Aymen Ben Rejeb

This study examines the impact of political uncertainty on the cost of equity for firms listed on the Tunisian Stock Exchange. Focusing on the period surrounding the 2011 Tunisian revolution, it investigates whether the relationship between political risk and the cost of equity differs before and after this structural break. The cost of equity is estimated using the Capital Asset Pricing Model (CAPM), while political risk is proxied by institutional indicators, including corruption, political stability, absence of violence, and regulatory quality. Using panel data for 24 nonfinancial firms over the period 2007–2016, the analysis includes both linear and nonlinear specifications. During the full sample period, the results indicate that the institutional environment does not constitute a significant determinant of the cost of equity. However, evidence of an inverted U-shaped relationship suggests that the marginal effect of political risk diminishes beyond a certain threshold. Furthermore, when distinguishing between pre- and post-revolution periods, political risk exhibits a positive and statistically significant impact on the cost of equity. These findings offer important insights for policymakers and investors in Tunisia by highlighting the impact of institutional and political risk on the cost of equity in a transition economy.

Purpose: This study examines the interdependencies among gold, green bonds, bitcoin and stock markets, considering the effects of major global crises such as the COVID-19 pandemic and the Ukraine war. By using a simultaneous equations framework, the research explores how these markets interact and affect one another. Design/methodology/approach: The analysis employs daily data from 2014 to 2024 and applies a simultaneous equations model to capture both direct and indirect effects among the selected financial markets. This approach ensures a comprehensive assessment while minimizing country-specific biases. Findings: The results reveal bitcoin’s mixed impact on stock markets, the complex influence of green bonds and the variable safe-haven properties of gold. The study highlights the evolving nature of these relationships, particularly in times of financial distress. Practical implications: Understanding these interdependencies is essential for investors, policymakers, and financial analysts aiming to manage risk and optimize portfolio strategies. The findings shed light on the role of alternative assets during periods of crisis. Originality/value: Unlike previous studies that focus on individual markets or country-specific data, this research simultaneously examines four key financial markets on a global scale. By integrating a broader dataset and addressing both direct and indirect linkages, the study contributes to the literature on financial market dynamics and risk diversification.

Purpose: The research aims to demonstrate the impact of disclosure as an accounting standard to reduce any manipulation of bank profits, when using creative accounting, and improve the performance of bank departments, especially senior management, which is the main cause of profit manipulation, and to indicate the extent of the impact of accounting disclosure as an accounting standard to reduce creative practice. Theoretical framework: The study shows the effect of accounting disclosure as an accounting standard, to reduce creative practice, and disclosure as an accounting standard, one of the most important of these criteria used, which is the course through which details are presented and the decisions are submitted to the policy followed by the facility (Hassan, 2010: 25) Design/methodology/approach: For the purpose of completing the study, a sample of the banking sector was chosen in the Iraqi environment, where (13) banks were chosen, namely (Commercial Bank- Investment Bank- Ashur Bank- Investment Bank- Gulf Bank- United Bank- Middle East Bank- Al Mansour Bank- Mosul Bank- Bank Baghdad - Somer Bank - Al -Ahly Bank - Credit Bank - Al Ittihad Bank). Sound and correlation and influence laboratories have been used to extract results Findings: The results of the descriptive analysis showed that there is no weakness in the level of disclosure in Iraqi banks, during the study period, and the values of proportions indicate a relative rapprochement between banks in the terms of disclosure. Research, Practical & Social implications: The study shows the effect of applying disclosure as an accounting standard in reducing creative accounting practice. Originality/value: The results of the statistical analysis showed that the value of (ProB) for the independent variable apply the disclosure as an accounting standard less than (0.05), as it reached (0.017), which indicates that there is a reverse moral impact to apply disclosure as an accounting standard No. (1) on creative accounting.

Recent accounting and financial researches suggest that the IFRS adoption leads to high-quality financial information characterized by their honesty. The purpose of this paper is to analyse the impact of IAS/IFRS adoption on key aspects of investment decision-making in emerging stock markets. The paper uses a state-space model combined with a standard GARCH specification and a multidimensional panel data model. The results of our empirical investigation show that the IFRS adoption contributed to improving development and performance of emerging markets. It leads to considerable development, reduced volatility, and prompt convergence towards information efficiency.

Purpose: The purpose of this paper is to investigate whether Islamic stock indexes outperform conventional stock indexes, in terms of informational efficiency and risk, during the recent financial instability period. Design/methodology/approach: The paper uses a state space model combined with a standard GARCH(1,1) specification while taking into account structural breakpoints. The authors allow for efficiency and volatility spillovers to be time-varying and consider break dates to locate periods of financial instability. Findings: Empirical results show that Islamic stock indexes are more volatile than their conventional counterparts and are not totally immune to the global financial crisis. As regards of the informational efficiency, the results show that the Islamic stock indexes are more efficient than the conventional stock indexes. Practical implications: Resulting evidence of this paper has several implications for international investors who wish to invest in Islamic and/or conventional stock markets. Policy makers and even academics and Sharias researchers should as well take preventive measures in order to ensure the stability of Islamic stock markets during turmoil periods. Overall, prudent risk management and precocious financial practices are relevant and crucial for both Islamic and conventional financial markets. Originality/value: The originality of this study is performed by the use of time-varying models for volatility spillovers and informational efficiency. It considers structural break dates that think about the dynamic effect of informational flows on stock markets. The study was developed in a global framework using international data. The global analysis allows avoiding country specific effects.

Purpose: The purpose of this paper is to examine, in a global perspective, the oil, gold, US dollar and stock prices interdependencies and to identify instantaneously direct and indirect linkages among them. Design/methodology/approach: A methodology based on simultaneous equations system was used to identify direct and indirect linkages for the period 1995-2015. The authors try initially to find theoretical answers to main question of the study by discussing causal bilateral relationships while focusing on multilateral interactions. Findings: The results show significant interactions between all markets. The authors found a negative relation between oil and stock prices but oil price is significantly and positively affected by gold and USD. Oil price is also affected by oil futures prices and by Chinese oil gross imports. Gold rate is concerned by changes in oil, USD and stock markets. The US dollar is negatively affected by stock market and significantly by oil and gold price. Indirect effects always exist which confirm the presence of global interdependencies and involve the financialization process of commodity markets. Originality/value: Motivation of this research paper is the substantial implications of price movements on real economy and financial markets. Understanding that co-movement has great value for investors, policy makers and portfolio managers. This paper differs from previous studies in several aspects. First, most of the research papers focus on bilateral linkages solely, while the authors’ investigation was implemented on all the four markets simultaneously. Second, the study was developed in a global framework using international data. The global analysis allows avoiding country specific effects.

The main objective of this paper is to analyse the performance of both Islamic and conventional stock market indices, particularly during the financial subprime crisis period. For this purpose, we use updated data including the recent financial instability periods and a relevant methodology based on the time varying parameter model combined with a GARCH specification, a Granger non-causal test and a structural break points technique. The empirical results show that the weak efficiency hypothesis is relatively verified in the Islamic context than in the conventional one. Moreover, we can conclude that Islamic markets are not fully immunised against the effects of financial crises and the strong financial fragilities. The results of the Granger non-causality test suggest that the Islamic stock markets have succeeded to relatively escape important part of the last subprime crisis harmful effects. This may encourage investment in this type of markets and therefore allows the strengthening of economic growth.