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Feelings of Ethical Superiority Can Lead to Workplace Ostracism, Social Undermining, Baylor Study Says featured image

Feelings of Ethical Superiority Can Lead to Workplace Ostracism, Social Undermining, Baylor Study Says

Managers should consider ethics and performance when rewarding employees, Baylor professor says Do you consider yourself more ethical than your coworker? Caution! Your feelings of ethical superiority can cause a chain reaction that is detrimental to you, your coworker and your organization, according to Baylor University management research. A new study published in the Journal of Business Ethics suggests that your feelings of ethical superiority can lead you to have negative emotions toward a “less ethical” coworker. Those negative emotions can be amplified if you also believe you do not perform as well as that coworker. And, furthermore, those negative emotions can lead to your mistreatment and/or ostracism (social exclusion) of that less ethical, higher-performing coworker. “One way to think of this is that it is – and should be – concerning to us to believe that we are more ethical than our coworkers, especially if we do not perform as well as they do,” said lead author Matthew Quade, Ph.D., assistant professor of management in Baylor University’s Hankamer School of Business and an expert on workplace ethics and ostracism. The research, Quade said, can help managers create better atmospheres and improve the bottom line. “The managerial implication is that we need to create environments where ethics and performance are both rewarded,” he said. A total of 741 people, among them 310 employees (“focal employees”) and an equal number of their coworkers (“comparison coworkers”), were surveyed for the study. Focal employees compared themselves with their coworkers based on two areas: perceived ethics and performance. Then they rated their levels of negative emotions (i.e., feelings of contempt, tension or disgust) toward those same comparison coworkers. Results show that employees who believe they are more ethical than similar coworkers (i.e., those that hold similar positions, have similar education background and similar tenure in the organization) feel negative emotions (i.e., contempt, disgust, stress, repulsion) when thinking about those coworkers. These negative emotions about the coworker are amplified when the employees also believe they do not perform as well as those same coworkers. In turn, the comparison coworkers rated how often they experienced social undermining (i.e., insults, spreading of rumors, belittling of ideas) and ostracism (i.e., ignored, avoided, shut out of conversations) from the focal employee. Results also show that the negative emotions that the “more ethical, lower performing” employees experience may result in them behaving in unethical ways directed at their coworkers. Specifically, they become more likely to socially undermine and ostracize those “less ethical, higher performing” coworkers. All the study’s results exist regardless of gender and any positive emotion the employees may experience as a result of believing they are more ethical. Ultimately, such workplace scenarios pose a conundrum for managers, Quade said. On one hand, there is the ethical worker who doesn’t perform as well. On the other hand, there’s the less ethical worker who hits all the goals. Who gets rewarded? “If high performance is the result of questionable or unethical behavior, that combination should not be celebrated,” the researchers wrote. “Instead, organizations should be cautious when rewarding and promoting performance within organizations, ensuring that they also consider the way the job is done from an ethical standpoint.” The ideal situation, the study reveals, is when high ethics and high performance are the norm – and employees are rewarded. “Enhancing the ethical behavior of all employees should be an emphasis to attempt to remove some of the disparity that tends to exist between employees when it comes to their moral behavior at work,” the researchers wrote. ABOUT THE STUDY “’If Only My Coworker Was More Ethical’: When Ethical and Performance Comparisons Lead to Negative Emotions, Social Undermining, and Ostracism,” published in the Journal of Business Ethics, is authored by Matthew Quade, Ph.D., assistant professor of management, Hankamer School of Business, Baylor University; Rebecca Greenbaum, Ph.D., associate professor of management, Spears School of Business, Oklahoma State University; and Mary Mawritz, Ph.D., associate professor of management, LeBow College of Business, Drexel University. ABOUT BAYLOR UNIVERSITY Baylor University is a private Christian University and a nationally ranked research institution. The University provides a vibrant campus community for more than 17,000 students by blending interdisciplinary research with an international reputation for educational excellence and a faculty commitment to teaching and scholarship. Chartered in 1845 by the Republic of Texas through the efforts of Baptist pioneers, Baylor is the oldest continually operating University in Texas. Located in Waco, Baylor welcomes students from all 50 states and more than 80 countries to study a broad range of degrees among its 12 nationally recognized academic divisions. ABOUT HANKAMER SCHOOL OF BUSINESS Baylor University’s Hankamer School of Business provides a rigorous academic experience, consisting of classroom and hands-on learning, guided by Christian commitment and a global perspective. Recognized nationally for several programs, including Entrepreneurship and Accounting, the school offers 24 undergraduate and 13 graduate areas of study. Visit www.baylor.edu/businessand follow on Twitter at twitter.com/Baylor_Business.

