Proceedings of the 2nd International Conference on Financial Technology and Business Analysis
Javier Cifuentes-Faura, University of Murcia
Utilizing Monte Carlo Simulation and annualized data, this paper investigates portfolio establishment with currency, comparing the performance of the portfolio with the performance of equity. Specially, we choose S&P 500 to represent equity, while choosing Gold futures, Bitcoin, and CHF to represent different types of currency. Firstly we use Python to help us do the initial simulation of one million portfolios, analyzing the result of the simulation based on sharp ratio with Excel. We find that there are some regular patterns in the asset allocation of the portfolio and explain the appearance of the strange angle in our simulation. Then to increase the market shares of currency, we advocate adding an extra yield to the currency's annualized return and doing another two simulations on the four assets with a new annual rate of return. We then compare the results of new simulations with the performance of the initial simulation and S&P 500, finding that with extra yield it will be more easier for the portfolio including currency and equity to perform better than initial portfolios. We also find that the regular pattern of asset allocation which is discovered from the initial simulation is inapplicable in new simulations.
With the continuous development and progress of society and the deterioration of the global environment, Environment, Social and Governance (ESG), as an important part of the non-asset valuation of enterprises and a major measure to protect the environment, has received more and more attention from the management. As one of the most crucial processes of ESG for enterprises, green marketing has become an important measure to ensure the overall development of each company. This study conducted a survey on 3,169 Chinese post-90s consumers using a stratified sampling method and collected 2,028 valid ones. The data were analyzed through chi-square analysis and descriptive analysis to analyze their green consumption channels, behaviors, psychology, and attitudes, in order to help enterprises better develop and improve their green marketing programs. By the end, as the main green consumer group in China, post-90s consumers pay much attention to green consumption behavior and choose different consumption channels, consumption behaviors, and consumption purposes according to their ages, incomes, and occupations.
As the digital age continues to evolve, the way luxury fashion brands market themselves has changed. With the traditional way of selling may not be able to target the needs of consumers in the current era well, companies need to constantly transform and upgrade their marketing strategies. Nowdays, luxury brands are shifting lots of their marketing resources from tranditional to digital communciation chnnels. Given the consumption habits of today’s consumers, conventional marketing methods may not be able to meet the needs of consumers in this era as well as they should. Thus, companies needs to constanly change and upgrade their marketing stratrgies.The purpose of this research paper is to analyse the reasons behind Maison Margiela perfume products being out of the loop in the luxury industry for a period of time as well as its marketing strategy for the product creating a lesson to be learnt from other products lines of the brand. The case study analyses the product concept, product strategy, marketing strategy and online and offline placement of the Maison Margiela No.3 perfume product line, analyses the marketing approach of the No.3 product line that went out of the circle, and side by side explores the brand's insufficient operation of other product lines.
This article aims to introduce the situation of LVMH Group and its industry-leading position in the global luxury goods market supply chain. Since its establishment, LVMH Group has expanded its business map through continuous acquisitions and expansion, leveraging its strong capabilities and strategic vision. The focus is on analyzing two acquisition cases carried out by LVMH: the Tiffany & Co. acquisition case and the Dior acquisition case. For these two cases, the background, motives, process, and key steps are introduced, and the effects and impacts of the acquisitions are discussed in depth. At the same time, a detailed analysis of LVMH's acquisition strategy is conducted, including acquisition targets, selection criteria, post-acquisition integration and management, etc. Finally, the research findings are summarized, and future development directions are proposed. Since the gradual control of the pandemic, the luxury goods market has witnessed a recovery in consumption and significant growth in sales. This article has certain reference values for understanding trends in the luxury goods industry, corporate strategies, and market competition.
Works of art and cultural relics are an important part of the Chinese cultural heritage, and every piece of art and cultural relic contains a rich historical story behind it. Moreover, works of art and cultural relics also represent the image of the country and indicate the long history of Chinese civilization; At the same time, art and artifacts are valuable resources and achievements for historical research and education. However, with the rise of the art market and the excavation of cultural relics, more and more works of art and cultural relics are subject to the risk of damage. Hence, the protection of works of art and cultural relics is urgent. The article analyzes and describes the current situation and ways of artwork and cultural relics protection through the risk factors of artwork and cultural relics, relevant laws, and the protection aspects of artwork and cultural relics. This study will use case analysis and comparative analysis research methods to explore the protection methods and protection degrees of different aspects of cultural relics and artwork protection, such as physical, digital, and legal. It also reflects the importance of cultural relics and works of art in the country and the role of cultural heritage through the importance of protecting cultural relics and artworks.
