Download or read book Market Reaction to Bonus Issues and Stock Splits in India written by Koustubh Kanti Ray and published by . This book was released on 2011 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Corporate events have numerous effects on the stock market, as found by several research studies in the world. In this regard, the aim of this paper is to test the semi-strong form of efficiency in the Indian equity market, following an event study approach. The events considered in this paper are bonus issues and stock splits that took place in the market from 1996 to 2008. These events are tested for abnormal returns and liquidity. The data selected is free from the impact of confounding events. -30 to 30 days investigation window is taken for all the events to test the abnormal returns and the change in liquidity. The results suggest that the Indian market reacts to the stock split announcements but not to bonus issues, and the change in liquidity is significant for stock splits at 1% significance level, whereas with 5% level of significance both bonus issues and stock splits show significant change in liquidity from pre- to post-event period.
Download or read book Capital Market Reaction Around the Stock Splits and Bonus Issues written by Anirban Ghatak and published by . This book was released on 2014 with total page 14 pages. Available in PDF, EPUB and Kindle. Book excerpt: Over the years relationship between bonus issues or stock splits & stock prices has been the subject of much empirical discussion within the finance literature. According to theory, bonus issues increase the number of equity stocks outstanding but have no effect on stockholder's proportional ownership of stocks. The bonus issue or stock splits date is known well in advance and therefore should contain no new information. As such, one would not expect any significant price reaction on bonus issue or stock splits announcement. Contrary to this theoretical prediction, however empirical studies of bonus issues and stock splits have documented a statistically significant market price reaction. It is therefore a matter of concern that firms announcing bonus issues & stock splits experience rise in their stock prices on an average supporting semi-strong form Efficient Market Hypothesis (EMH). Generally the investigation of semi-strong form market efficiency has been limited to the study of well developed stock markets. The aim of this paper is to examine the stock price reaction to information release of bonus issues or stock splits with a view of examining whether the Indian stock market is semi-strong efficient or not. The event study methodology (Dolley 1993, Fama et al. 1969 and Brown & Warner 1980, 1985) has been used to contribute further evidence on the efficiency characteristics of the Indian stock market.
Download or read book Market Reaction Around the Stock Splits and Bonus Issues written by Satyajit Dhar and published by . This book was released on 2008 with total page 24 pages. Available in PDF, EPUB and Kindle. Book excerpt: It is often argued that stock splits and bonus issues are purely cosmetic events. However, many studies have found numerous stock market effects associated with bonus issues and stock splits. This paper examines the effects of these two types of events for the Indian stock market. We use the event study methodologies. The abnormal returns are calculated using the Capital Asset Pricing Model and then t-tests are conducted to test the significance. Consistent with the existence literatures, the two events are associated with significantly positive announcement effect. For bonus issues, the abnormal returns were about 1.8% and for stock splits, it was about 0.8%. On a whole, the paper finds evidence of semi-strong form efficiency in the Indian stock market.
Download or read book The Market Reaction to Stock Splits Evidence from India written by Asim Mishra and published by . This book was released on 2007 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: Stock splits are a relatively new phenomenon in the Indian context. This paper examines the market effect of stock splits on stock price, return, volatility, and trading volume around the split ex-dates for a sample of stock splits undertaken in the Indian stock market over the period 1999-2005. The traditional view of stock splits as cosmetic transactions that simply divide the same pie into more slices is inconsistent with the significant wealth effect associated with the announcement of a stock split. However, the empirical evidence confirms a negative effect on price and return of stock splits. The overall cumulative abnormal returns after the split are negative. These results suggest that stock splits have induced the market to revise its optimistic valuation about future firm performance, rejecting signaling hypothesis to which splits convey positive information to markets. Hence, stock splits have reduced the wealth of the shareholders. The results also show that presence of a positive effect on volatility and trading volume following the split events, thus suggesting that split events enhance liquidity.
Download or read book An Empirical Analysis of Market Reaction Around the Bonus Issues in India written by Asim Mishra and published by . This book was released on 2005 with total page 30 pages. Available in PDF, EPUB and Kindle. Book excerpt: Past researches have revealed significant abnormal returns for bonus issues even though the bonus issue date is known in advance and the distribution contains no new information. This study examines the stock price reaction to the information content of bonus issues with a view of examining the Indian stock market is semi-strong efficient or not. The period of the study is June 1998 to August 2004. Samples of 46 bonus issues have been used to study the announcement effect by using event study methodology. The results indicate that there are significant positive abnormal returns for a five-day period prior to bonus announcement in line with evidence from developed stock market. On the announcement day the average abnormal return of -0.10% is observed. The results provide stronger evidence of semi-strong market efficiency of the Indian stock market.
