Proactive Structural Dynamic China/Global Corporate Management and Governance Performance Stock Index Shanghai-Shenzhen 300 Simulation, Scandals Early Warning 

Dr. Warren Huang, Founder, OSA, USA  wh3928@yahoo.com    www.oaswh.com
Fenglan Zhang, Zhejiang University    joycezhang001@yahoo.com.cn
 

                 
                                                                 Abstract

  This paper demonstrated  Huang’s pioneering teaching, training global financial market research innovation work in  develope ,implement proactive structural dynamic global cost, financial, derivatives accounting, stock prices, identify the scandals cycle months, years ahead through asset bubbles, stock indices boom , bust  OSA ( Operation Simulation Analysis ).
 Thousands OSA
 simulators have been developed with government regulation, corporate management and auditing teams,  implemented for tracking last 20 years global corporate management and governance  performance by integrating central banks monetary, macro ,industrial economic control impact on daily interest rates, currency, stock  indices ,derivatives prices, and oils, housing, banking, finance markets, 20 industrial sectors commodities, products demand prices ,cost, financial derivatives accounting, stock prices and corporate governance stock indices.
    Huang  implemented these simulators for hundreds US, Taiwan, China, Hong Kong  multinationals oils,  banking, housing, SOE, listed stocks board members, internal, external auditing,  financial experts, CFA, CPA to maximize corporate profit and corporate governance,  transparency performances, scandals prevention and tracking last 20 years causes, onset, recovery early warning of global financial, banking energy, IT, energy housing asset bubbles boom and bust crisis, credit  default , scandals  cycles early warning.
    He directed numerous
goal, mission, performance oriented integrated  strategic, execution , corporate management  and governance OSA teams supported by proactive structural strategic corporate management and corporate governance OSA models.  These patented oil  price simulators  published on US 1983 Oil & Gas Journal, 4 millions global executives visited his www.osawh.com   
   Current US corporate governance performance evaluation  by S&P CGS ( corporate governance score )
based on scores on corporate ownership structure, transparency, shareholders interests and board of directors structures.
ISS ( Institutional Shareholders Service) and FTSE incorporate proven corporate governance  into  portfolio management,  financial index  are all based on  past  data,  questionnaire. While Brazil IGC governance stock index adding return of theoretical portfolio shares with good corporate governance.
  .China Nan-Kai University  CCGINK  ( China Corporate Governance Index)  include all US index questionnaires, providing  China proactive structural corporate governance indexing, including regional, industrial dynamics in  corporate governance issue covered 1000 listed companies, this index shown 55, 55.2 and 56 for 2004- 2006, indicating   as Shanghai index soared form 1300 to 3000.
   However, all these approaches fail to track global scandals cycles dynamic response of corporate governance index to macroeconomic control, industrial demand, supply, prices volatility financial systemic risks and corporate profits stocks price performance impact on CG index performance, as it peaking out with stock indices and stock prices which predicted by Huang  months ahead of 
US Enron, Worldcom, China Guanxia,  China life, Bank of China, China Aviation Oil, scandals in the last energy , IT bubbles and US AIG, Freddie Mac, Fannie Mae, China pension fund and properties scandal in 2007 housing boom, with average error below 1.5 %, correlation  over 0.95
    While Zhang completed full scope new generation of  China/US CPA/CFA, CFO  training by Dr. Huang's proactive strategic corporate governance  and  extended  proactive structural OSA asset pricing to proactive  Exponential GARCH estimation analysis  for tracking China Peoples Bank monetary, economic, fiscal ,WTO, macro

economic, housing bubble and market excessive liquidity control policy impact on Shanghai-Shenzhen 300 futures index simulation, and its impact on idustrial sectors, corporate financial accounting performances, internal auditing control,  maximize transparency and corporate performance.
Keyword:  Assets prices bubble,
 financial crisis,   corporate  scandals cycles,  board  structure,
corporate governance stock index

submitted to 4 th China international  corporate governance conference, Nankai University, Tianjin, China