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This article provides information on the law and procedures relating to share capital and capital maintenance. Discussions also cover issues concerning capital reduction, redemption of own shares, dividend distribution and limitation on provision of financial assistance to purchase shares in the company, as provided in the Companies Act 2016. It is worth noting the abolishment of the concept of authorized share capital and par value in Malaysia; and the legal and accounting implication that arise from this measure. The writing of this article employs the hermeneutics analysis of relevant legislation(s). It provides a quick and simplified reference for students and non-practitioner.

The purpose of the study is the analysis of the relationship between the par value (also known as nominal value or face value) and the parameters influencing a company’s financing. Additionally, the utility of the par value as a manipulation tool for equity offerings is examined. The study is based on a sample of IPO firms which went public on the Warsaw Stock Exchange. The study finds that an excess supply of shares has a negative impact on their valuation. In contrast, decreasing the par value prompts perceptual biases among investors beneficial to the success of the issuance. Moreover, share capital is found to be a useful signaling tool to improve the company’s position on the financial market.

For many years, mathematics has been used to solve the problem in economic and finance instead of natural science and engineering. This paper shows how accurate mathematics reads financial behavior. One of the financial areas using the mathematics approach is the bond valuation technique. Bond is one of the long term debt instruments. The finding in this research is that mathematics can be used to read the changes in the concept of a pricing model where the par value of bonds is always going to 100% at the maturity date. Theoretically, the bonds fair price is resulted by calculating the present value of future coupon interest of bonds, but not in practice, caused by the bonds investor behavior. The difference in price, resulted from both different approaches, in this paper is defined by a new mathematical concept to reflect the bonds' investor behavior. It is the aim of this research. To address the differences, we have evaluated the fair price of bonds calculation by creating new mathematics equations by combining the calculation of the present value of future coupon interest of bonds with the market concept models. The result is a new mathematical model called J-Value. To prove the eligibility of J-Value, a simulation was done. The mathematics model in this paper is found by combining the usage of a qualitative method and supported by a quantitative method.

Chinese government broke its long-standing practice of bond bailouts in March 2014. The number and par value of bond defaults increased substantially in the following years. We investigate the Chinese bond defaults from 2014 to 2019 and examine the impact of the no-bailout reform. We find significantly higher yield spreads on lower-rated bonds over AAA bonds after the policy change. Further, we document much lower default rates for SOE bonds than non-SOE bonds and an increased funding advantage of SOEs after March 2014. Surprisingly, credit rating agencies loosened rating standards in response to the policy change, suggesting their caving in to demand for higher ratings.

Most corporate bond research on liquidity and dealer inventories is based on the USD-denominated bonds transactions in the US reported to TRACE. Some of these bonds, however, are also traded in Europe, and those trades are not subject to the TRACE reporting requirements. Leveraging our access to both TRACE and ZEN, the UK's trade reporting system which is not publicly available, we find an overlap of about 30,000 bonds that are traded both in the US and in Europe. This paper examines how using the CUSIP-level information from TRACE and ZEN affects the computation of bond liquidity metrics, dealer inventories, and the relationship between the two. We find that in the combined dataset, the weekly volume traded and number of trades are significantly higher than in TRACE: e.g., the average unconditional number of trades in investment-grade (high-yield) bonds is 17% (20%) higher and the average unconditional volume traded is 15% (17%) higher when we incorporate the information from ZEN. We find a strong positive relationship between inventories and liquidity, as proxied by the trading activity metrics (i.e., number of trades, zero trading days, or par value traded) in TRACE data, and this result carries over to the combined dataset. When measuring bond liquidity with the Amihud ratio, we find strong relationships in both TRACE and ZEN but of opposite signs: greater (lagged) inventories result in higher liquidity in the US but lower liquidity in Europe. The two effects offset each other and significance disappears in the combined dataset. We conclude that (i) neither of the individual datasets paints a complete picture of the effects of dealer inventories on bond market liquidity, (ii) the measures based on the combined dataset appear more precise in describing the market characteristics, and (iii) data sharing across transaction reporting databases would allow a variety of stakeholders to gain a more accurate understanding of the liquidity and dealer inventories in global bond markets.

