Olga V. Efimova

DOI: https://doi.org/10.6000/1929-7092.2018.07.61

Published: 12 November 2018  

Abstract: The paper investigates the issues of integrating ESG factors into investment decision-making process. Based on the available investor surveys, academic research, the analysis of the Russian companies` non-financial reports, Bloomberg ESG data, Corporate Sustainability and Responsibility indexes and their sectoral aspects, as well as Russian ecological-stock index ERAX and stock exchange index MICEX dynamics the paper concluded that ESG factors have a material impact on corporate financial performance. At the same time there are barriers to the full ESG integration in the investment process primarily connected with the lack of standardized data, information comparability, reliability, completeness and timeliness; limited knowledge and guidance for ESG risk and opportunity measures and appropriate analytical tools as well as lack of dialogue between the investment community and the reporting companies. To contribute to the problem development this paper presents an approach of integrating ESG factors at different stages of investment analysis and business valuation.

Keywords: Sustainability, investment decision process, ESG integration, ESG risks and opportunities, valuation models.

Download

Kosorukova Irina, Plyasova Svetlana, Prokimnov Nikolay and Rodin Alexander

DOI: https://doi.org/10.6000/1929-7092.2018.07.62

Published: 12 November 2018  

Abstract: Topicality: In the article the authors analyze the relationship between the book and market value and the price (level of capitalization) of the business, and also analyze the nature of the relationship of these indicators with the traditional financial ratios.The purpose of the article is to determine the state of these relations in the modern economy of Russia.

Practical Usefulness: Determination of materiality influence of financial coefficients which used in traditional financial analysis on value and price of business that gives the chance of forecasting of development and decision-making within management of business` value, and also more effective investment of means in securities.

Novelty: In modern Russian economic conditions, only part of the traditional financial ratios has an impact on the prices and business value.The analysis presented in the article indicates the feasibility of forming such a system of indicators, which is more informative in terms of their use for the implementation of value-based analysis and approach for decision-making in the organization.

Keywords: Valuebusiness, price business, financial indicators,statistical analysis.

Download

Andrey A. Gusev

DOI: https://doi.org/10.6000/1929-7092.2018.07.63

Published: 12 November 2018  

Abstract: Many fintech start-ups participant companies and cryptocurrencies have experienced phenomenal growth in value during the past several years. Many specialists would like to know the reasons for such success. In this article we investigate the predictive power of public opinions. This is one of the few works that using quantitative analysis connects social media and internet users’ activities with cryptocurrency valuations.

Keywords: Fintech, Valuation, Cryptocurrency, Cryptoeconomy, Behavioral Finance, Predictive Power.

Download

^{I.Y. Lukasevich, N.A. Lvova and D.V. Sukhorukova}

DOI: https://doi.org/10.6000/1929-7092.2018.07.64

Published: 12 November 2018  

Abstract: At the present time it is customary to consider the financial stability in the macroeconomic aspect. The existing methodology of its assessment covers mainly the financial market. At the same time, due attention is not paid to companies operating in the real sector of the economy. This paper proposes a methodology for developing indices of financial stability of companies, which allows to take into account both qualitative and quantitative assessment of relevant factors. Its elements and principles of construction are formulated, factors and indicators are defined, as well as methods and approaches to their evaluation. The main directions of its development and application are shown. The proposed approach and the developed methodology can be in demand by representatives of public administration in justifying a wide range of management decisions that require an assessment of financial stability. It may also be of interest to market participants, including relevant institutions, investors and companies attracting investments.

Keywords: Methodology, financial stability, indicators of financial stability, modelling, valuation.

Download

^{Alina Shaydurova, Svetlana Panova, Raisa Fedosova and Galina Zlotnikova}

DOI: https://doi.org/10.6000/1929-7092.2018.07.65

Published: 12 November 2018  

Abstract: Nowadays the largest institutional investors and exchange-traded funds invest a great part of their portfolio in the assets connected with environmental-friendly activities. “Green” financial instruments can accumulate resources for climate change adaptation and infrastructure projects in areas such as renewable energy generation, energy effectiveness, clean water, low-carbon transport, etc. Thus, the concept of sustainable development not only pay attention to the climate risks but also creates new factor of investment attractiveness and makes the investment process more conscious and less speculative. Governments are also interested in the development of “green” instruments as their can play a significant role in the adaptation to the climate change and movement of the capital flows from the financial sector into the ecological industrial projects. The study shows that the necessary funds can be accumulated successfully due to defensive character of “green” instruments and their sustainability to the market shocks.

Keywords: Sustainable development, sustainable investing, “green” bonds, “green” indices, ESG principles.

Download