Investments in Contemporary Russian Artwork as an Alternative Form of Investment
In the last decades of the 20th century, various classes of alternative investments have become increasingly popular among investors. During this time, art as a form of alternative investment attracted attention not only from potential buyers but also from academic scholars. Unfortunately, only a few of the newly published papers contained any quantitative analysis with regard to art’s investment performance. Besides, even a smaller amount of research was devoted to the analysis of Russian art markets. Therefore, the purpose of this work is to evaluate the efficiency of investments in the artworks of contemporary Russian painters and to compare the effectiveness of these investments with the effectiveness of investments in stock, bond and real estate markets in Russia and the USA. For this research, we first conduct a hedonic regression analysis on the data available for 1950-2019 time period. After that, we build a hedonic price index for the canvases of contemporary Russian artists. According to the results, the trend of this index reiterates largely the price behavior for world contemporary art market. However, the results of this study indicate that investments in contemporary Russian art do not outperform investments in instruments of Russian and American capital and real estate markets. These results were derived by applying the CAPM model which demonstrated that Russian art as a form of alternative investment is not advisable for the purposes of diversification of investment portfolios. Based on these findings, contemporary Russian art in general can be considered an unattractive instrument for Russian and foreign investors.
Internal rate of return IRR is one of the key criteria for justifying and choosing capital investments with conventional cash flows. However, this criterion is not practically used when the rate of return of investment instruments (short sales, options, futures, swaps) is calculated because these instruments create non-conventional cash flows. The author previously showed that IRR problems were observed when the present value of cash flows changed sign from period to period. This paper offers a criterion to evaluate the rate of return of investment instruments with non-conventional cash flows, i.e. General Rate of Return (GRR).
This article examines the position of Russian state courts, in particular, of the Supreme Commercial Court, w i t h regard to the arbitrability of disputes concerning the transfer of title i n real estate and of corporate disputes under Russian law. These specific issues are dealt w i t h i n the light of the general approach of Russian courts to arbitration. Firstly, some necessary explanations are given in relation to Russian regulation, practice and attitude towards arbitration. Then, the approach of the Russian state commercial courts w i t h regard to the arbitrability of real estate and corporate disputes is described and compared w i t h their general attitude to arbitration manifested in Russian case law. Finally, the author's viewpoint on the possible concerns underlying the apparently incongruent stance of the commercial courts to the arbitrability of real estate and corporate disputes is discussed.
The monograph contains the results of a study of the theoretical and methodological issues of managing the liquidity of a firm. The essence of this category is determined, the types of liquidity and their financial consequences for the company are identified; various groups of methods for measuring liquidity of a company are summarized and systematized, allowing to give a comprehensive assessment of this financial characteristic, factors shaping it, ways to maintain liquidity and potential threats to reduce it. The fundamentals of liquidity management in the organization’s financial management system are investigated, providing for the need to implement the principles of interconnection and balance of strategic and short-term financial goals, risk and profitability of a company based on a two-tier liquidity management system. A system of methods, models and tools for managing liquidity is presented within the framework of the formation of the company's working capital management policy and the management of its components - stocks, receivables and payables, and cash, which determine the level of liquidity of the company. The features and priorities of managing the liquidity of transport companies are highlighted, which are based on an analysis of the specifics of their activities, capital formation, structure of current assets and sources of its financing.
The book is devoted to non-residential buildings (premises) as objects of capital construction (real estate) and some types of urban development related to them. The purpose of the monograph is to analyze frequently encountered questions in practice at the intersection of private and public norms, sometimes without simple answers and solutions. All issues discussed in this monograph are at the intersection of several branches of law: civil law, urban planning law, land law, tax law . In relation to the subject of the study, the issues of cadastral registration and registration of property rights on real estate in the Unified State Register of Real Estate are examined. Some issues affect accounting.
The article is devoted to the analysis of results of application profitable and cost-based approaches to estimation of cost of the real estate objects which frequently appears much below their real market prices. Opportunities of the comparative approach use to an estimation of the real estate objects are considered, allowing to receive parameters of a real supply and demand in the market, and also in its frameworks of a mark method as alternatives of existing ways of an estimation.
The article raises the question of innovations in the field of real estate development in Russian Federation and ways of its potential development are considered.
Financial markets have always been attractive as a means of increasing one's wealth, and those who make accurate predictions take the prize. Forecasting models such as linear ones are simple to compute, however, they give rough approximations of the underlying relationships in the data, thus, producing poor forecasts. The solution to this issue could be the nonlinear models which try to fit the data and display the relationships with higher accuracy. Previous research seems to prove this statement from the statistician's point of view which might be of little use for an investor. Therefore, the focus of this paper is on the comparison of three types of models (nonlinear: ANN, STAR, and linear: AR) in terms of financial performance. Our research is based on the initial code for GAUSS and papers by Dick van Dijk. The data used is the monthly S&P 500 Index values from 1970 to 2012 provided by the Robert Shiller's website. Forecasting index changes begins at 1995 and ends in 2012 providing up-to-date results for 14 model specifications. The best model proves to be the flexible ANN, beating the linear AR in the majority of cases, leaving the underperforming heavy-parameterized STAR model behind. Thus, it is evident that the more flexible nonlinear models outperform the heavily parameterized ones as well as linear models for the S&P 500 Index. The introduced type of performance evaluation has a more comprehensible application to the financial market analysis.
The paper analyzes how the agricultural sector applies outsourcing in its practice. What differs the outsourcing from other forms of cooperation of enterprises is identified. We show that an agro-enterprise could function as an outsourcee. Some ways of how outsourcing can be used in the agricultural production to make its profitability higher are proposed here.
The paper examines the structure, governance, and balance sheets of state-controlled banks in Russia, which accounted for over 55 percent of the total assets in the country's banking system in early 2012. The author offers a credible estimate of the size of the country's state banking sector by including banks that are indirectly owned by public organizations. Contrary to some predictions based on the theoretical literature on economic transition, he explains the relatively high profitability and efficiency of Russian state-controlled banks by pointing to their competitive position in such functions as acquisition and disposal of assets on behalf of the government. Also suggested in the paper is a different way of looking at market concentration in Russia (by consolidating the market shares of core state-controlled banks), which produces a picture of a more concentrated market than officially reported. Lastly, one of the author's interesting conclusions is that China provides a better benchmark than the formerly centrally planned economies of Central and Eastern Europe by which to assess the viability of state ownership of banks in Russia and to evaluate the country's banking sector.
The paper examines the principles for the supervision of financial conglomerates proposed by BCBS in the consultative document published in December 2011. Moreover, the article proposes a number of suggestions worked out by the authors within the HSE research team.