"Emerging Markets and Financing with Preferred Stocks: The Case of Pacific Rim Countries" by Ali M Fatemi

Article

Emerging Markets and Financing with Preferred Stocks: The Case of Pacific Rim Countries

Managerial Finance (2002)

Ali M Fatemi, DePaul University
Iraj Fooladi, Dalhousie University
Nargess Kayhani, Mount Saint Vincent University

Abstract

Points out that preference shares are much more heavily used in emerging economies than in advanced ones to finance new investment projects and develops a mathematical model to show the conditions under which companies are willing to issue them at a price which will attract investors. Outlines the tax systems in Taiwan, South Korea and New Zealand and uses the model to explain why companies in the former two countries issue preference share but New Zealand firms to not.

Disciplines

Finance and Financial Management

Publication Date

2002

Citation Information

Ali M Fatemi, Iraj Fooladi and Nargess Kayhani. "Emerging Markets and Financing with Preferred Stocks: The Case of Pacific Rim Countries" Managerial Finance Vol. 28 Iss. 2 (2002)
Available at: http://works.bepress.com/alifatemi/6/