Risks, Volume 13, Issue 12

The One-X property, introduced by Zetocha in a 2023 paper, provides a novel stochastic order with direct implications for constructing arbitrage-free implied volatility surfaces. The current work revisits its theoretical foundations and explores its...

We show that financial integration in emerging Asia is state-dependent in the sense that cross-market linkages vary systematically across regimes of global uncertainty and market stress. Focusing on Indonesia, Malaysia, Singapore, Thailand, and Vietn...

The transition toward renewable energy systems offers significant opportunities to reduce greenhouse gas (GHG) emissions, while also introducing new challenges in risk management and policy design. This study examines the long-term effects of renewab...

The widespread adoption of cryptocurrencies has transformed the financial landscape by enabling swift, decentralised transactions. However, the pseudonymous nature of digital currencies has also fuelled illicit activities, such as money laundering. C...

Environmental, social, and governance (ESG) disclosure has gained global prominence, yet its implementation in emerging markets particularly in environmentally intensive sectors remains fragmented. In Indonesia’s energy industry, ESG transparen...

We show that epistemic uncertainty–our iterated ignorance about our own ignorance–inevitably thickens statistical tails, even under perceived thin-tailed environments from past realizations. Any claim of precise risk carries a margin of e...

This study employs a quantile-on-quantile connectedness approach to analyze the asymmetric, distribution-dependent, and time-varying spillovers between FinTech indices and traditional financial markets. The results show that spillovers are concentrat...

This study examines how sovereign risk shapes the financial performance of sustainable investments, using the MSCI Emerging Markets ESG Index as a reference. The analysis covers 24 emerging and frontier economies from Latin America, Asia, the Middle...

This paper analyzes how the agricultural insurance market is adapting to climate change, particularly as extreme weather events become more frequent and severe. We focus on the optimal decision faced by a risk-averse farmer who wants to insure their...

Institutional investors exert significant influence on the operations and development of financial institutions, with different categories of investors playing distinct roles. We contend that institutional investor diversity may affect systemic finan...