Kathy joined UTS in July 2017. She has a research focus on capital markets. She has been published internationally and has attracted substantial research grant funding. Her current research is on Chinese capital markets with a particular focus on the internationalisation of the Renminbi. She recently co-authored a substantial report commissioned by the Centre for International Finance and Regulation. Her most recent project on offshore Renminbi centres was commissioned by the NSW Deptment of Industry and the Sydney Business Chamber. It was co-authored with Geoff Weir and was released on 4th November 2015.
Kathy has over 20 years’ experience as an academic with prior positions at ANU, University of NSW and Sydney University. She holds a PhD in finance from the Australian Graduate School of Management and a first class Honours Degree in Finance. Prior to her academic career Kathy worked for 10 years in the Insurance sector.
Large research grants:
- The importance of Being Politically Connected, ARC Discovery grant, 2015 $210,000
- Offshore RMB Hubs, NSW Govt and ANU, 2014, $160,000
- The Internationalisation of the Renminbi, CIFR and ANU, 2013, $250,000
- The Role of Corporate Governance Mechanisms in Maximising the Performance of Listed Australian Corporations, ARC Linkage, 2007, $262,000
Can supervise: YES
Internationalisation of the Renminbi, Chinese capital markets, asset pricing
Faff, RW, Kastelle, T, Axelsen, M, Brosnan, M, Michalak, R & Walsh, KD 2020, 'Pitching Research for Engagement and Impact – A Simple Tool and Illustrative Examples', Accounting and Finance.
Aman, H, Beekes, W, Berkman, H, Bohmann, M, Bradbury, M, Chapple, E, Chang, M, Clout, V, Faff, R, Han, J, Hillier, D, Hodgson, A, Howieson, B, Jona, J, Linnenluecke, M, Loncan, T, McCredie, B, Michayluk, D, Mroczkowski, N, Pan, Z, Patel, V, Podolski, E, Soderstrom, N, Smith, T, Tanewski, G, Walsh, K, Wee, M & Wright, S 2019, 'Responsible science: Celebrating the 50-year legacy of using a registration-based framework', Pacific-Basin Finance Journal, vol. 56, pp. 129-150.View/Download from: Publisher's site
Bohmann, M, Michayluk, D, Patel, V & Walsh, K 2019, 'Liquidity and earnings in event studies: Does data granularity matter?', Pacific-Basin Finance Journal, vol. 54, pp. 118-131.View/Download from: Publisher's site
© 2015 AFAANZ We employ Merton's probability of default as a continuous ex-ante measure of the likelihood of firm failure and dynamic panel generalised method of moments to better characterise the relationship between corporate governance and the chance of default. In doing so, we overcome limitations of discrete proxies widely used in previous studies and more completely account for endogeneity issues permeating this area of research. While initial testing designed to facilitate comparison with previous studies suggests a significant relationship between the probability of default and executive pay, board structure and ownership structure, once endogeneity concerns are accounted for, no such relationship remains.
Tan, DT, Chapple, L & Walsh, KD 2017, 'Corporate fraud culture: Re-examining the corporate governance and performance relation', Accounting and Finance, vol. 57, no. 2, pp. 597-620.View/Download from: Publisher's site
© 2015 AFAANZ We analyse the corporate governance and performance relation, when conditioning on corporate fraud, for fraud firms during 2000 – 2007. Fraud firms are identified as either self- reported fraud events, or subject to regulatory investigation. We use the inverse Mills ratio procedure to account for firms' (unobservable) fraud culture in the dynamic system GMM model of the performance- governance relation. We find that corporate governance is an endogenously determined characteristic that has no causal impact on firm performance when conditioning on fraud. Fraud is a significant regulatory event but its overall economic impact at the firm level is highly variable.
Clarke, K, Walsh, KD & Flanagan, J 2015, 'How prevalent are post-completion audits in Australia?', Accounting, Accountability and Performance, vol. 18, no. 2, pp. 51-78.
© The Author(s) 2014 The Life Cycle Hypothesis suggests that the primary motivation for saving is to accumulate resources in order to fund retirement. This suggests that investors have heterogeneous investment horizons, yet many tests of the CAPM assume homogeneous horizons. This paper estimates a time varying heterogeneous investment horizon using over 200 years of demographic data. We test the CAPM and its assumption that the Equity Risk Premium is positive using our estimated investment horizon. We conclude that the CAPM is not violated when tested over a horizon that more accurately reflects investor behavior.
Walsh, KD 2015, 'Renminbi Trade Invoicing: Benefits, impediments and tipping points', JASSA, vol. 2, pp. 33-41.
Smith, T & Walsh, K 2013, 'Why the CAPM is Half-Right and Everything Else is Wrong', ABACUS-A JOURNAL OF ACCOUNTING FINANCE AND BUSINESS STUDIES, vol. 49, pp. 73-78.View/Download from: Publisher's site
Schultz, EL, Tan, DT & Walsh, KD 2010, 'Endogeneity and the corporate governance - performance relation', AUSTRALIAN JOURNAL OF MANAGEMENT, vol. 35, no. 2, pp. 145-163.View/Download from: Publisher's site
Walsh, KD 2006, 'Is the Exante Risk Premium Always Positive? Further Evidence', Australian Journal of Management, vol. 31, no. 1, pp. 93-114.
