Research/Technical Note
Estimating Risk of Debt Instruments Using the CreditMetricsTM Method: On the Example of JSCMB ‘Ipoteka-Bank’, Uzbekistan
Mirzayeva Fotima Mirrakhimzhonovna*
,
Zokirzhonov Mukhammadsodiq Ravshanbek Ugli
Issue:
Volume 9, Issue 4, December 2024
Pages:
124-130
Received:
17 March 2024
Accepted:
10 July 2024
Published:
10 October 2024
Abstract: In the article, credit risk assessment metric of a debt financial instrument, in particular a corporate Eurobond, is studied within the framework of the relevance of risk assessment in the financial sector due to the dangers and complexities of time. Joint-Stock Commercial Mortgage Bank ‘Ipoteka-Bank’, operating in the banking sector of the Republic of Uzbekistan, which is considered one of the important links of the financial sector of the Republic, was selected as the object of analysis. As input data for the analysis, statistical data of the bank provided in its official web-site’s open sources, in particular, data on Eurobonds issued and placed by the bank in London Stock Exchange, are used. At the same time, one of the advantages of the research is the described and disclosed in details and widely used global benchmarking data, published by Standard&Poor's rating agency, as part of the methodology requirement. According to the methodology, credit risk assessment analysis was performed following a strict and detailed calculation algorithm for debt instrument risk assessment. The calculation of credit risk assessment of one debt instrument, especially the Eurobond, according to this procedure followed with the authors’ discussion, conclusion and recommendation is also reflected in the article.
Abstract: In the article, credit risk assessment metric of a debt financial instrument, in particular a corporate Eurobond, is studied within the framework of the relevance of risk assessment in the financial sector due to the dangers and complexities of time. Joint-Stock Commercial Mortgage Bank ‘Ipoteka-Bank’, operating in the banking sector of the Republi...
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Review Article
Building the Foundation: Towards a Theoretical Framework for Forensic Accounting
Aloysius Vutumu*
Issue:
Volume 9, Issue 4, December 2024
Pages:
131-141
Received:
16 September 2024
Accepted:
4 October 2024
Published:
29 October 2024
Abstract: This study proposed a forensic accounting theory after examining how the impact of certain variables and their interplay on forensic accounting practices can contribute to developing integrated and robust fraud prevention strategies, enhance organizational accountability, and strengthen the overall integrity of financial and internal control systems. In literature, most studies on forensic accounting and fraud prevention have primarily focused on broader aspects such as governance, ethics, and accountability and are largely predicated on theories such as fraud diamond theory and agency theory that seek to understand the causes of fraud, highlighting the importance of forensic accounting in fraud prevention and detection, without suggesting practical forensic accounting frameworks. Also, the forensic accounting theory developed by Peterson Ozil in 2020 examines how the investigator’s attitude or mindset at the time of decision-making influences the outcomes of a forensic investigation. While these studies provide valuable insights into the overall context of fraud prevention, there is a scarcity of research on the specific forensic accounting processes that should be implemented to enhance the effectiveness of fraud prevention measures. This is the significant difference between the current study and previous studies. Therefore, the proposed Vutumu Forensic Accounting Theory serves as the guiding philosophy that underpins the integrated approach of combining control system reliance, litigation support, whistleblower hotlines, sustainable governance systems, ethical philosophy, digital fraud review frequencies, accounting record to reporting quality, and the frequency of system reviews, thereby enabling organizations to establish a proactive framework that addresses various dimensions of fraud prevention and detection. The implementation of the theory emerges as a formidable and comprehensive anti-fraud strategy, seamlessly integrating multiple elements to create a robust defense against fraudulent activities, safeguarding financial integrity, ethical conduct, and accountability within organizations. Furthermore, it is the researcher’s desire that this study serve as a foundation for further research and practical implementation of forensic accounting frameworks in strengthening the ability to detect and prevent fraud.
Abstract: This study proposed a forensic accounting theory after examining how the impact of certain variables and their interplay on forensic accounting practices can contribute to developing integrated and robust fraud prevention strategies, enhance organizational accountability, and strengthen the overall integrity of financial and internal control system...
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