Download or read book Stock Market Reaction and Liquidity Changes Around Bonus Issue Announcement written by Madhuri Malhotra and published by . This book was released on 2007 with total page 12 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study examines share price reaction to the announcement of Bonus Issue for a sample of Indian Companies. Standard event study methodology has been used for the purpose of studying the Bonus issue announcement reaction. Bonus issue announcement yields negative abnormal returns around the announcement date. There is a negative reaction after the bonus issue announcement conveying that the market underreacts after the announcement. It is also observed that there is no information leakage prior to the announcement. Reduction in the liquidity ratio after the announcement is evidenced, though insignificant. All the three liquidity measures seem to be inconsistent with the enhanced trading liquidity expectation. Cross sectional regression shows that the number of shares issued, convey a positive signal to the investors. Further it has been evidenced that the size of the firm issuing bonus shares does not affect the abnormal returns of the company. The study supports Signaling Hypothesis and Cash Substitution Hypothesis.
Download or read book An Empirical Analysis of Stock Price Behaviour Around Bonus Issue Announcement in India written by Poonam Kumari and published by . This book was released on 2020 with total page 11 pages. Available in PDF, EPUB and Kindle. Book excerpt: Corporate actions announcement is usually assumed to offer good news to participants in market. In case of fictitious corporate action such as Bonus share issue, tend to react on market price positively or negatively. In light of this, present study aims to investigate the impact of Bonus Issue announcement on Indian stock market for the period of five years from 2014 to 2018. We applied event study methodology using a sample size of nine companies from BSE. Percentage Analysis, CAGR (Compounded Annual Growth Rate), Mean, Standard Deviation, Regression Analysis and t-test as statistical tools have been used to analyse and interpret the data. Investigation window (t-10 to t+10) taken for all bonus issue announcement event to test the abnormal return considering nine companies. The result reveals that Indian Stock market does not react to bonus share issue announcement. Thus, this paper contributes to the fact that there is no significant effect on stock price when a company announces the issue of bonus shares.
Download or read book Indian Management Thought And Practice written by Amit Gupta and published by Gyan Publishing House. This book was released on 2010-08 with total page 374 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Effects of Government Regulations on Financial Performance written by Dr. John Ntoiti, Dr. Samuel Kanga Odalo, Batista J. Mariko and published by AJPO Journals USA LLC. This book was released on 2022-02-17 with total page 127 pages. Available in PDF, EPUB and Kindle. Book excerpt: TOPICS IN THE BOOK Contribution of Government Regulations to Financial Distress Facing Local Authorities in Kenya Influence of Interest Rate on the Financial Performance of Agricultural Firms Listed at the Nairobi Securities Exchange Influence of Liquidity on the Financial Performance of Agricultural Firms Listed at the Nairobi Securities Exchange Effect of New Information from Rights Issue Announcement on Share Prices of Firm’s Listed on the Nairobi Security Exchange Effect of Volume of Shares Traded on Share Prices of Firm’s Listed on Nairobi Security Exchange Effect of Information Adjustment Time on Share Prices for Firm’s Listed on the Nairobi Security Exchange
Download or read book Solving Modern Crime in Financial Markets written by Marius-Cristian Frunza and published by Academic Press. This book was released on 2015-12-09 with total page 523 pages. Available in PDF, EPUB and Kindle. Book excerpt: This comprehensive source of information about financial fraud delivers a mature approach to fraud detection and prevention. It brings together all important aspect of analytics used in investigating modern crime in financial markets and uses R for its statistical examples. It focuses on crime in financial markets as opposed to the financial industry, and it highlights technical aspects of crime detection and prevention as opposed to their qualitative aspects. For those with strong analytic skills, this book unleashes the usefulness of powerful predictive and prescriptive analytics in predicting and preventing modern crime in financial markets. Interviews and case studies provide context and depth to examples Case studies use R, the powerful statistical freeware tool Useful in classroom and professional contexts
Download or read book Financial Management Practices in India written by Sandeep Goel and published by Routledge. This book was released on 2016-01-22 with total page 305 pages. Available in PDF, EPUB and Kindle. Book excerpt: Efficient financial management is the essence of business. This book analyses and evaluates core financial management practices of corporate enterprises in India across diverse sectors including realty, FMCG, pharmaceutical, automobile, IT, chemical and BPO sectors. It emphasizes the importance of the integrated process of capital investments, financing policy, working capital management and dividend distribution for shareholders for a developing economy as India. It further highlights the need for financial viability both in totality and segmental performance. The volume also offers a comparative study of the practices of the companies in different sectors to allow a better appreciation of the issues and challenges regarding management of finances. Rich in case studies, this book will be an indispensable resource for scholars, teachers and students of financial management, business economics as also corporate practitioners.