Allen, DE, MacDonald, G, Walsh, KD & Walsh, DM 2002, 'Using Regression Techniques to Estimate Futures Hedge Ratios Some Results from Alternative Approaches Applied to Australian 10 Year Treasury Bond Futures', Research in International Business and Finance, vol. 16.
Guido, R & Walsh, K 2001, 'Equity Market Valuation: Assessing the Adequacy of Value Measures to Predict Index Returns', Australian Journal of Management, vol. 26, no. 2, pp. 163-196.View/Download from: Publisher's site
Following the work of Lee, Myers and Swaminathan (1999), we develop robust tests of their intrinsic value measure, along with other traditional measures of value, for the Australian Stock Market. Specifically, we apply the tests to a broadly matched version of the Australian Asia Pacific Extra Liquid Series (APELS), which was recently introduced to Australia. A primary motivation for the paper was to assess the suggestion implied in the US study of a violation of capital market efficiency, where the use of publicly available information, namely a fundamental valuation measure using consensus analysts forecasts, could be used to predict returns. Our results do not support the conclusions reached by Lee, Myers and Swaminathan (1999). Possible reasons for this are the differing Market structures, the use of a different Index or the use of alternative statistical tests. © 2001, SAGE Publications. All rights reserved.
Walsh, D, Walsh, KD & Evans, J 1998, 'Assessing estimation error in a tracking error variance minimization framework', Pacific-Basin Finance Journal, vol. 6, pp. 175-192.
Patel, V, Michayluk, D, Walsh, K & Bohmann, M 2018, 'Liquidity and earnings in event studies: Does data granularity matter?', Accounting & Finance Association of Australia and New Zealand Special Interest Group Conference, Auckland.
Clarke, KJ & Walsh, KD 1970, 'Do firms Firms Conduct Project Postmortems?', 2nd Asian Business & Management Conference Program & Proceedings, The International Academic Forum, 2nd Asian Business & Management Conference, Japan.
Tan, D & Walsh, KD 1970, 'Bears and Pairs', 2nd Asian Business & Management Conference Program & Proceedings, The International Academic Forum, 2nd Asian Business & Management Conference, Japan.
Pattenden, K & Walsh, KD 1970, 'Getting Sentimental about Japanese Bear Markets', 1st Asian Business & Management Conference Program & Proceedings, The International Academic Forum, 1st Asian Business & Management Conference, Japan.
Allen, D, Souness, N & Walsh, KD 1997, 'Panel Data Estimates of Minimum Variance Hedge Ratios on the Sydney Futures Exchange for Interest Rate Contracts', Econometric Society Australasian Meetings Conference Proceedings, Econometric Society Australasian Meetings, Melbourne, Australia.
Walsh, KD & Wier, G NSW Department of Industry 2015, Renminbi Internationalisation and the Evolution of Offshore RMB Centres: Opportunities for Sydney, pp. 1-151, Sydney, Australia.
Eichengreen, B, Walsh, KD & Weir, G Centre for International Finance and Regulation 2014, Internationalisation of the Renminbi: Pathways, Implications and Opportunities, Sydney, Australia.
Walsh, KD 2014, RMB Trade Invoicing: Benefits, Impediments and Tipping Points, 2nd Annual Hong Kong Australian Renminbi Dialogue, pp. 1-12, Canberra, Australia.
Faff, RW, Walsh, KD, Deng, Z, Dhawam, A, Dong, Y, Dronova, N, Duong, H, Gain, A, Guan, R, Guo, S, Holm, L, Klein, K, Kolouchova, D, Krupka, L, Kusz, L, Lee, A, Liu, A, Mehrotr, V, Mohan, R, Pokorny, L, Qvist-Soerensen, P, Procházka, D, Raut, S, Stevens, E, Sun, W, Thomas, A, Tiwari, M, To, M, Wang, A, Wang, J, Wardhany, N, Westermann, S, Yin, S & Zhong, Z 2018, 'Fantasy Pitching V: Doraemon, Handshaking, Spiders, Misery...'.
Walsh, KD 2016, 'China's currency plan still on track, despite global market volatility', The Conversation.
Cadden, J 2014, 'RBA's Lowe encourages freer renminbi trade', Sydney Morning Herald.
Casey, MJ 2014, 'China Yuan Reforms Seen Pushing Asset Markets Into World's Top Two', Wall Street Journal.
Cole, W 2014, 'China currency liberalization to be a 'seismic event': Australia', Reuters.
Doogue, G 2014, 'Financial ties with China', Radio National.
Lowe, P 2014, 'Some implications of the Internationalisation of the renminbi', Bank for International Settlements.
Redman, E 2014, 'Changes to RMB could benefit Aust: RBA', The Australian.
Ryan, F 2014, 'Why China will come up short in the currency battle', China Spectator.
Sheridan, E 2014, 'Central bank activity due in the Asian timezone today – a lot of it ...', ForexLive.
Walsh, K 2014, 'Australia – ideally placed as a leading RMB trading and clearing hub', Redback Reporter.
Walsh, K 2014, 'Renminbi's Rise as World Currency Brings Australian Implications', Global Custodian.
Walsh, K 2014, 'RMB to be key international reserve currency within a decade, report says', The Asset.
Weir, G 2014, 'Why the yuan's weakness is not an issue', CNBC.
Williams, M 2014, 'Hurdles to jumping on renminbi bandwagon', Asia-Pacific Banking + Finance.