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4 min. read
Environmental Scientists Identify Most Pressing Issues Posed by Chemicals in the Environment in Europe featured image

Environmental Scientists Identify Most Pressing Issues Posed by Chemicals in the Environment in Europe

Environmental scientists have identified 22 key research questions surrounding the risks associated with chemicals in the environment in Europe. Chemicals released into the environment by human activity are resulting in biodiversity loss; increased natural hazards; threats to food, water and energy security; negative impacts on human health and degradation of environmental quality. Now an international study, coordinated by scientists from the University of York, Wageningen University and Baylor University, has identified the most important research questions that need to be answered to fill the most pressing knowledge gaps over the next decade. They include questions about which chemicals we should be most concerned about and where the hotspots of key contaminants are around the globe, as well as how we can develop methods to protect biodiversity and ecosystems. The research, which resulted from a recent "big questions" exercise involving researchers from across Europe, aims to serve as a roadmap for policymakers, regulators, industry and funders and result in a more coordinated approach from the European environmental science community to chemicals in the environment. “Our research has highlighted international scientists' research priorities and our key knowledge gaps when it comes to the risks and impacts of chemicals,” said one of the lead authors of the study Alistair Boxall, Ph.D., with the University of York’s environment department. “The study aims to help focus scientific effort on the questions that really matter and inform decisions about the type of research needed to update policies and regulations.” Bryan W. Brooks, Ph.D., Distinguished Professor of Environmental Science and Biomedical Studies at Baylor University, who also coordinates a much larger global horizon scanning exercise, said the project is “intentionally transparent, inclusive of multiple sectors and multidisciplinary.” “Though this paper focuses on critical research needs for Europe, we partnered with the Society for Environmental Toxicology and Chemistry to perform similar studies in North America, Africa, Asia, Australia and Latin America,” Brooks said. “In fact, output from the Latin American study was recently published. This unprecedented exercise, which also includes a key partnership with the American Chemical Society in North America, is for the first time identifying global research priorities from academic, government and industry scientists and engineers to understand, avoid and manage adverse outcomes of chemicals in the environment.” A key suggestion in the report is that the basic and translational research is needed to advance robust assessments of chemical risks to the environment and human health. “These big research questions aim to reduce uncertainty during scientific evaluations of environmental contaminants and to advance innovation and sustainability through development of less hazardous chemicals to public health and the environment. Such research recommendations from our European colleagues are thus timely, necessary and internationally important if we are to achieve the United Nation’s Sustainable Development Goals,” Brooks said. Towards Sustainable Environmental Quality: Priority Research Questions for Europe is published in the journal Environmental Toxicology and Chemistry. It is one of six papers in a global horizon scanning study. ABOUT BAYLOR UNIVERSITY Baylor University is a private Christian University and a nationally ranked research institution. The University provides a vibrant campus community for more than 17,000 students by blending interdisciplinary research with an international reputation for educational excellence and a faculty commitment to teaching and scholarship. Chartered in 1845 by the Republic of Texas through the efforts of Baptist pioneers, Baylor is the oldest continually operating University in Texas. Located in Waco, Baylor welcomes students from all 50 states and more than 80 countries to study a broad range of degrees among its 12 nationally recognized academic divisions. ABOUT BAYLOR COLLEGE OF ARTS & SCIENCES The College of Arts & Sciences is Baylor University’s oldest and largest academic division, consisting of 25 academic departments and seven academic centers and institutes. The more than 5,000 courses taught in the College span topics from art and theatre to religion, philosophy, sociology and the natural sciences. Faculty conduct research around the world, and research on the undergraduate and graduate level is prevalent throughout all disciplines.

