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Original scientific paper

https://doi.org/10.17535/crorr.2015.0026

The Baltic Dry Index and performance excellence in a crisis environment

Elza Jurun ; Faculty of Economics Split, University of Split, Split, Croatia
Nada Ratković orcid id orcid.org/0000-0003-2624-5412 ; Ekonomski fakultet, Sveučilište u Splitu, Split, Croatia
Frano Moro ; Moro & Moro j.d.o.o., Otok Dalmatinski, Croatia


Full text: english pdf 329 Kb

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Abstract

This paper focuses on an approach to analyzing the relationship between the Baltic Dry Index (BDI) as the main indicator of the cyclical nature of the maritime market and the performance excellence of the representative shipping companies. Results have shown that there is a strong positive correlation between average annual BDI values and performance excellence indicators measured by the traditional adjusted Altman Z-score as well as the recent indicator, the Bex Index. BDI as the most comprehensive indicator of global demand for commodities and raw materials is also analyzed as a supply and demand signal on the stock market. The aim was to test the hypothesis that BDI also functions as a signal that promptly responds to crisis effects. The methodological procedure has been carried out using a real database spanning from 1985 to 2013 where the results have confirmed the hypothesis.

Keywords

Baltic Dry Index; performance excellence; Bex Index; adjusted Altman Z-score; maritime market; shipping companies excellence

Hrčak ID:

148265

URI

https://hrcak.srce.hr/148265

Publication date:

31.10.2015.

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