Over the past decade, China has seen a decline in birth rate as well as an aging population. In May,2021, Chinese government has announced three-child policy to further restore the demographic structure following the failure of two-child policy. Using the latest data collected from China National Bureau of Statistics, Statista, World bank and Global data, this paper examines the effect of the three-child policy on the raising fertility rate and on female labor market. According to the quantitative analysis, it is found that the three-child policy has been almost ineffective on increasing birth rate to date, and it did not improve the intention for the young couples to have more children. Based on the data, the policy indeed reduced female employment and worsened gender discrimination in workplace, which widened the gender wage gap. Therefore, these studies also provide some theoretical and practical measures to safeguard female employment rights and ensure sustainable development. Approaches in this paper are presented for better understand the policy consequences and promoting them.
The primary goal of this essay is to examine the effects of social media's ongoing development on the market against the backdrop of the explosive growth of MLM-based information. It focuses on comparing the success of the early traditional e-commerce online shopping media "Amazon" and "Taobao" and the success of the modern e-commerce online shopping media "TikTok." By analyzing the operation mode of "Taobao" and "TikTok" and comparing the changes of user data and transaction amount. It can be concluded that users will constantly put forward new needs with the continuous update of technology, and social media will constantly solve the needs of customers to update. This update will continue to maintain and enhance the convenience offered by social media online shopping, and continue to attract new users. From the perspective of marketing, social media constantly solves the needs of consumers and provides interactivity, which makes people more willing to purchase and evaluate products and feedback merchants through social media. For merchants, studying such topics can quickly find and use social media more in line with consumer needs to "interact" and increase their sales channels and quantity.
The research analyzes how networks affect an individual’s social behavior of drinking by researching perspectives of both micro and macro, especially in the aspects of how different personalities and connections between individuals and their social network, and the development and structure of their social network. This document discusses and shares how a variety of information and behaviors are transmitted through social networks, and describes different contagion methods and social network structures, leading to different spread and diffusion efficiency results. The study adopts questionnaire surveys and longitudinal measures to explore different people's personalities and social networks through different question settings to discover the impact and relationships among them. Through analyzing a large number of samples and analyzing the different impacts brought by nodes with different personalities, three effective influences on personality and certain social network properties can be derived for having impacts on social behaviors.
Compared to the former essays, this essay proposes a new perspective on the existing theory of the pain of paying, which refers to the unpleasant emotional experience generated during the payment process that may affect consumer purchasing behavior since the economic and cultural trends have changed in recent years. The paper uses a comparative case study method with NIO, an innovative electric vehicle company in China, as the main case and traditional fuel vehicle companies (BMW Brilliance) as the auxiliary case, accompanied by field investigations, interviews, and secondary data analysis. Analyzing the existing literature review, market marketing problems of traditional fuel vehicle brands, market marketing innovation of NIO, and comparison between the two, the study aims to provide future trends and enlightenment at the end of the article, which is that extending service duration, improving service quality, and building a sense of community belonging do help NIO’s customers reduce the pain of paying and can be the new future perspectives.
Credit risk has become one of the main risks faced by banks under the background of increasing loan demand. Meanwhile, bank credit risk may be affected by a number of factors, including the expansion rate of Gross Domestic Product (GDP), changes in interest rate, unemployment rate and even more. These macroeconomic factors are crucial in determining how credit risk for banks is shaped. This paper concludes the different impacts of different macroeconomic factors discussed in several papers on the risks of bank credit, and illustrates how changes in GDP growth rate and rate of interest affect credit risks. Through comprehensive literature review and empirical research, this paper finds that macro factors, including the expansion rate of GDP and the rate of interest, have considerable impacts on banks' credit risk. Bank credit risk will decrease as GDP growth rate increases; however the risk of bank credit will increase as interest rates rise. At the end, the paper provides several suggestions for the development of risk management strategies, including the monitoring of macroeconomic factors and the adjustment of credit policies under different economic situations. The research results are intended to help researchers in related fields understand current research findings and patterns of development in the research field, to give a theoretical foundation and backing for their investigations, and to offer important guiding significance for banks and relevant regulators to formulate risk management strategies.
