This study examines how venture capitals (VCs) value crowd-based decisions compared to expert decisions from the perspective of signaling theory. We collect data on both crowd-funded startups and matching angel-funded startups. We track sequential financing rounds and analyze whether VCs show different valuations of the two types of startups. Our results show no statistically significant differ...

The Canadian economy has been a net recipient of foreign direct investment (FDI). The free-trade agreements (FTA and NAFTA) have had to attract more inward FDI. This study examines the determinants of foreign direct investment (FDI) between Canada and EU15, Brazil and Japan in the period 1995-2007. The purpose of this paper is to analyze the impact of variables, such as, market size, labour cos...

This study is the first step of an initiative Invest Sofia for Mapping Industry in Sofia. As agency whose main function to attract investments city, we need information about where city what industry developing, are prerequisites development ecosystem, how many employed sector, revenues realized a certain area. These data that could provide potential investors and assist them choosing most suit...

In this paper we address the issue of how to establish the fair value of an insurance-linked liability. This is done by considering the introduction into a simple, one-period market model of a new and quite general security (which, amongst other things, could be such a liability). We investigate the impact of this new security on the market and attempt to predict the price (the fair value) at w...

This study uses the segmented dual-class shares of Chinese firms---A shares traded inside mainland China by local investors and H shares traded in Hong Kong by foreign investors---to analyze how local and foreign investors react to public news about the same firms. We find significant heterogeneity in their reactions. First, foreign investors react more strongly to earnings announcements. Secon...

This paper addresses how asymmetric information, fads and Lévy jumps in the price of an asset affect the optimal portfolio strategies and maximum expected utilities of two distinct classes of rational investors in a financial market. We obtain the investors’ optimal portfolios and maximum expected logarithmic utilities and show that the optimal portfolio of each investor is more or less than it...

What actions can governments in developing countries take to make their economies more appealing to foreign investors? One increasingly prominent answer focuses on the effect of signing onto international economic agreements, showing that countries’ participation in investment and trade treaties is associated with greater inflow of FDI. Yet the nature of this empirical relationship remains uncl...

N ATIONAL policies towards FDI typically feature measures aimed at both attracting and discouraging inflows. Policies to attract FDI such as tax breaks, favourable regulatory treatment and subsidies of various sorts are usually focused on manufacturing. 1 Policies towards services are far more ambivalent. Laws and regulatory practices frequently discriminate against foreign investors in service...

The business plan is one of the essential tools for companies to attract investors and raise venture capital. Getting a business plan "investor ready" in that context means that it has to be professionally prepared such that it answers all questions of potential investors. This, however, requires in-depth knowledge of a typical investor's expectations and viewpoints, a type of knowledge which i...