• Journal of Intelligence and Information Systems
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• v.26 no.1
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• pp.135-149
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• 2020

Artificial intelligences are changing world. Financial market is also not an exception. Robo-Advisor is actively being developed, making up the weakness of traditional asset allocation methods and replacing the parts that are difficult for the traditional methods. It makes automated investment decisions with artificial intelligence algorithms and is used with various asset allocation models such as mean-variance model, Black-Litterman model and risk parity model. Risk parity model is a typical risk-based asset allocation model which is focused on the volatility of assets. It avoids investment risk structurally. So it has stability in the management of large size fund and it has been widely used in financial field. XGBoost model is a parallel tree-boosting method. It is an optimized gradient boosting model designed to be highly efficient and flexible. It not only makes billions of examples in limited memory environments but is also very fast to learn compared to traditional boosting methods. It is frequently used in various fields of data analysis and has a lot of advantages. So in this study, we propose a new asset allocation model that combines risk parity model and XGBoost machine learning model. This model uses XGBoost to predict the risk of assets and applies the predictive risk to the process of covariance estimation. There are estimated errors between the estimation period and the actual investment period because the optimized asset allocation model estimates the proportion of investments based on historical data. these estimated errors adversely affect the optimized portfolio performance. This study aims to improve the stability and portfolio performance of the model by predicting the volatility of the next investment period and reducing estimated errors of optimized asset allocation model. As a result, it narrows the gap between theory and practice and proposes a more advanced asset allocation model. In this study, we used the Korean stock market price data for a total of 17 years from 2003 to 2019 for the empirical test of the suggested model. The data sets are specifically composed of energy, finance, IT, industrial, material, telecommunication, utility, consumer, health care and staple sectors. We accumulated the value of prediction using moving-window method by 1,000 in-sample and 20 out-of-sample, so we produced a total of 154 rebalancing back-testing results. We analyzed portfolio performance in terms of cumulative rate of return and got a lot of sample data because of long period results. Comparing with traditional risk parity model, this experiment recorded improvements in both cumulative yield and reduction of estimated errors. The total cumulative return is 45.748%, about 5% higher than that of risk parity model and also the estimated errors are reduced in 9 out of 10 industry sectors. The reduction of estimated errors increases stability of the model and makes it easy to apply in practical investment. The results of the experiment showed improvement of portfolio performance by reducing the estimated errors of the optimized asset allocation model. Many financial models and asset allocation models are limited in practical investment because of the most fundamental question of whether the past characteristics of assets will continue into the future in the changing financial market. However, this study not only takes advantage of traditional asset allocation models, but also supplements the limitations of traditional methods and increases stability by predicting the risks of assets with the latest algorithm. There are various studies on parametric estimation methods to reduce the estimated errors in the portfolio optimization. We also suggested a new method to reduce estimated errors in optimized asset allocation model using machine learning. So this study is meaningful in that it proposes an advanced artificial intelligence asset allocation model for the fast-developing financial markets.

• Journal of Internet Computing and Services
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• v.16 no.4
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• pp.131-139
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• 2015

With the request for the advent of new engine toward economic growth, the issue regarding public-owned data disclosure has been increasing. The Korean governments are forced to open public-owned data and to utilize them in solving the various social problems and in promoting the welfare for the people. In contrast, due to the distrust of the effectiveness for the policy, many public owned organizations hesitate to open the public-owned data. However, in spite of communication gap between the government and public organizations, Ministry of Government Administration and National Information Society Agency recently planned to accelerate the information disclosure. The study aims to analyze the perception of the public organization for public data utilization and to provide proper recommendations. This research identified mutual weights that the organization recognize in opening and sharing the public data, based on benefit, opportunity, cost, and risk. ANP decision making tool and BOCR model were applied to the analyses. The results show that there are significant differences in perceiving risk and opportunity elements between the government and public organizations. Finally, the study proposed the ideal alternatives based on four elements. The study will hopefully provide the guideline to the public organizations, and assist the related authorities with the information disclosure policy in coming up with the relevant regulations.

