Global Advanced Research Journal of Management and Business Studies (ISSN: 2315-5086) January 2018 Vol. 7(1), pp 001-011

Copyright © 2018 Global Advanced Research Journals   

 

Original Research Articles

The Risk Level of Viet Nam Banking Industry Under Financial Leverage During and After The Global Crisis 2009-2011

Dinh Tran Ngoc Huy

Banking University HCMC Viet Nam – GSIM, International University of Japan, Japan

Email: dtnhuy2010@gmail.com

Accepted 26 January 2018

Abstract 

This paperwork evaluates the impacts of external financing on market risk for the listed firms in the Viet nam banking industry, esp. during and after the financial crisis 2009-2011. First of all, by using quantitative and analytical methods to estimate asset and equity beta of total 9 listed companies in Viet Nam banking industry with a proper traditional model, we found out that the beta values, in general, for many institutions are acceptable.Second, under 3 different scenarios of changing leverage (in 2011 financial reports, 30% up and 20% down), we recognized that the risk level, measured by equity and asset beta mean, decreases when leverage increases to 30% and increases more if leverage decreases down to 20%. Third, by changing leverage in 3 scenarios, we recognized the dispersion of risk level, measured by equity beta var, increases from 0,108 to 0,181 if the leverage increases to 30% whereas decreases to 0,073 if leverage decreases to 20%. But the dispersion measured by asset beta var decreases to 0,007 (leverage up 30%), showing leverage impact. Finally, this paper provides some outcomes that could provide companies and government more evidence in establishing their policies in governance.

keyword: Equity beta, Financial structure, Financial crisis, Risk, External financing, Banking industry







 











 








Related Articles


Original Research Articles
Abdulrahman Ali Mohammed Zabad, Sultan Ayesh Mohammed Saghir, Anwar Kassem Al-Madhagi, Khaled Abdulkarim Al-Moyed
Acinetobacter baumannii complex and its antibiotics susceptibility in selected hospital's intensive care units at Sana’a city-Yemen
Glo. Adv. Res. J. Manage. Bus. Stud. May 2018 Vol: 7(3): - [Abstract] [Full Text - PDF] (185 KB)
Ahmed K. Dyab, Mohammed El-salahy, M, Hanan, M. Abdelmoneiem, mohammed , M, Amin and Mohammed F. Mohammed
Parasitological Studies on Some Intestinal Parasites in primary school Children in Aswan Governorate Egypt
Glo. Adv. Res. J. Manage. Bus. Stud. September 2016 Vol: 5(7): - [Abstract] [Full Text - PDF] (130 KB)
Systematic Review
Por Nelino Florida Rofner
Global warming caused by man “reality or global political strategy”
Glo. Adv. Res. J. Manage. Bus. Stud. March 2019 Vol: 8(3): - [Abstract] [Full Text - PDF] (709 KB)
Original Research Articles
Fernando Mejia Sanchez, Marisol Rodríguez Albarrán, J. Amado López Arriaga and Julieta Castillo Cadena
Heterogeneity of GST enzymatic activity before and after treatment in patients with breast cancer: pilot study
Glo. Adv. Res. J. Manage. Bus. Stud. July 2017 Vol: 6(7): - [Abstract] [Full Text - PDF] (311 KB)
Jahdi Freshteh, Khademi Khadijeh, Merghati Khoei Effat, Haghani Hamid and Yazdanpanahi Zahra
Marital Factors and Husbands' Demographic Feature Associated with Human Papillomavirus Infection in the Iranian Women
Glo. Adv. Res. J. Manage. Bus. Stud. August 2015 Vol: 4(8): - [Abstract] [Full Text - PDF] (95 KB)
Systematic Review
Ms. Elham Qawariri
Corporate Governance Practices in Banking and Insurance: A Comparative Study of Companies Listed on Tadawul Stock Exchange.
Glo. Adv. Res. J. Manage. Bus. Stud. January 2019 Vol: 1(1): - [Abstract] [Full Text - PDF] (183 KB)

Current Issue

Viewing Options

View Full Article - PDF
Download Full Article - PDF

Search for Articles

Dinh Tran Ngoc Huy on Google Scholar
Dinh Tran Ngoc Huy on Pubmed

Statistics

Viewed 682
Printed 135
Downloaded 343
Powered By iPortal Works