on the performance of stock exchange: a systematic review

Abstract: This paper aims to identify various macroeconomic variables that affect the stock market performance of developed and emerging economies. It also investigates the effect of these factors on the stock markets of both economies. The impact of these variables on broad market indices and sectoral indices is investigated and compared too.,The publications for the study were retrieved from databases such as Emerald Insight, EBSCO, ScienceDirect and JSTOR using the keywords “Macroeconomic variables” and “Stock market” or “Stock market performance.” The result demonstrated a growing corpus of scholarly work in the domain of stock market. The study was carried out separately for each macroeconomic indicator. Given a large number of articles under consideration, the authors began by reading the titles and abstracts of all publications to identify those that were relevant. The papers are evaluated in Excel and the articles for review range from 1972 to 2021.,The authors found that gross domestic product (GDP), FDI (Foreign Direct Investment) and FII (Foreign Institutional Investment) have a positive effect on both emerging and developed economies’ stock market while gold price has a negative effect. Interest rates had a negative impact on both economies except for a few developing countries. The relationship with oil prices was positive for oil exporting countries while negative for oil importing countries. Inflation, money supply and GDP are the macroeconomic variables that have the same effect on sectoral indices as they do on broad market indices. The impact was sector-specific for the remaining variables.,This paper gives an overview of relation and effect covering variety of macroeconomic variables and stock market indices. Still, there is a scope for further research to analyze the effect on thematic, strategy and sectoral indices. A longer time horizon with new variables, such as bank deposit growth rate, nonperforming assets of banks, consumer confidence index and investor sentiment, can be studied using high-frequency data. This research may help stakeholders adopt and manage their policies during a crisis or economic slump.,This study will assist investors, researchers and educators in the fields of economics and finance in understanding how macroeconomic factors affect the stock market. Furthermore, this study can guide in portfolio diversification strategy across multiple sectors by examining the impact of macroeconomic factors specific to sectoral indices. This paper provides insight into society and researchers since it integrates a number of macroeconomic variables and their interaction with the stock market. It may also help pension funds and mutual fund firms to hedge their funds and allocate equity portfolios.,With respect to India, this study looked at new macroeconomic variables and sectors. It contrasted the impact of these variables in developed and developing economies. The effect of broad and sectoral stock indexes was also investigated and compared. The authors examined how these variables responded during crisis and economic downturns by using articles from a longer time frame. This research also looked into how changing the frequency of data for the variables altered stock performance. This paper emphasized the need for more research into thematic, strategy and broad market indices, such as small-cap and mid-cap indices.

A Comparative Performance Analysis of Sustainability Themed Indices in India: Markov Regime Switching Approach:

Abstract: Sustainability Indices serve as a benchmark for the companies screened for their superior performance on environmental, social and governance (ESG) parameters. This article intends to compare the o...