Deciding Factors and Industrial Difference of Using Financial Derivatives by Taiwan Listed and OTC Companies

• Main Authors: WANG,RU-LAN, 王茹蘭
• Other Authors: TSAI,FENG-TSE
• Format: Others
• Language: zh-TW
• Published: 2017
• Online Access: http://ndltd.ncl.edu.tw/handle/rnb9fx

碩士 === 亞洲大學 === 財務金融學系碩士在職專班 === 105 === The objective of this study is to investigate the deciding factors and industrial difference of using financial derivatives by Taiwan listed and OTC companies. I adopt 11 explanatory variables including net operating revenue rate, total assets, deferred income tax assets, long-term liabilities rate, fixed assets rate, research and development expenses rate, stockholding of directors and supervisors rate, foreign shareholders rate, institutional investors shareholding rate, convertible bonds ratio and quick ratio. Accordingly, I apply multinomial logistic regression to study the deciding factors and industrial difference on the purpose of using derivatives. In addition, ordinary regression is employed to test the relationship between above factors and the amount of using derivatives in terms of their purposes. The quarterly data from 2006 to 2016 is acquired to examine usage of derivatives by Taiwan listed and OTC companies. The results show that large firms tend to use derivatives on hedging or trading purposes; high R&D firms are more likely use derivatives for hedging instead of trading; companies with high shareholding rate of directors and supervisors use less derivatives in hedging or trading. Lastly, the relation between R&D expenses rate and usage of derivatives is significantly positive for non-electronic companies only while high shareholding rate of directors and supervisors non-electronic companies tend to use less derivatives in hedging and this is insignificant for electronic companies.