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3 min. read
When Religiosity Competes with Materialism, Charitable Giving Takes a Hit, Baylor Study Shows featured image

When Religiosity Competes with Materialism, Charitable Giving Takes a Hit, Baylor Study Shows

Baylor researchers suggest fundraisers can use study results to boost giving Religious people tend to be more charitable than their nonreligious counterparts, but they’ll think twice about opening their wallets if it prolongs their next big purchase, according to new research from Baylor University’s Hankamer School of Business. Baylor researchers James A. Roberts, Ph.D., professor of marketing, and Meredith David, Ph.D., assistant professor of marketing, partnered on a study that examined the relationship between religiosity and charitable giving, and what drives the latter. They found that religiosity – the way people live out their lives based on their faith – can drive donors to give. But when materialism – that self-serving want for more money or material possessions – enters the equation, giving decreases. “At once, we want to help others, but at the same time, we desire the money and possessions that we all cherish to a greater or lesser degree,” the researchers wrote. “It is the result of such give-and-take between opposing values that drives our behavior as donors to charitable causes.” A total of 180 adults participated in the study, which is published in  International Journal of Nonprofit and Voluntary Sector Marketing. Roberts and David looked specifically at religiosity’s effect on peoples’ attitudes toward helping others (AHO) and attitudes toward charitable organizations (ACO). Religiosity, they explained, is different from religious affiliation; it “is something that individuals experience outside of their place of worship and constitutes a way of viewing and experiencing the world that is different from their less religious (or nonreligious) counterparts.” They said they approached the study with the idea that helping others is a common rule among major religions. In general, the research showed that those expressing higher levels of religiosity were found to possess more favorable attitudes toward helping others and to charitable organizations. And those with stronger attitudes toward helping others also expressed a greater breadth in their giving. But higher levels of religiosity do not guarantee open wallets, David said. “We can’t always assume that religiosity ensures charitable giving,” she said. “Our study results suggest that increasing materialism lessened the positive effect of AHO on the breadth of giving.” Roberts, a nationally recognized expert on consumerism, said he and David, a nationally recognized expert on consumer behavior and well-being, weren’t too surprised by the study’s findings, given a basic understanding of human nature and the self-centeredness that accompanies materialism. However, they believe that understanding these dynamics can benefit charitable organizations as they identify potential donors and prepare for “the ask.” “Although materialism was found to reduce the breadth and likelihood of charitable giving in the present study, it could spur charitable giving if it is driven by self-serving motivations,” they wrote in the “managerial implications” section of the study. In other words, appeal to the donors’ inclination to give and their desire for public acknowledgment. “Large donations that come with naming rights, spur news coverage or exceed the donations of other prominent individuals are all examples of how materialism can be used to drive charitable donations,” they wrote. ABOUT THE STUDY “Holier than thou: Investigating the relationship between religiosity and charitable giving,” published in the June 2018 issue of International Journal of Nonprofit and Voluntary Sector Marketing, is authored by James A. Roberts, Ph.D., The Ben H. Williams Professor of Marketing, Hankamer School of Business, Baylor University, and Meredith David, Ph.D., assistant professor of marketing, Hankamer School of Business, Baylor University. ABOUT BAYLOR UNIVERSITY Baylor University is a private Christian University and a nationally ranked research institution. The University provides a vibrant campus community for more than 17,000 students by blending interdisciplinary research with an international reputation for educational excellence and a faculty commitment to teaching and scholarship. Chartered in 1845 by the Republic of Texas through the efforts of Baptist pioneers, Baylor is the oldest continually operating University in Texas. Located in Waco, Baylor welcomes students from all 50 states and more than 80 countries to study a broad range of degrees among its 12 nationally recognized academic divisions. ABOUT HANKAMER SCHOOL OF BUSINESS Baylor University’s Hankamer School of Business provides a rigorous academic experience, consisting of classroom and hands-on learning, guided by Christian commitment and a global perspective. Recognized nationally for several programs, including Entrepreneurship and Accounting, the school offers 24 undergraduate and 13 graduate areas of study. Visit www.baylor.edu/businessand follow on Twitter at twitter.com/Baylor_Business.

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3 min. read
Out of Office: New Baylor Management Study Examines Relationship Between Stress and Remote Work featured image

Out of Office: New Baylor Management Study Examines Relationship Between Stress and Remote Work