With an upsurge of interest rate marketisation and internet finance, the role of commercial bank revenue in China's non-interest sector is turning more significant in terms of the bank's operating performance. From 2017 through 2021, the study explores the relationship between non-interest revenue and operating performance in business banks. Simultaneously, the article explores the various degrees of influence of three forms of non-interest revenue on operating performance and compares non-interest income variances on operating performance amongst banks with different equity natures. The empirical data show that non-interest income from commercial banks beneficially effects on their profitability; the proportion of fees and commissions contributes more to the profitability; and the impact on operating performance is more pronounced for state-controlled and joint-stock banks than for urban and agribusiness banks. As a consequence, commercial banks should pursue other businesses aggressively in order to diversify non-interest income sources and play a role in bank operations.
The study delves deeply into the changing landscape of luxury markets, highlighting its importance in an era of rapid changes in consumer preferences. Spotlighting transformative collaborations and the rise of luxury “Masstige”, powerful forces emerge that challenge the long-standing paradigm of exclusivity, leading to a more inclusive luxury sector. Furthermore, digital platforms no longer simply serve as transactional conduits, but have transformed into complex eco-systems vital to brand narratives, particularly among young people. Through the analysis, a growing significance of sustainability and Corporate Social Responsibility (CSR) is uncovered, both showing discernible economic benefits such as increased brand loyalty. A clear duality in perceptions of luxury emerges between Eastern and Western markets, molded by globalization interwoven with regional cultural nuances. For luxury brands in an era of rapid development, it is imperative that they embrace sustainability wholeheartedly, adapt flexible digital strategies, and be acutely aware of the cultural intricacies of the brand's positioning. Overall, the luxury industry’s future is unambiguously green, digitally astute and culturally attuned.
This article is mainly about finding the most efficient portfolio for some chosen stocks in the S&P 500. It is an application of portfolio management. The article introduced data collection and processing for 10 important S&P 500 companies’ stock data. These companies are chosen as representatives of different industries. The data processing will give sufficient material for the following calculation, such as the covariance matrix for those stocks, average return, monthly return, etc. Markowitz’s model is a model for portfolio optimization. Using this model to first minimize the standard deviation, in other words, the risk, and then, the most efficient portfolio weighting for those companies can be chosen. Solver in Excel is also used based on previous data to test the accuracy of the result calculated based on the model. Then, the article introduces possible errors during the calculation and corresponding reflection and improvement.
The electric vehicle (EV) industry is undergoing a significant transformation, driven by environmental concerns, advancements in battery technology, and changing consumer preferences. Companies like Tesla and China's NIO are at the forefront of this revolution, showcasing the global potential of EVs. This study undertook a sensitivity analysis of these two leading EV manufacturers, Tesla and NIO, to understand the dynamics of their stock prices and implications for investment strategies. Data was meticulously collected from various financial databases to capture daily stock prices, which were then used to compute monthly returns. The study also delved into options, focusing on the strike prices and volatility of Tesla and NIO options. Using a combination of stock prices, strike prices, and volatility, the intrinsic and time value of these options were analyzed. The research employed a composite option model to describe the price variation of an option, considering factors like asset price volatility, risk-free rate, and dividend yield. The findings revealed that stock prices and option prices exhibited certain sensitivities to market variables. For instance, Tesla's option prices showed an upward trend with rising stock prices, while NIO's option prices displayed varied responses to stock price changes. The study underscores the importance of understanding these sensitivities for informed investment decisions in the evolving EV market.
In order to have a better quality of life, people need to achieve a higher level of income. As work is one of the most important ways to earn income, people seek more and better employment opportunities in the labour market in order to earn a higher income. Social networks, with their homogeneous aggregation and weak ties, not only help employers to a certain extent to quickly find potential labour that is suitable for the job, but also play an important role in helping people to obtain better employment opportunities. This article will explore both parts. The paper will first analyse the characteristics of homogeneity and weak ties, and then, through case-specific interview statistics, explain how social networks promote employment and improve employment opportunities. This study shows that homophily benefits employment via shared similarity among employees, emphasizing strong social connections. Weak ties aid employment by giving job seekers with weaker relationships better opportunities, underlining the role of weaker connections in jobs.
ESG disclosure is essential for enhancing corporate transparency given the increasing global growth of ESG systems. China’s coal industry generates economic advantages but also causes external diseconomies and is required to fulfill certain social obligations. So that the general public may comprehend how corporate social responsibility is being fulfilled, it is imperative that businesses in the coal sector take the effort to provide social responsibility information. In order to determine if the information in coal companies’ ESG reports complies with requirements and to examine the effects of the reports’ release on businesses, this article uses China Shenhua Energy Co., Ltd. as its research subject. This paper primarily looks at Shenhua’s ESG report by comparing it to the GRI standard, and discovers that Shenhua’s ESG information disclosure still has some deficiencies. However, from the event study method, we learn that the publication of Shenhua’s ESG report has had some positive effects on the company.
With the deepening of the academic research on behavioral finance, the theoretical system of noise trading is becoming more and more perfect. At present, however, is the so-called market noise trading on the relationship between the enterprise and the signal transmission utility and influence the research direction, there is no literature research and make a empirical report and a clear conclusion. On the basis of the existing noise measurement method, this article through to the selection of the Shanghai 50 index to determine the sample object, by industry, size, debt and growth ability determine the matching control samples, estimate the sampled stocks noise trading high frequency time series in the year of 2019; On this basis, using stepwise regression method and Spearman correlation coefficient method, the signal transmission noise deal for investors and enterprises the relationship between the utility and the empirical research. Research and analysis found that the current noise trading to enterprise's profit distribution and "merger and acquisition/significant contracts" two kind of announcement utility has obvious enhancement amplification; The noise trading on the first trading day after the release of the enterprise announcement signal will affect the utility multiple of the enterprise announcement. The conclusion of this paper is that investors' irrational noise trading will overreact to the announcement signals of listed companies, and bring unexpected effects to the market performance of listed companies. Enterprises should be especially cautious about the content and time of announcements on the premise of compliance.
The management of interest rates by central banks is a critical aspect of economic policy, and the Federal Reserve (the Fed) holds a central role in guiding the monetary course of the United States. Over the years, the Fed has utilized interest rate adjustments to achieve diverse objectives, from controlling inflation to promoting economic growth. However, the ongoing debate surrounding the Fed's persistent interest rate hikes centers on the potential risks that may arise in relation to the US government debt. This essay delves into the implications of these interest rate hikes on the risk associated with the US government's debt. By examining the impact of increased interest rates on the cost of borrowing, market dynamics, and the challenges of debt refinancing, we can gain insights into the potential ramifications on the fiscal health of the nation. In addition, we will explore counterarguments and potential mitigating measures put forth by policymakers to balance the objectives of economic stability and debt sustainability.
The global outbreak of the COVID-19 pandemic has led to significant disruptions in financial markets, including the virtual currency market. This study examines the impact of the pandemic on Bitcoin prices across ultra-short, short, and short-medium time scales. Using ARIMA modeling, this paper analyze the dynamic behavior of Bitcoin prices in response to the effects of the pandemic. This findings illustrate distinct patterns of behavior in different time frames. First of all, from the ultra-short term perspective, after the local outbreak of the epidemic in China, compared with the control group constructed by the model, the price of Bitcoin has a relatively obvious upward trend during this period. In the short term, the outbreak of the global epidemic has led to a setback in investor confidence in all kinds of financial assets, and Bitcoin is no exception, and it is also facing a sharp decline. In the short to medium term, Bitcoin has acted as a safe haven asset in the context of the global pandemic of Covid-19. Understanding these intricate dynamics provides valuable insights into Bitcoin's multifaceted role during times of global uncertainty.
In recent years, the perfume industry has developed rapidly in the domestic market. For different brands, they will have their own unique marketing methods and strategies. This made this study curious because the perfume market in China is also gradually emerging, and many of China’s own perfume brands are beginning to emerge. I think the analysis of successful marketing cases of old luxury brands can help our brand and provide some marketing ideas and experience. This study can also take this marketing strategy as the basis to compare Guerlain and Dior’s marketing methods to find the possibility of mutual improvement and progress so as to make perfume marketing go further. At the same time, because perfume is a very subjective product due to the differences in culture and customs, this study can also properly analyze the differences between hot perfumes at home and abroad and whether the consumer groups who buy perfume are the same, so as to find a more suitable marketing method for the domestic market.