• Journal of Digital Convergence
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• v.11 no.1
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• pp.13-25
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• 2013

After studying FSMA 24, We found that the insolvency rule of financial institutions in FSMA consists of eight provisions: 1) voluntary arrangement, 2) administration order, 3) receiverships, 4) voluntary winding up, 5) winding up by the court, 6) bankruptcy, 7) provisions against debt avoidance, and 8) supplemental provisions in insurance cases. Insolvency provisions in FSMA explain powers and accountabilities of FSA in relation to these insolvency proceedings. Although there are some differences in proceedings, provisions entitle FSA the same status as creditors to petition the court, with a right to participate in related meetings and to be notified of any matters involving insolvency proceedings. The differences and implications between U.K.'s FSMA and Korean regulations are related to the insolvency rule of financial institutions. First, in FSMA, FSA has a comprehensive power to manage insolvency proceedings of financial institutions in a centralized way. However, Korean regulations have special laws to regulate insolvency in a decentralized way. The offices executing those laws are the Financial Services Committee, the Financial Supervisory Service, and the Financial Deposit Insurance Corporation. This characteristic results from an accelerated legislation procedures related to financial reform in 1997 Korean financial crisis. Second, FSA contains special provisions on continuation of contracts of long-term insurance considering the characteristics of insurance industry related to insolvency of financial institution. However, Korean insolvency rules applied to financial institutions do not consider industrial differences and the characteristics of financial contracts, so need to be supplemented in the future.

• Journal of Information Technology Services
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• v.16 no.2
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• pp.33-44
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• 2017

The financial industry recently introduces several issues for utilizing the blockchain technology as the core infrastructure of future finance. Blockchain, first introduced as the underlying technology of Crypto-currencies, Bitcoin is a technology that can ensure the integrity and reliability of data by verifying, recording, and storing data jointly in the network without a central administration organization or a manager. This blockchain has its potential power as a technology for issuing digital currencies, providing transparency, and securing record management, that is expected to be useful in the financial sector. At the same time, considering the characteristics of financial transactions which emphasize privacy, questions are raised about whether a blockchain structure in which information is distributed and shared among participants can be successful. How will we support to implement the potential of the blockchain in order to change the paradigm of the financial industry? How can we manage the side effects of blockchain effectively? Such a policy discussion is necessary. This study introduces the meaning of the blockchain technology, various utilization attempts, and possible problems facing technology from the viewpoint of financial industry, and suggests a policy direction for utilizing this technology as a catalyst to the progress of the financial industry or as a new technology power.

• Journal of Family Resource Management and Policy Review
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• v.4 no.1
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• pp.95-111
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• 2000

The family financial management is the important element which has a effect on the improvement of family economic well-being. Thus the study sets up human & material resources and requirement as an input factor, family financial management as an throughput factor, and economic well-being as an output factor, and then identifies if there are some relationships among them by using a systematic approach of family financial management. The questionaires were distributed to 600 employed wives by carrying out cluster sampling and disproportional stratified sampling. The 573 cases of them were used as the mean, ratio, Pearson’s Correration, ANOVA, factors analysis, and Stepwise Regression using the SAS/PC+. The major findings of the study are as follows: 1) A practical application of information as on input variable, appears the fator which has an important effect upon the throughput factor, that is, family financial management. The employed wives should manage a lot of resources in rapidly changing social-economic circustances. So it shows that not only they should take informations open to their daily life and then make practical use of them in managing their family finance, but also they must be capable of judging and accepting reasonable informations in order to gain and manage resources suitable to the characteristics of family finance and family members’need. 2) There was significant relationship between the employed wives’family financial management and family economic well-being, focused on the systematic theory of family financial management. This study provides for the information to develope the program for the employed wives’family financial planning and counseling.

• Korean Journal of Construction Engineering and Management
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• v.12 no.2
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• pp.121-132
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• 2011

One of the advantages of BOT PF(Project Finance) is the government can be protected from risks involved in projects as the private finances, builds, and operates relevant projects. Moreover, the private may avoid outstanding responsibility in case of default thanks to BOT PF's unique financial structure and characteristics. However, despite increasing attention on risk mitigation effect of financial structure and characteristic of BOT PF to default risk with emerging controversies of capital crunch, introduction of IFRS, and contingent liabilities, valuation of default risk mitigation effect caused by financial structure and characteristics of BOT PF still seems sophisticated due to uncertain cash flows, complexly layered contracts, and their interaction. So, this paper is to show the theoretical frame to assess the default risk mitigation effect of financial structure and characteristic of BOT PF with option pricing and related financial economic theories and to provide some meaningful implications. Finally, this research shows that the financial structure and characteristics of BOT PF help mitigate the default risk and default risk mitigation effect increases as change of relevant variables on financial feasibility gets the BOT project less financially feasible.

• Information Systems Review
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• v.25 no.1
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• pp.111-128
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• 2023

With the development of artificial intelligence technology, interest in data-based product preference estimation and personalized recommender systems is increasing. However, if the recommendation is not suitable, there is a risk that it may reduce the purchase intention of the customer and even extend to a huge financial loss due to the characteristics of the financial product. Therefore, developing a recommender system that comprehensively reflects customer characteristics and product preferences is very important for business performance creation and response to compliance issues. In the case of financial products, product preference is clearly divided according to individual investment propensity and risk aversion, so it is necessary to provide customized recommendation service by utilizing accumulated customer data. In addition to using these customer behavioral characteristics and transaction history data, we intend to solve the cold-start problem of the recommender system, including customer demographic information, asset information, and stock holding information. Therefore, this study found that the model proposed deep learning-based collaborative filtering by deriving customer latent preferences through characteristic information such as customer investment propensity, transaction history, and financial product information based on customer transaction log records was the best. Based on the customer's financial investment mechanism, this study is meaningful in developing a service that recommends a high-priority group by establishing a recommendation model that derives expected preferences for untraded financial products through financial product transaction data.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.13 no.5
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• pp.63-72
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• 2018

The purpose of this study was to analyze the survival rate and survival characteristics of young start-up entrepreneurs supported with public financing, by using non-parametric statistic of Kaplanr-Meier Analysis on non-financial data. Average survival periods of different survival characteristics have been estimated by dividing the age groups into 20s and 30s. After then, the main variables affecting the survival period have been analyzed. 3,825 firms guaranteed by Credit Guarantee Institutions in Korea were used as database for the analysis. 3,242 firms have survived while 583 firms have gone insolvent. The study period was from January 1, 2011 to December 31, 2017. Age-based breakdown of the business founders show that 3 variables in the 20s and 5 variables in the 30s are derived as the significant variables, resulting in the significant differences of each age group. In other words, the start-up support agencies and financial institutions need to develop a credit evaluation system that distinguishes the criteria of age range and find information that reflect the characteristics of entrepreneurs in their 20s as well as developing tailor-made financial products. Also, step-by-step support measures are required for the start-ups of high survival times and make them grow into promising SMEs. Meanwhile, non-financial support plans shall be invigorated along with the financial ones to help the start-ups of low survival times. This study is meaningful in that the survival analysis has been conducted by using the non-financial data of young start-up entrepreneurs. It is expected that the results of this analysis contribute to the enhancement of survival rate of start-ups by providing start-up support agencies and start-up business owners with the unique information of the survival characteristics.

• Journal of Families and Better Life
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• v.15 no.1
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• pp.53-70
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• 1997

The purpose of this study was to (1) assess the perceived needs of the married women for financial management education and (2) to identify individual and family variables that influence needs on each content of financial management education. Data were collected from questionaires with 603 married women who were residents of jeonju. The major findings were as follows; (1) The level of financial management education needs were high. (2) The priority order on each content perceived by the married women was 'saving' 'insurance' 'housing' 'tax' 'expenditure planning' and 'debt management & credit' (3) The needs on contents area of the married women group classified by characteristics were significant according to age education level job family life cycle monthly family income asset and financial need variables.

• Journal of Distribution Science
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• v.13 no.2
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• pp.15-24
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• 2015

Purpose - Foreign exchange risk control is in an important component in the international supply chain management. This study shows the importance of the reference period in forecasting future exchange rates with a specific illustration of KIKO currency option contracts, and suggests feasible preventive measures. Research design, data, and methodology - Using monthly Won-Dollar exchange rate data for January 1995~July 2007, I evaluate the statistical characteristics of the exchange rate for two sub-periods; 1) a shorter period after the East Asian financial crisis and 2) a longer period including the financial crisis. The key instrument of analysis is the basic normal distribution theory. Results - The difference in the reference period could lead to an unexpected development in contract implementation and a consequent financial loss. We may avoid foreign exchange loss by using derivatives such as forwards or currency options. Conclusions - We should consider not only level values but also the volatilities of financial variables in making a binding financial contract. Appropriate measures may differ depending on the specific supply chain pattern. We may extend the study with surveys on actual risk measures.

• Asia Marketing Journal
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• v.25 no.2
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• pp.71-83
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• 2023

Companies are increasingly performing corporate social responsibility (CSR) as part of their strategic plans, but the effect of CSR activities on short-term financial performance is disputed. Researchers have found ambiguous relationships through mediating factors, but few studies have investigated internal stakeholders in this context and the firm characteristics that moderate these relationships. This study uses a competitive mediating model that examines job satisfaction as a mediator in the relationship between CSR and short-term financial performance for Korean companies. For the analysis, data from 195 companies covering 2014 to 2017 were collected and analyzed via panel regression. The findings indicate that CSR activities had a negative effect on short-term financial performance but a positive effect on job satisfaction; however, the larger the firm, the smaller the positive effect of CSR activities. Moreover, job satisfaction positively affects short-term financial performance, and this relationship is stronger in service firms.

• Journal of Distribution Science
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• v.17 no.6
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• pp.33-42
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• 2019

Purpose - We investigate whether a firm's engagement in socially responsible activity affects the quality of financial reporting within the retail industry of Korean market. Recent studies argue that more socially responsible firms tend to show a better quality of financial reporting. Research design, data, and methodology - We use a variety of proxy variables related to the use of discretionary accruals and real activity manipulation to measure the quality of financial reporting. The total of environmental, social and governance score is used to represent the degree of socially responsible activity in the retail industry. We use regression models to examine whether more socially responsible firms show a higher quality of financial reporting. The sample of publicly traded Korea retail firms is analyzed from 2011 to 2016. Results - Our analysis finds supporting evidence for limited earning management via the use of discretionary accruals. We find, however, no significant relationship between the degree of social responsibility and the quality of financial reporting within chaebol affiliates unlike non-chaebol affiliates. Conclusions - Our results weakly support a better quality of financial reporting for more socially responsible firms. The results highlight the importance of firm characteristics in deciding the effect of socially responsible activity on corporate policies.