Download or read book Principles of Investment written by Patrick Maina Gachuhi, Grace W. Njoroge Kahura, Abbas Said Abubakar, Conrad K. Wambugu, Denis Ambundo Munala and published by Cari Journals USA LLC. This book was released on 2022-09-21 with total page 156 pages. Available in PDF, EPUB and Kindle. Book excerpt: TOPICS IN THE BOOK Effects of Bonus Issue on Stock Prices of Companies Quoted At the Nairobi Securities Exchange Social Cultural and Environmental Related Factors Influencing the Selection of Areas of Residence in Kenya: A Survey of Nairobi Residents Cost and Accessibility Related Factors Influencing the Selection of Areas of Residence in Kenya: A Survey of Nairobi Residents Islamic Banking and Investment Financing: A Case of Islamic Banking in Kenya Relationship between Oil Prices, Exchange Rates and Maize Prices in Kenya Constraints to Growth of Micro Finance Institutions in Nairobi County, Kenya
Download or read book Monthly Commentary on Indian Economic Conditions written by and published by . This book was released on 2006 with total page 422 pages. Available in PDF, EPUB and Kindle. Book excerpt: Includes annual numbers.
Download or read book The Republic of India written by Alan Gledhill and published by . This book was released on 2013 with total page 309 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book ICoSMI 2020 written by Eko Ruddy Cahyadi and published by European Alliance for Innovation. This book was released on with total page 1335 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book is the proceeding of the International Conference on Sustainable Management and Innovation (ICoSMI 2020) that was successfully held on 14-16 September 2020 using an online platform. The conference was mainly organized by the Department of Management IPB University in collaboration with Leibniz University of Hannover, Universiti Putera Malaysia, Kasetsart University, Tun Hussein Onn University of Malaysia, Tamil Nadu Teachers Education University, Deakin University, University of Adelaide, Forum Manajemen Indonesia, FE Pakuan University, FE Gajah Mada University FEB University of North Sumatra and FEB Andalas University, SBM Bandung Institute of Technology, FEB Lampung University, Perbanas Institute Jakarta, FE Bina Nusantara University, and SBE Prasetiya Mulya University. This conference has brought academic researchers, business practitioners as well as graduate students together to exchange their experiences and research results about most aspects of innovation and sustainability, and discuss the practical challenges encountered and the solutions adopted. About 402 delegates across the world including Indonesia, Malaysia, Thailand, Spain, China, and India have attended and presented their research works in the conference. The proceeding consists of 80 high-quality papers that were selected from more than 250 submitted papers. The papers are classified into 12 themes, namely Finance for Sustainability, Industry 4.0 and Future Business Sustainability, Policy and Strategy for Sustainable Innovation and Supply Chain, Smart Agriculture Management for Environmental Sustainability, and Sustainable Human Resources. Finally, we would like to express the greatest thanks to all colleagues in the steering and organizing committee for their cooperation in administering and arranging the conference as well as reviewers for their academic works and commitment to reviewing papers.
Download or read book Developing an Effective Model for Detecting Trade Based Market Manipulation written by Jose Joy Thoppan and published by Emerald Group Publishing. This book was released on 2021-05-05 with total page 86 pages. Available in PDF, EPUB and Kindle. Book excerpt: Developing an Effective Model for Detecting Trade-Based Market Manipulation determines an appropriate model to help identify stocks witnessing activities that are indicative of potential manipulation through three separate but related studies.
Download or read book Econophysics of Stock and other Markets written by Arnab Chatterjee and published by Springer Science & Business Media. This book was released on 2007-12-31 with total page 255 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book reviews the latest econophysics researches on the fluctuations in stock, forex and other markets. The statistical modeling of markets, using various agent-based game theoretical approaches, and their scaling analysis have been discussed. The leading researchers in these fields have reported on their recent work and also reviewed the contemporary literature. Some historical perspectives as well as some comments and debates on recent issues in econophysics research have also been included.