Researchers say people with high emotional stability and autonomy are best suited for remote-work opportunities Many U.S. employees believe working from home – or at least away from the office – can bring freedom and stress-free job satisfaction. A new Baylor University study says, “Not so fast.” The study, published recently in the European Journal of Work and Organizational Psychology, examines the impact of remote work on employee well-being and offers several strategies to help managers provide remote-work opportunities that are valuable to the employee and the company. “Any organization, regardless of the extent to which people work remotely, needs to consider well-being of their employees as they implement more flexible working practices,” the researchers wrote. A total of 403 working adults were surveyed for the two studies that made up the research, said lead author Sara Perry, Ph.D., assistant professor of management in Baylor University’s Hankamer School of Business. The research team measured each employee’s autonomy (the level of a worker’s independence), strain (defined in this study as exhaustion, disengagement and dissatisfaction) and emotional stability. Emotional stability, Perry explained, “captures how even keeled someone is or, on the opposite end, how malleable their emotions are. An example would be if something stressful happens at work, a person who is high on emotional stability would take it in stride, remain positive and figure out how to address it. A person low on emotional stability might get frustrated and discouraged, expending energy with those emotions instead of on the issue at hand.” The research found that: • Autonomy is critical to protecting remote employees’ well-being and helping them avoid strain. • Employees reporting high levels of autonomy and emotional stability appear to be the most able to thrive in remote-work positions. • Employees reporting high levels of job autonomy with lower levels of emotional stability appear to be more susceptible to strain. Perry said the study contradicts past research that says autonomy is a universal need that everyone possesses. Per this research, those who are lower in emotional stability may not need or want as much autonomy in their work. “This lower need for autonomy may explain why less emotionally stable employees don’t do as well when working remotely, even when they have autonomy,” researchers wrote. In addition to their findings, the researchers offered several recommendations for managers who design or oversee remote-work arrangements. The research team advised managers to consider their employees’ behavior when deciding who will work remotely. “I would suggest managers look at employee behaviors, rather than for personality traits, per se,” Perry said. “For example, if someone does not handle stress well in the office, they are not likely to handle it well at home either. If someone gets overwhelmed easily, or reacts in big ways to requests or issues in the office, they are likely less well positioned to work remotely and handle that responsibility and stress.” Based on this study, individuals with high emotional stability and high levels of autonomy are better suited for remote work, but such candidates might not always be available. “If less emotionally stable individuals must work remotely, managers should take care to provide more resources, other than autonomy, including support to help foster strong relationships with coworkers and avoid strain,” they wrote. Managers might also consider providing proper training and equipment for remote work, including proper separation of work and family spaces, clear procedural and performance expectations and regular contact (virtual or face-to-face) with coworkers and managers. ABOUT THE STUDY “Stress in Remote Work: Two Studies Testing The Demand-Control-Person Model,” published in the European Journal of Work and Organizational Psychology, is authored by Sara Perry, Ph.D., assistant professor of management, Hankamer School of Business, Baylor University, Emily Hunter, Ph.D., associate professor of management, Hankamer School of Business, Baylor Univeersity, and Cristina Rubino, professor of management, David Nazarian College of Business and Economics, California State University Northridge. ABOUT BAYLOR UNIVERSITY Baylor University is a private Christian University and a nationally ranked research institution. The University provides a vibrant campus community for more than 17,000 students by blending interdisciplinary research with an international reputation for educational excellence and a faculty commitment to teaching and scholarship. Chartered in 1845 by the Republic of Texas through the efforts of Baptist pioneers, Baylor is the oldest continually operating University in Texas. Located in Waco, Baylor welcomes students from all 50 states and more than 80 countries to study a broad range of degrees among its 12 nationally recognized academic divisions. ABOUT HANKAMER SCHOOL OF BUSINESS Baylor University’s Hankamer School of Business provides a rigorous academic experience, consisting of classroom and hands-on learning, guided by Christian commitment and a global perspective. Recognized nationally for several programs, including Entrepreneurship and Accounting, the school offers 24 undergraduate and 13 graduate areas of study. Visit www.baylor.edu/business and follow on Twitter at www.twitter.com/Baylor_Business.

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4 min. read
Ethical Leadership Can Have Negative Consequences, Baylor University Researchers Say featured image

Ethical Leadership Can Have Negative Consequences, Baylor University Researchers Say