Significance Since 1939, the US Congress has imposed a limit on aggregate federal debt and left the Treasury free to design its securities and manage its portfolio of debts. Congress has increased the aggregate debt limit whenever it threatened to bind. Before 1939, Congress arranged things differently. Congress designed each security and put limits on the amount that could be issued. We construct an implied limit on aggregate debt before 1939 by summing bond-by-bond limits at each date. Before 1939, this implied aggregate limit often declined and led to Congressional actions that produced net-of-interest surpluses that enabled it to reduce federal debt, outcomes rarely observed after 1939., Between 1776 and 1920, the US Congress designed more than 200 distinct securities and stated the maximum amount of each that the Treasury could sell. Between 1917 and 1939, Congress gradually delegated all decisions about designing US debt instruments to the Treasury. In 1939, Congress began imposing a limit on the par value of total federal debt outstanding. By summing Congressional borrowing authorizations outstanding each year for each bond, we construct a time series of implied federal debt limits before 1939.

Leslie Hannah argues, among other things, that the series on par value of UK‐listed equities that I presented in an article published in the Economic History Review in 2015 is deeply flawed. Although I would quibble with some of Hannah's points, his main conclusion is correct: many of the series in ‘Bloody foreigners!’ are, in fact, flawed and require substantial revision. In this note, I explain the source of the errors and the steps I have taken to correct them in the preparation of subsequent work.

Background: As the number of hospitals in Indonesia increased to 2,820 hospi­tals cur­­rently, so increases the need for marketing strategy. In this millennial era, there is a shift in marketing from traditional to digital marketing. A promotion through social me­dia, especially Ins­ta­gram has become an interesting choice. This study aimed to de­ter­mine the effectiveness of Ins­tagram as a promotion media at Citra Ananda Maternal and Child Health Hospital, Ciputat, Banten. Subjects and Method: This was a quantitative study. Outpatients who followed the Instagram of Citra Ananda Maternal and Child Hospital were selected for this study. The independent variable was Instagram. The dependent variables included Aware, Ap­peal, Ask, Action, and Advocate (5A). The data were calculated using Purchase Action Ra­tio (PAR) and Brand Advocacy Ratio (BAR). The data were calculated based on the criteria of 5A. The data were analyzed descriptively. Results: The percentage value in the Aware (X1) stage was 80.95%, Appeal (X2) was 75.93%, Ask (X3) was 82.82%, Act (X4) was 80.19%, and Advocate (X5) was 82.57%. The conversion rate from Aware to Appeal was 0.94. Appeal to Ask was 1.09. Ask to Act was 0.97. Act to Advocate was 1.03. PAR value was 0.99 and BAR value was 1.02. The rate of conversion from Aware to Appeal showed that customer interest was high. Aware to Ask the information provided in the promotion was unclear. Ask to Act showed a high level of commitment from the customer. Act to Advocate showed a high le­vel of affinity from the customer. Conclusion: Instagram has substantial effects on Aware, Appeal, Ask, Act, and Advo­cate attributes of a promotional media at Citra Ananda Ma­ter­nal and Child Hospital. Keywords: effectiveness, social media, instagram, promotion, hospital

We price resettable convertible bonds (RCBs) whose embedded options contain conversion, call and put provisions and reset clause using complete path decomposition. The reset clause stipulates that the conversion price is adjusted downwards if the underlying stock price is lower than the conversion price by some pre-specified percentage. By assuming or identifying optimal strategies of RCBs’ issuers and investors, we completely decompose the value of RCBs into three parts: A sum of values of several path-dependent exotic options, the value of coupon payments, and the par value. Our method provides comprehensible insight of different provisions contained in RCBs.

As photosynthetically active radiation (PAR) variability and PAR estimating methods play an important role in climate change and ecological process research, PAR variation trends and broadband global solar radiation (R s ) ratios (PAR/R s ) in the North China Plain (NCP) are examined using in situ PAR and R s observed data for 2005 to 2011. The annual average PAR value found in the NCP is 22.9 mol m−2 d−1. The highest and lowest values were recorded at Changwu and Luancheng sites, respectively. The highest PAR/R s value was found in Jiaozhouwan due to large water vapor volumes present in this area. PAR/R s levels have increased in the NCP due to a decrease in fine aerosols and increase in water vapor concentration. From these analysis results, a parameterization model that can be applied to all sky conditions was checked. Empirical estimation model comparisons for obtaining PAR values indicate that model was least accurate when R s was used independently. When the model included R s, the clearness index (K s) and the solar zenith angle, the model estimated PAR values with acceptable accuracy. A parameterization model was constructed by considering K s and attenuation factors of PAR under clear weather conditions (ρ clear). The improved parameterization model more accurately predicts values for local sites and for various observation sites.

This paper examines the impact of the par value concept on the success of new issues during initial public offering (IPO) and the subsequent efficiency of companies. The study is based on a sample of IPO firms which went public on the Warsaw Stock Exchange from 1998 to 2013. The paper shows that the concept of par value – which was invented to protect buyers and lenders against shares being issued without corresponding existing assets – interacts with investor behaviour and can be used to improve the success of a share issue. The paper also shows that this concept does not affect the profitability of companies after IPO.

This paper examines the impact of par value concept on the capital raised during IPO. The study is based on the sample of the IPO firms which went public on the Warsaw Stock Exchange from 1998 to 2013. The paper shows that the concept of par value, which was invented to protect buyers and lenders against shares being issued without corresponding assets existing, interacts with investor behaviour and can be used to improve the success of a share issue. The paper also shows that this concept is related to the equity structure of the company.

Competition increases, primarily from Billy Mitchell’s Olympic Theatre, and the Bowery Theatre appears to be adrift. Hamblin, turning forty, counters by producing increasingly lavish (and lucrative) spectacles, including filling the entire stage with water for “tank dramas” with battling warships, like those he had seen as a child. Hamblin runs afoul of the wishes of the Bowery Theatre shareholders, then undertakes ambitious plans to build a prestigious theatre on Broadway. Eliza Shaw’s popularity continues to grow, especially in breeches roles, costumed as a young man to exhibit her legs. She gives birth to Thomas Hamblin, Jr. Various creditors file lawsuits against Hamblin as his financial difficulties accumulate. Charles Dickens attends the Bowery and admires Shaw.

The purpose of this research is to find out the concept and benefit of regulation of no par value shares in Indonesian Capital Market. The legal issue of this research is the philosophical meaning of no par value shares as stipulated in Article 31 subsection (2) of Company Law 2007. Ontologically, regulation of no par value shares is one of alternatives to solve the crisis of capital market. Etiologically, the regulation will give the value of benefits in term of providing easiness to perform corporate action, simplification of accounting, no distinction between issued shares and outstanding shares, the shares price is not determined by the nominal price but the market price, it remains to be traded, the company may still do a rights issue to obtain fresh funds even during crisis and they can use mandatory and optional system.Keywords: regulation, no par value shares, capital market.

The Nigerian Microfinance sub-sector is yet to attain the desired level of global best practice. This paper thus investigates the performance and productivity changes of MFBs in South-West Nigeria, from 2006 to 2010, having had the Microfinance Policy launched in 2005. The study revealed that only 16.28% of the sampled MFBs met the recommended maximum PAR value of 5% in 2006 and that was the highest throughout the sample period. It was also revealed that 31.14% of the sampled MFBs reported a debt/equity ratio of above the recommended value of 2 in 2006, while 32.56% had gearing of over 2 in 2010. The MFBs experienced fluctuating performances in their productivity changes, with pure technical efficiency improvements in 2007 and 2009. However, the MFBs suffered technological decline throughout the study period. Overall, the MFBs experienced Total Factor Productivity improvement in 2007, while there were productivity deteriorations in 2008, 2009 and 2010.

The Federal Reserve (Fed) uses a unique auction mechanism to purchase U.S. Treasury securities in implementing its quantitative easing (QE) policy. In this paper, we study the outcomes of QE auctions and participating dealers' bidding behaviors from November 2010 to September 2011, during which the Fed purchased $780 billion Treasury securities. Our data include the transaction prices and quantities of each traded bond in each auction, as well as dealers' identities. We find that: (1) In QE auctions the Fed tends to exclude bonds that are liquid and on special, but among included bonds, purchase volumes gravitate toward more liquid bonds (2) The auction costs are low on average: the Fed pays around 0.7 cents per $100 par value above the secondary market ask price on auction dates (3) The heterogeneity of Fed's costs across bonds relates to their liquidity and specialness, suggesting that dealers respond to both valuation and information uncertainties (4) Dealers exhibit strong heterogeneity in their participation, trading volumes, and profits in QE auctions (5) Auction bidding variables forecast bond returns only one day after the auction, suggesting that dealers have price-relevant information but the information decays quickly.

This article initially describes the market for corporate retail notes (RNs)—debt securities issued directly to individuals (“retail” investors) through brokers, in small denominations ($1,000) and generally on a weekly basis. RNs became popular in the 2000s, although only a few well-known industrial and financial firms issue them. The authors then examine a sample of 1,775 new RNs issued by industrial firms from 2005–2009. Nearly all have an investment-grade credit rating. All RNs include a “death put” provision, and most are callable at par value. After comparing yields on new RNs with seasoned corporate-bond benchmarks, however, the authors find no evidence that investors are compensated for the value (to the issuer) of the call provision. On average, RNs underperform benchmarks at all investment horizons up to two years, and performance is worse for callable RNs, the majority of which are called soon after deferment-period expiration. It is unlikely that these results can be explained by higher secondary-market liquidity. By purchasing new RNs, however, individual investors can avoid transaction costs on mainstream corporate bonds. In addition, individual investors may place a high personal value on the death put provision.

This article is part of a broader study on the impacts of exchange rate on trade. It searches for an explanation on why there is no effective rule in the World Trade Organization (WTO) to neutralize the negative impacts of currency misalignments on trade instruments. In other words, it searches for the missing link between the WTO and the International Monetary Fund (IMF) concerning the relationship between exchange rates and trade. It also seeks to demonstrate that, in the creation of the Bretton Woods system this link was clearly defined but was forgotten after the end of the par value. Despite all the historical and theoretical developments these two organizations have been through, their only legal link remains the same: General Agreement on Trade and Tariffs (GATT) Article XV. The article analyzes the differences between the IMF Article IV approach based on the concept of manipulation of exchange rates and the GATT Article XV approach that looks for the frustration of the trade objectives. Finally, it argues for the rescue of GATT Article XV to solve the serious problem of trade rules circumvention through currency misalignments. The Author 2013. Published by Oxford University Press. All rights reserved., Oxford University Press.

With a make-whole call, the call price is calculated as the maximum of the par value and the present value of the bond's remaining payments discounted at the prevailing risk-free rate plus a pre-specified spread known as the make-whole premium. The commonly accepted thumb rule in the investment banking community is to set the make-whole premium at 15% of the at-issue credit spread. Using a standard structural model, we calculate the optimal make-whole call premium, i.e. the make-whole premium that maximizes the ex-ante firm value subject to managers following a second-best call policy that maximizes the ex-post equity value. For reasonable parameterizations, optimal make-whole premiums are relatively close to 15% of the model-generated credit spread. Thus, the 15% thumb rule provides surprisingly good guidance for setting make-whole call premiums.

This paper analyses the new Portuguese legal system of no par value shares — recently introduced in Portugal by Decree Law 49/2010, published on 19 May — as well as the main reason for this legal solution: to make corporate financing in the stock market more flexible.

Current yield is a common approximation for abond’s yield to maturity. The approximation becomes less accurate as the bond price moves away from par value. By performing a relatively easy calculation that incorporates an annuity calculation with the coupon rate, an adjustment to current yield can be generated that is a much better approximation of the actual yield to maturity.

This article studies the role of recovery on defaultable debt prices in alternative recovery risk models. The empirical results suggest two central findings. First, the recovery concept that specifies recovery as a fraction of the discounted par value has broader empirical support. Second, parametric debt valuation models can provide a useful assessment of recovery rates embedded in bond prices.