• Asia-Pacific Journal of Business Venturing and Entrepreneurship
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• v.11 no.1
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• pp.85-95
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• 2016

Generally a venture capital aims at investment and support Venture businesses that signifies a start-up which has high technologies but frailty of the economy so that raise fund from financial agencies at high risk rate, it has high risk but when the venture businesses launch into general orbit, the venture capital guarantee high-rate profits. Venture capital do not just provide risk capital but also takes a role as a mentor for continuous growth with total consulting service at business and technical management. Also it offers in-depth support to reform the supported enterprise in order to enhance the competitive. Venture capital receives attention for years as a principal agent to be promoted strategically at national level. Bio venture, a major concern of venture capital and one of core industries in Korea, is different from other industries because it needs long-term and large scale of investment. these factors bring about difficulties in an investment and growth. Therefore, it is very important to identify growth and profitability of start-ups and small and venture businesses with long-term appreciation above all other industries. This research analyze management results of bio venture businesses empirically by investment from venture capital. according to the results, bio venture businesses need huge capital and a long gap of time, henceforth, formation of model for growth is necessary with angel investing as well as venture capital. Since, there are not many listed bio venture businesses, significant statistical result would be limited. This research studied at only economic focus but further study need to examine a question from various angles.

• Journal of Korean Society of Transportation
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• v.33 no.5
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• pp.478-487
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• 2015

This study proposed a Variable Speed Limits(VSL) algorithm to use traffic information based on Cumulative Demand-Capacity Analysis and evaluated its performance. According to the analysis result, the total of delay consisted of 3 separate parts. There was no change in total travel time although the total of delay decreased. These effects was analysed theoretically and then, evaluated through VISSIM, a microscopic simulator. VISSIM simulation results show almost same as those of theoretical analysis. Furthermore in SSAM analysis with VISSIM simulation log, the number of high risk collisions decreased 36.0 %. However, the total delay decrease effect is not real meaning of decrease effect because the drivers' desired speed is same whether the VSL model is operated or not. Nevertheless this VSL model maintains free flow speed for longer and increases the cycle of traffic speed fluctuation. In other words, this is decrease of delay occurrence and scale. The decrease of speed gap between upstream and downstream stabilizes the traffic flow and leads decrease number of high risk collision. In conclusion, we can expect increase of safety through total delay minimization according to this VSL model.

• Journal of East Asia Management
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• v.1 no.1
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• pp.29-49
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• 2020

In an intensively competitive global market, small-and medium-sized firms are puzzled about how to develop sustainable competitive advantages against global rivalries, thus leading satisfactory economic performance. However, despite the roles and contributions of such small-and medium-sized firms in the local community and national economies in Japan, little guidance has been offered to the practical issues related to their strategic behaviors toward global management. To fill this notable knowledge gap, this study aims to investigate the conditions in which how Japanese small-and medium-sized could dominates global market, which is one of key challenges in the literature of small business and entrepreneurship. To obtain better insights to this research area, this study undertakes an in-depth interview survey with I.S.T (Industrial Summit Technology) Corporation that shows off the highest global market share (40 per cent) with seamless polyimide tube product widely used in office automation equipment (e.g., copiers and printers). This method of survey is designed to deeply understand historical considerations about how I.S.T Corporation could dominate in the global market of such seamless polyimide tube product. Based on findings drawn from an interview, this study identifies five major factors enabling I.S.T Corporation to be a competitive global hidden company: vision sharing through founder's entrepreneurship, core competence, strategic network, risk management, and employee engagement. Specifically, to become a global hidden champion, sharing the vision motivating employees to partake in shaping company's future will be the first step on the road to global success through founder's entrepreneurship. However, in order to achieve such a vision, the importance of company's core competence cannot be overemphasized, which differentiates your customer solution with those of competitors. As such, a group of experts will be naturally formed and demonstrates your expertise in the global market, thereby building sustainable competitiveness. On the other hand, to maintain sustainable competitiveness, it is necessary to make up for the weaknesses small-and medium-sized firms suffer from competitive resources while strengthening their own strengths through strategic networks with external organizations. Here, every company has to understand the critical role of risk management, which is essential in this process of being global company so as not to lose your own strengths. Last but not least, do not forget the significant effects of employee engagement in firm performance. To enhance employees' engagement, a company has to create an ideal organization culture which fits into company's history and personality. In doing so, such organization culture can allow the vision and strategy to be implemented into detailed business tactics while facilitating employees to challenge the status quo by experimenting with creative ideas.

• Journal of Technology Innovation
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• v.28 no.4
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• pp.127-150
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• 2020

The World Health Organization (WHO) declared the third pandemic in history after the Hong Kong flu and swine flu. The outbreak of Corona 19 dramatically reduced exchanges between countries, while rapid contagion created a time gap in economic fluctuations by country. In January 2020, the trade dispute between the US and China entered into a consensus phase, but the economic decoupling phenomenon caused by Corona 19 made it difficult for China to balance trade with the US and made it difficult to comply with the terms of the trade dispute agreement between the US and China. President Trump attributed the responsibility for the spread of Corona 19 to China, and pointed out that the cause of the economic downturn was the infringement of Chinese trade secrets and illegal copies, and protectionism arose. As a result, China protested fiercely, and the conflict with the United States deepened. The US has declared trade sanctions on Huawei and SMIC, which are key companies in China's semiconductor industry, and is predicting the risk of a disconnection of the semiconductor value chain between the US and China. The separation of the value chain of the semiconductor industry has the potential to have a big impact on the semiconductor industry, a structure that is highly specialized and monopolized by certain countries and companies in the value chain. This paper aims to deal with the risk of disconnection in the semiconductor value chain between the US and China reignited by Corona 19, the impact and change of the global semiconductor industry value chain, and the response strategies of Korean semiconductor companies.

• The Korean Society of Law and Medicine
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• v.23 no.3
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• pp.117-137
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• 2022

Today, the medical system is changing into a comprehensive health care system in which collaborative relationships between medical professionals and non-medical personnels in neighboring occupational areas. The current medical act brands such "collaboration" as unlicensed medical practice, and punishes non-medical personnel who acted in the risk management of doctors as well as doctors collaborated with non-medical personnel as unlicensed medical practice. In order to narrow the gap between the legal system that regulates unlicensed medical practices and the medical reality, it is necessary to overcome the structural limitations of dualistic, nationalistic, and identity-oriented regulation of unlicensed medical practices. The legal interests of unlicensed medical practice have a dual nature as a personal legal interest of "human life and body" as well as a national legal interest of "maintenance and protection of the nation's medical license system", and it should be noted that the criteria for judging the legal interests protected by the regulations of criminal punishment should be found in "personal legal interest theory." In addition, when determining which behavior is a medical practice and evaluating its risk, the dimension of behavior and measures should be considered in a fair manner without being biased against the subject (identity) of the action. In other words, judging unlicensed medical practice should depend on whether the risk of side effects that may result from the act is reasonably managed. Considering the prospect of therapeutic dialogue between medical professionals and patients, it would be desirable for medical law policies to move in a way that does not fundamentally block the possibility of collaboration among pluralistic medical personalities.

• Journal of Venture Innovation
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• v.1 no.1
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• pp.83-98
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• 2018

This paper makes a theoretical approach to the differences between transaction tax and capital gains tax when the financial instruments are traded and imposed taxes in K-OTC market, a newly emerging off-board market. Since it is difficult to reduce risk to the level which investors would like to pursue - depending on the taxation methods of portfolio-composed financial instruments - when it comes to forming a synthetic bond to hedge risk, this paper also seeks for effective taxation methods to make this applicable. First of all, to thoroughly review the taxation balance of synthetic bonds, this paper analyzed the effects of the transaction tax and capital gains tax imposed upon synthetic bonds according to the changes in final stock price and strike price in K-OTC market, and analyzed after-tax profit differences among them depending on whether income tax deduction took place or not. As a result of the research upon the tax gap in transaction tax and capital gains tax according to the changes of final stock prices, it was shown that imposing transaction tax is more likely to be effective for some level of risk hedging with replicating portfolio considering taxation policies and financial markets, since the effect of the transaction tax has a much lower tax gap than that of capital gains tax. In addition, in relation to whether income tax deduction was permitted or not, it was proved that the effect of the transaction tax and the capital gains tax vary depending on the variation in the strike price. Above all, it was shown that if the strike price is lower than the stock price, the transaction tax will be less affected by the existence of income tax deduction than the capital gains tax, while both will be equally affected by the existence of income tax deduction if the strike price is higher than the stock price. Further study would be to demonstrate the validation of this in the K-OTC market with actual financial instruments and, also, to seek for a more systematic hedging method by using a ratio analysis approach to the calculation of the option transaction tax

