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Financial theories on pension fund portfolios in Kenya

Author

Listed:
  • Omollo, Harold
  • Olweny, Tobias
  • Oluoch, Oluoch
  • Wamatanda, Joshua

Abstract

Theories are guided principles defining facts while using the outcome to predict the future. To some extent, hypotheses have also been used in support of several ideologies leading to theoretical evidence for scientists and the general public. In this perspective, financial theories are adopted to address debt and equity ethical dilemmas more so within pension fund portfolios according to financial pundits. Over time, pension fund managers in Kenya have been reaching out for known theories for possible adoption underpinning principals and theoretical framework when juggling with debts and equity decisions. This paper therefore addresses specific concerns raised by several proponents regarding financial theory practices interventions while considering relevant variables for the study. The conclusion of the matter is that the study illustrates how theories can be put into practice more so during decision making processes on specific portfolios.

Suggested Citation

  • Omollo, Harold & Olweny, Tobias & Oluoch, Oluoch & Wamatanda, Joshua, 2021. "Financial theories on pension fund portfolios in Kenya," MPRA Paper 109216, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:109216
    as

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    File URL: https://mpra.ub.uni-muenchen.de/109216/1/MPRA_paper_109216.pdf
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    References listed on IDEAS

    as
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    3. Myers, Stewart C, 1984. "The Capital Structure Puzzle," Journal of Finance, American Finance Association, vol. 39(3), pages 575-592, July.
    4. Stewart C. Myers, 1984. "Capital Structure Puzzle," NBER Working Papers 1393, National Bureau of Economic Research, Inc.
    5. Hovakimian, Armen, 2006. "Are Observed Capital Structures Determined by Equity Market Timing?," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 41(1), pages 221-243, March.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Capital structure theories; pension fund portfolios; financial theories and practices; debts and equity investments; optimal levels; exploratory variable s. debt equity ratios;
    All these keywords.

    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

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