We survey the theories of why banks promise to pay par on demand and examine evidence about the conditions under which banks have promised to pay the par value of deposits and banknotes on demand when holding only fractional reserves. The theoretical literature can be broadly divided into four strands: liquidity provision, asymmetric information, legal restrictions, and a medium of exchange. We assume that it is not zero cost to make a promise to redeem a liability at par value on demand. If so, then the conditions in the theories that result in par redemption are possible explanations of why banks promise to pay par on demand. If the explanation based on customers’ demand for liquidity is correct, payment of deposits at par will be promised when banks hold assets that are illiquid in the short run. If the asymmetric-information explanation based on the difficulty of valuing assets is correct, the marketability of banks’ assets determines whether banks promise to pay par. If the legal restrictions explanation of par redemption is correct, banks will not promise to pay par if they are not required to do so. If the transaction explanation is correct, banks will promise to pay par value only if the deposits are used in transactions. After the survey of the theoretical literature, we examine the history of banking in several countries in different eras: fourth-century Athens, medieval Italy, Japan, and free banking and money market mutual funds in the United States. We find that all of the theories can explain some of the observed banking arrangements, and none explain all of them.

This paper considers different "quick" methods of estimating an index for the price of government bonds and applies these methods to postwar U.K. data. It is shown that different indices produce substantially different estimates of the average price of bonds. The preferred index is an estimate of the ratio of the market value of the stock of bonds to its par value. It has the advantage that it can be calculated using published data mainly on redemption yields that are readily available over relatively long time periods. Copyright 1991 by Blackwell Publishing Ltd

Financial economists have long believed that the liquidity of shares affects the level of participation in equity markets and is thus central to their deepening. This study examines the growth in industrial share liquidity that occurred in Boston over the latter half of the 19th century. From primary sources hitherto unused for scholarly investigations, namely the running annual worksheets of securities price fluctuations that underlie broker Joseph Martin’s volumes on the history of the Boston stock market, I construct broad-based indices of annual prices and returns for banking and industrial equities, as well as measures of real market capitalization. A series of vector autoregressive models then relate increases in liquidity, as measured by falling par values of industrial shares due to stock splits, write-downs and re-capitalizations, entries, and exits, to advances in prices and capitalizations among traded firms. The findings support the view that increases in participation were important for sustaining Boston as the nation’s leading industrial market until finally overtaken by New York sometime around 1900.

This paper examines the pattern and timing of the enactment of double liability for state banks in the United States prior to the Great Depression. Under double liability, shareholders of failing banks could lose, in addition to the initial purchase price of shares, an amount equal to the par value of shares owned. The results suggest that double liability was adopted by states subject to greater economic risks, where bank failures were more likely, or where the economy and banking sector were more advanced and bank failures would be more costly (i.e., fear), and that single liability was adopted by more rapidly growing states, where the payoff to greater risk-taking was higher (i.e., greed).

The Sustainable Development Goals, the global development agenda for 2015 through 2030, will require unprecedented mobilization of resources to support their implementation. Their predecessor, the Millennium Development Goals, focused on a limited number of concrete, global human development targets that can be monitored by statistically robust indicators. The Millennium Development Goals set the stage for global support of ambitious development goals behind which the world must rally. The Sustainable Development Goals bring forward the unfinished business of the Millennium Development Goals and go even further. Because of the transformative and sustainable nature of the new development agenda, all possible resources must be mobilized if the world is to succeed in meeting its targets. Thus, the potential for Islamic finance to play a role in supporting the Sustainable Development Goals is explored in this paper. Given the principles of Islamic finance that support socially inclusive and development promoting activities, the Islamic financial sector has the potential to contribute to the achievement of the Sustainable Development Goals. The paper examines the role of Islamic financial institutions, capital markets, and the social sector in promoting strong growth, enhanced financial inclusion, and intermediation, reducing risks and vulnerability of the poor and more broadly contributing to financial stability and development.

This paper examines the recent trends in the Sri Lankan bond market and critically analyses that there has not been a diversity of investors to finance the budget deficit. Diversifying the credit market and to distribute credit risks among various investors arguably helps to develop the domestic bond market. According to the available statistics the non-bank borrowings as a share of total domestic borrowings declined to 24% in 2013 from 35% in 2012. So this can be identified as a negative trend in the Sri Lankan Bond market. Within a course of ten years from the year 2004 to 2013 the trends in the Sri Lankan Bond market is examined and critically analysed in this paper.

