Browsing by Author "Adedeji Daniel Gbadebo"

Now showing 1 - 6 of 6
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    BTC price volatility: Fundamentals versus information
    (Cogent Business & Management, 2021) Adedeji Daniel Gbadebo; Ahmed Oluwatobi Adekunle; Wole Adedokun; Lukman Adebayo-Oke Abdulrauf; Joseph Akande
    This paper offers a plausible response to “what explains the sporadic volatility in the price of Bitcoin?” We hypothesized that market “fundamentals” and “information demands” are key drivers of Bitcoin’s unpredictable price fluctuation. We adopt the transfer-function [Autoregressive Distributed Lag, ARDL] model and its Bounds testing approach to verify how the volatility of the price of Bitcoin responds to its transaction volume, cryptocurrency market capitalisation, world market equity index and Google search. We found the existence of long-run coin tegration relation and observed that all the variables except the equity index positively explain the volatility of Bitcoin price. The result established evidence that market fundamentals drive erratic swing in Bitcoin price than information.
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    Fiscal deficits and exchange rate movement: Empirical evidence from Nigeria
    (University of Benin, Nigeria, 2015-10-09) Adedeji Daniel Gbadebo; Ahmed Oluwatobi Adekunle
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    How Does Financial Risk Management Impact Financial Performance of Microfinance Banks?
    (ACTA UNIVERSITATIS DANUBIUS OECONOMICA, 2024) Lukman Adebayo-Oke Abdulrauf; Sherifdeen Adebola Rabiu; Joseph Olorunfemi Akande; Adedeji Daniel Gbadebo
    : Microfinance banks (MFBs) in Nigeria play an important role of delivering financial services to the underserved population and low-income individuals. MFBs are exposed to various financial risks, including borrower defaults and liquidity management, posing serious survival threats. We apply the autoregressive distributive lag (ARDL) regression, on published data from 1993 to 2022, to confirm how financial risk management of the MFBs in Nigeria impacts their financial performance. The finding from the short run of the main (ROA) estimation identifies that except for the loan-deposit magnitude, which is insignificant, the coefficients on capital adequacy strength, risk asset quality, liquidity strength and loan loss provision are significant. For the long run, capital adequacy, liquidity, risk asset quality and loan loss provision have significant coefficient while loan-deposit magnitude has an insignificant coefficient. The lag term of error correction is negative (-1.60) and significant, implying that the model would converge to equilibrium upon any perturbation. Similar results are evident when the return on equity is considered as a measure of financial performance to verify the sensitivity of the outcomes. This suggests the estimation is not sensitive to any performance measure used. The findings underscore the importance of capital adequacy and liquidity strength for improving the financial performance as well as the detrimental impact of risk asset quality and high loan loss provisions on the MFBs. To ensure enhanced financial performance, sustainability and effectiveness, we recommend offer that policy markets should different regulatory measures including recapitalization, reshaping of risk asset holdings, regulating loan loss provisions, clarifying regulations on loan-deposit ratios, and regulating liquidity levels.
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    IFRS ADOPTION AND ACCRUAL-BASED MANAGED EARNINGS IN NIGERIA
    (Asian Economic and Financial Review, 2022) Wole Muri Adedokun; Adedeji Daniel Gbadebo; Ahmed Oluwatobi Adekunle; oseph Olorunfemi Akande
    This study aims to evaluate the effects of the adoption of the International Financial Reporting Standards (IFRS) on the accrual-based managed earnings behavior of firms in Nigeria. The panel corrected standard errors (PCSE) multivariate method was employed to analyze firm-level data for 125 firms and covers the 11 sectors on the Nigerian Stock Exchange (NSE). The results of the Welch–Satterthwaite test show a significant difference between the pre-adoption (2003–2011) and post adoption (2012– 2020) discretionary accruals. These variables conformed to the a priori expectation and are all significant in the most parsimonious models. Contrary to some developed countries, the data does not support the idea that leverage, growth, and book-to-market value influence managed earnings for Nigeria. Managed earnings are not solely time- driven but are explained by certain firm characteristics (IFRS adoption, post-adoption firm-size, post-adoption audit firm’s size, returns on equity and asset turnover). Future research could explore opportunities in the areas of limitation we identified.
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    On Export and Economic Growth: A Comparative Analysis of Selected West African Countries
    (International Journal of Economics and Financial Issues, 2022) Ahmed Oluwatobi Adekunle; Adedeji Daniel Gbadebo; Joseph Olorunfemi Akande
    The effect of export on economic growth has attracted much attention amongst researchers and practitioners. Conventional theories posit that output growth is attainable if countries produce and export the goods in which they have comparative advantages or are resourcefully endowed. Available evidence, however, sometimes present negative or inconclusive results on export-growth nexus. The study applied the panel cointegration and panel corrected standard errors (PCSE) on a sample of thirteen selected West African countries for the period 1990-2018. The result shows existence of cointegration amongst the variables. The PCSE results indicate positive long run relationships between export and growth, on one hand and exchange rate and growth, on the other. The study recommends measures to improve trade and attain growth in region such as the complete removal all forms of export restrictions and tariff on primary products, as well as administrative tax exemptions for domestic firms that engage in production of export goods
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    The Correlation of Investment Securities and the Returns of Pension Fund Administrators in an Emerging Economy
    (Ilomata International Journal of Tax and Accounting, 2024) Lukman Adebayo-Oke Abdulrauf; Adedeji Daniel Gbadebo
    The pension fund administrators (PFAs) are saddled with the responsibility to manage and invest pension contributions on behalf of employees through investment in securities and the earnings from the investments. The PFAs are constantly faced with the problem of optimizing financial performance of assets to investin. The paper aims to access the connection between financial assets that the PFAs in Nigeria invest in and their investment returns. In line with theory, econometricsoffers correlationframeworks as a simple and efficient way to resolve and understand the relationship between financial assets and financial returns. We applied a Pairwise correlation approach to published information from the National Pension Commission (PENCOM) from 2007 to 2021to evaluate the link between four financial assets and investment returns. We find that two of the securities –money market securitiesand mutual funds –have a positive relationship with the PFAs’ returns, and the other two considered –the federal government securities and private equity funds –have a negative relationship with the PFAs’ returns. Only the correlation between the growth of investment return and investment in money market securities is moderate and significant. In contrast, othersare low and insignificant, thus leading us to refute the first hypothesis, maintaining others. The study offers insights into factors that affect their financial performance and investment strategies to be put in place to optimize return,which in turn will benefit their contributors. The outcome provides policymakers and regulators with a comprehensive overview of all investment securities and administrators' performance.