• Journal of the Korea Academia-Industrial cooperation Society
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• v.16 no.11
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• pp.7978-7989
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• 2015

Dyslipidemia is a major risk factor for cardio-cerebrovascular disease. Although the prevalence among Korean adults is very high, its management is known to be poor. The aim of this study was to access the prevalence, awareness, treatment, and control rates of dyslipidemia according to treatment guideline rather than diagnostic criteria. The risk factors for cardio-cerebrovascular disease were evaluated to apply the appropriate risk-based threshold of the lipid treatment targets according to risk category. Analysis was done using nationally representative data (n = 16,263) collected from adults aged 20 years and older participating the Korea National Health and Nutrition Examination Survey (KNHANS) 2010-2012. The age-standardized prevalence rate of dyslipidemia according to treatment criteria was 34.1%. Of these prevalent cases, however, only 19.2% were aware; 9.5% treated; and 8.7% controlled. The age-standardized control rate among treated persons was 47.5%. Men had a significantly higher prevalence than women (39.7% vs. 28.8%), but a significantly lower rate of awareness, treatment, and control (16.0% vs. 22.3%, 7.7% vs. 11.3%, and 6.1% vs. 11.2%, respectively). As the higher risk category, the prevalence rate was higher but the control rate was lower. The prevalence of patients with diabetes was 82.5% when applying the treatment criteria (LDL-cholesterol level of ${\geq}100mg/dL$ and triglyceride level of ${\geq}200mg/dL$). However, only 11.9 % of these were controlled, whose LDL-cholesterol and triglycerides were lower than the treatment goals. Our findings suggest that effective strategies are required to decrease the gap between the prevalence of dyslipidemia and the following treatment. It would be worthwhile to strengthen the follow-up management of patients with dyslipidemia in the National Health Screening Program, especially in the high risk group of cardio-cerebrovascular disease.

• Journal of Environmental Impact Assessment
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• v.28 no.5
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• pp.440-456
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• 2019

The controversy of the risk perception related to particulate matters becomes significant. Therefore, in order to understand the nature of the particulate matters, we gathered articles and comments in on-line community related to bicycling which is affected by exposure of the particulate matters. As a result, firstly, the government - led particulate matter policy was strengthened and segmented every period, butthe risk perception related to particulate matters in the bicycle community has become active and serious. Second, as a result of analyzing the perception change of outdoor activities related to particulate matters, bicycle users in community showed a tendency of outdoor activity depending on the degree of particulate matters ratherthan the weather. In addition, the level of the risk perception related to particulate matters has been moved from fears of serious threat in daily life and health, combined with the disregard of domestic particulate matter levels or mask performance. Ultimately, these risk perception related to particulate matters have led some of the bicycling that were mainly enjoyed outdoors to the indoor space. However, in comparison with outdoor bicycling enjoyed by various factors such as scenery, people, and weather, the monotonous indoor bicycling was converted into another type of indoor exercise such as fitness and yoga. In summary, it was derived from mistrust of excessive information or policy provided by the government or local governments. It is considered that environmental policy should be implemented after discussion of risk communication that can reduce the gap between public anxiety and concern so as to cope with the risk perception related to particulate matters. Therefore,this study should be provided as an academic basis for the effective communication direction when decision makers establish the policy related to particulate matters.