The main function of banks is maturity transformation. By performing this function banks create liquidity. They lend illiquid loans to borrowers of funds, and in the face of these they emit liabilities which may be withdrawn at any time at par value (Bryant, 1980; Diamond and Dybvig, 1983; Holmstrom and Tirole, 1998).

In order to assess the potential role of the boreal forest in the early to mid-Holocene global dynamics, it is critical that the tree-line reconstructions are based on precise palaeorecords. Pollen accumulation rate (PAR) calculations provide a technique for estimating past plant population densities independently for each species. When considering tree-lines, an important concept is the threshold PAR value for the absence, presence, and dominance of the most common tree species. Such threshold values are often based on modern lake sediment core-top PAR values. In northern Fennoscandia, records obtained through pollen monitoring now add an important element to these studies, as they allow more precise definitions of the temporal and spatial limits of PAR values. Here we compare modern PAR values based on pollen monitoring data with sediment core-top data to evaluate the robustness of the threshold values for the major tree species of Finnish Lapland. We apply these threshold values to two fossil PAR records from this tree-line region and, as an example of the potential of the approach, map the vegetation patterns in the area at 7000 cal yr BP. The results indicate that the extent of the mid-Holocene tree-line advance in northern Fennoscandia was substantially less than climate-vegetation model simulations have predicted. Despite their value and potential in vegetation reconstructions, the use of PAR values requires careful validation of the data. We stress the importance of basin size, of precise and reliable sediment dating, age-depth modelling, and assessment of the sedimentary processes in each study basin as prerequisites for PAR-based studies.

The physical activity level of an individual can be determined by assigning physical activity ratios (PAR) to different activities. The PAR is the ratio of the energy expended in a particular activity and the BMR, and is thought to be independent of body weight. PAR values of selected activities in Indian male and female subjects were measured and their association with BMI was assessed. The BMR and energy cost of selected activities were measured in thirty male and thirty female subjects in the age group of 20-40 years, who were categorised into different groups of BMI. The PAR values of the underweight male subjects were significantly lower than the overweight subjects for activities such as walking at 3.2 and 4.8 km/h and walking at 3.2 km/h with a 5 kg load. In the female subjects, the underweight subjects had significantly lower PAR values for floor swabbing, and walking at 3.2 and 4.8 km/h when compared with overweight females. The mean data of the male and female subjects of the present study were slightly but significantly different to the previously reported FAO, WHO and United Nations University values and other compilations. The BMI was significantly correlated with the PAR value of the studied activities. In India, where a large proportion of the population have BMI below 18.5 and above 25 kg/m2, considerations of the influence of body weight and BMI on PAR become important in accurately determining total energy expenditure.

We examine the price and volatility reaction around stock dividend ex-dates for an Australian sample, over the period January 1992 to December 2000. We find that price reaction around stock dividend ex-dates provides positive abnormal returns both prior, and subsequent, to the abolishment of par value of shares in July 1998. When we partitioned the sample into financial, industrial non-financial and mining firms, the price reaction is found to be positive and significant only for industrial non-financial companies. Volatility of daily returns for periods subsequent to ex-dates is significantly greater than corresponding periods prior to announcement dates, while cumulative raw returns subsequent to ex-dates are significantly lower than periods prior to announcement dates for industrial non-financial companies. The magnitude of the price reaction is statistically significantly related to an increase in the volatility of daily returns and to a reduction in cumulative raw returns subsequent to the ex-dates, for industrial non-financial companies. These findings support buying pressure hypothesis suggested by Dhatt et al. (1994, 1996).

We analyze a new form of call provision known as a "make-whole" call which utilizes a floating call price based on the level of current interest rates. As rates drop (rise), the call price increases (decreases). Typically, a floor at par value prevents the call price from dropping below $1,000. This provision effectively eliminates the reinvestment rate risk associated with investing in bonds with fixed-price call provisions. Survey results indicate a majority of CFOs believe make-whole call provisions are "costless." Our analysis of 318 recent make-whole call bonds indicates that this provision is indeed priced. On average, the at-issue yield-to-maturity of a make-whole call bond is 11.2 basis points higher than the yield of a comparable straight bond.