Coupled with stress, ethical leadership can lead to employee deviance and turnover Ethical leadership is a good thing, right? Certainly, management experts say. But ethical leadership can have negative consequences, too, according to new research from management faculty in Baylor University’s Hankamer School of Business. A 2018 Baylor study published in the Journal of Business Ethics reveals that ethical leadership compounded by job-hindrance stress and supervisor-induced stress can lead to employee deviance and turnover. The research reflects the thoughts of 609 employees who were surveyed across two studies. “If someone is an ethical leader but induces stress, our research shows that his or her employees will feel less support,” said lead author Matthew Quade, Ph.D., assistant professor of management. “Thus, employees who do not feel supported are more likely to consider leaving their jobs or engage in workplace deviance – things like coming in late to work, daydreaming, not following instructions or failing to be as productive as they could be.” Quade said that ethical leadership is a good thing and often beneficial in terms of employee resources. An example would be a trusted supervisor who listens to her employees and has her employees’ best interests in mind. The trouble comes, he said, when supervisor-induced stress or job-hindrance stress enters the picture. “When those stressors are added, there is a depletion of resources,” Quade explained. “Many of the gains or benefits from ethical leadership are negated.” What does stress-inducing ethical leadership look like? Quade said it could be as simple as supervisors setting expectations too high or, in the interest of “following all the rules,” not allowing for any deviation from a process, even if a shortcut, still within the bounds of behaving ethically, would deliver a desired result. The researchers wrote: “Ethical leadership can be an exacting process of sustaining high ethical standards, ensuring careful practice and enforcement of all rules and meeting leaders’ lofty expectations, all of which can consume time and energy and be perceived by employees as overly demanding or an obstacle to job performance.” As part of the study, those surveyed were asked to what extent they agreed or disagreed with the following statements: My supervisor makes it so that I have to go through a lot of red tape to get my job done. Working with my supervisor makes it hard to understand what is expected of me. I receive conflicting requests from my supervisor. My supervisor creates many hassles to go through to get projects/assignments done. Working with him/her thwarts my personal growth and well-being. In general, I feel that my supervisor hinders my personal accomplishment. I feel that my supervisor constrains my achievement of personal goals and development. Quade said his team in no way wants to discourage ethical leadership. Research consistently shows such leadership is very beneficial, he said. But this new research shows that there are boundaries to those benefits. “This places quite an onus on appropriately managing the stress that comes from the leader and the job, in efforts to most fully realize the potential of ethical leadership,” the researchers wrote. The study listed some tips and takeaways for organizations and leaders. They include: Strike a balance between promoting ethical behavior and providing resources to help employees meet those standards. Encourage employees in word and deed by reducing ambiguity in ethical dilemmas that might otherwise drain resources. Model fair and ethical behavior. Communicate efficient methods to meet standards and reduce unnecessary steps or procedures. Equip and train leaders to balance the demands of leading ethically while not overburdening their employees. ABOUT THE STUDY “Boundary Conditions of Ethical Leadership: Exploring Supervisor-Induced and Job Hindrance Stress as Potential Inhibitors” is published in the Journal of Business Ethics. Study authors are Baylor University Hankamer School of Business faculty members Matthew Quade, Ph.D., assistant professor of management; Sara Perry, Ph.D., assistant professor of management; and Emily Hunter, Ph.D., associate professor of management. ABOUT BAYLOR UNIVERSITY Baylor University is a private Christian University and a nationally ranked research institution. The University provides a vibrant campus community for more than 17,000 students by blending interdisciplinary research with an international reputation for educational excellence and a faculty commitment to teaching and scholarship. Chartered in 1845 by the Republic of Texas through the efforts of Baptist pioneers, Baylor is the oldest continually operating University in Texas. Located in Waco, Baylor welcomes students from all 50 states and more than 80 countries to study a broad range of degrees among its 12 nationally recognized academic divisions. ABOUT HANKAMER SCHOOL OF BUSINESS Baylor University’s Hankamer School of Business provides a rigorous academic experience, consisting of classroom and hands-on learning, guided by Christian commitment and a global perspective. Recognized nationally for several programs, including Entrepreneurship and Accounting, the school offers 24 undergraduate and 13 graduate areas of study. Visit www.baylor.edu/businessand follow on Twitter at twitter.com/Baylor_Business.

Matt Quade, Ph.D. profile photoSara Jansen Perry, Ph.D. profile photo
4 min. read
What to expect from the 73rd General Assembly of the United Nations? featured image

What to expect from the 73rd General Assembly of the United Nations?

In what is supposed to be a gathering of the world’s leaders to discuss, debate and solve global problems – that spirit of collaboration and thinking might be all but absent this session. It’s expected that President Donald Trump will be pointing both barrels directly at Iran during his speech. His accusations of Iran casing chaos and terror around the world will no doubt please his conservative base leading into November’s elections – but it may be met with resistance and even backlash from leaders from around the world. The tone could even take the unlikely turn that it is Trump and America that are the threat to peace. Times certainly have changed. So, what will come from the upcoming General Assembly? Does the UN have the influence it once enjoyed? And once the meeting is over, does any of it really matter? There are a lot of questions to be answered and that’s where an expert from Cedarville University can help. Dr. Glen Duerr’s expertise and research interests include nationalism and secession, comparative politics and international relations theory. Dr. Duerr is available to speak to media regarding this topic – simply click on his icon to arrange an interview. Source:

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1 min. read
Reducing home equity bias through transparency featured image

Reducing home equity bias through transparency

One of the goals of global stock exchange mergers is to create a consolidated trading platform that makes listed firms available to a greater number of investors while providing firms with larger pools of liquidity. But the problem of equity home bias—the tendency of investors to overinvest in domestic securities and underinvest in foreign securities—can thwart optimal global portfolio diversification. In a recent study, Grace Pownall, professor of accounting; Maria Vulcheva 05MBA 11PhD (FIU); and Xue Wang (Ohio State) examine such home bias in Euronext, which was created in 2002 when four European countries merged their stock exchanges. The researchers focus in particular on two structural mechanisms adopted by Euronext: (1) the integration of trading platforms across the four exchanges, and (2) the creation of named segments open to firms that voluntarily pre commit to greater transparency in financial reporting and corporate governance. In their investigation of these mechanisms, the researchers find that firms that choose not to join the segmented list see no diminution of home bias, while the segmented, more transparent firms reap significant increases in all categories of foreign holdings relative to domestic holdings. Source:

Understanding the influence of mobile promotions featured image

Understanding the influence of mobile promotions

Michelle Andrews, assistant professor of marketing, and coauthors Jody Goehring (RetailMeNot), Sam Hui (U Houston), Joseph Pancras (U Conn), and Lance Thornswood (JCPenney) cull together divergent streams of research to provide a framework to better understand how mobile promotions influence the in-store shopping behavior of consumers. Online promotions allow merchants to reach shoppers easier and faster, enabling traditional stores to text out online discounts or highlight specific products. Merchants can also use geolocation on mobile phones to text and target shoppers once inside of their store to feature merchandise or advertise a special offer. The authors identify a number of key areas for additional research to “enable long-term, value enhancing relationships between consumers and marketers.” For instance, they note the need for a better understanding of the role of privacy concerns on personal data collection via mobile devices. Andrews and coauthors also find that a deeper investigation of such things as return on investment, loyalty programs, upselling, proximity to purchase, and global promotions are required to get a true sense of the effectiveness of mobile promotions. Source:

Populations at risk – how the whole planet is feeling and affected by climate change featured image

Populations at risk – how the whole planet is feeling and affected by climate change

The pounding heat of this summer seems like an anomaly, but according to experts, extreme heat waves may be a new reality. The global temperature is rising and the impact of that is being felt on every continent on earth. From Pakistan, to Japan to Mexico to Paris – the rolling waves of summer heat saw temperatures soar. While for some it’s a matter of comfort, the world’s poor and vulnerable populations are going to face serious risk and consequences. For instance, high heat and erratic rainfall can exacerbate drought, and prolonged drought can lead to severe food insecurity and in some cases, famine. Desperation can lead to conflict and worse. The global threat of climate change is very real and will touch every corner of the planet. There are a lot of questions to be answered and that’s where the experts from Catholic Relief Services can help. Lori Pearson leads Catholic Relief Services’ response to the massive impact climate change is having on global agriculture and especially on the lives of smallholder farmers in Africa, Asia and Latin America. She also crafts policy and advocacy recommendations to climate change challenges and global hunger. Lori is available to speak with media regarding this topic – simply click on her icon to arrange an interview. Source:

1 min. read
The return on international investment products featured image

The return on international investment products

Individual investors have access to an ever-increasing number of US-registered equity funds that invest in international assets, as well as institutional investment products focused on global assets. Despite the growing importance of global equity markets for US investors, there is little academic research devoted to their study. Jeffrey Busse, associate professor of finance, Amit Goyal (University of Lausanne), and Sunil Wahal (Arizona State U) advanced the research, tackling the common theory that less developed markets are less efficient and, consequently, “exploitable by active fund managers.” The trio analyzed a large sampling of active retail mutual funds and institutional products investing in global equity markets, concentrating their research on a sample period from 1991 to 2009. The authors used quarterly returns net of trading costs and gross of fees. They also collected information on annual fee schedules, portfolio turnover, and assets under management. On average and in the aggregate, the data showed a lack of “superior performance” for the sampling. The research paper won the Spangler IQAM Best Paper in Investments Prize at the 2014 European Finance Association Annual Meeting in Lugano, Switzerland. Source: