Download or read book The Efficiency of China s Stock Market written by Shiguang Ma and published by Routledge. This book was released on 2017-11-30 with total page 302 pages. Available in PDF, EPUB and Kindle. Book excerpt: By investigating the efficiency of China's stock market in accordance with the theoretical framework of the Efficient Market Hypothesis, this book focuses on weak form and semi-strong form market efficiency. Empirical tests have been intensively conducted on the random walk hypothesis, the presence of market seasonality and the price reaction to publicly released information. In addition The Efficiency of China's Stock Market provides a comparative analysis between China's stock market and other countries' stock markets.
Download or read book A Preliminary Investigation of the Effect of Institutional Investors on the Stock Market written by Bert Brook and published by . This book was released on 1963 with total page 90 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Efficiency and Anomalies in Stock Markets written by Wing-Keung Wong and published by Mdpi AG. This book was released on 2022-02-17 with total page 232 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Efficient Market Hypothesis believes that it is impossible for an investor to outperform the market because all available information is already built into stock prices. However, some anomalies could persist in stock markets while some other anomalies could appear, disappear and re-appear again without any warning. A Special Issue on "Efficiency and Anomalies in Stock Markets" will be devoted to advancements in the theoretical development of market efficiency and anomaly in the Stock Market, as well as applications in Stock Market efficiency and anomalies.
Download or read book STOCK MARKET BEHAVIOR AND INTEGRATION AMONG GLOBAL STOCK MARKETS AN EMPIRICAL INVESTIGATION written by Arul Sulochana Y and published by Faculty of Management Sciences. This book was released on 2022-07-28 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Investors and researchers have been paying more attention to the emerging stock markets performance. Analysing stock market behaviour and stock market efficiency is important for investors because it allows the investors to understand the stock market behaviour better and consequently make more sensible choices. The investors can make above average profits through investments in different markets by taking advantage of any abnormalities when they occur. In the context of globalization and increasing opportunities to the investors to invest abroad, it is essential for the international portfolio investors from India to understand the level of interdependence among the major stock markets in the world and its impact on the Indian stock market.Efficiency in the domestic stock market has important implications for issuers of equity and portfolio investors. Furthermore, an efficient stock market can attract foreign portfolio investment, support domestic savings and improve the mobility of capital and financial resources. Market efficiency has an important bearing on fund managers and investment bankers and more specifically the investors who are seeking to diversify their portfolio internationally. With increased movement of investment across international boundaries due to the integration of world economies, understanding of global stock market efficiency is also gaining greater becoming more important.It is difficult for the foreign institutional investors to identify profitable markets during negative global cues. Framing an investment policy is difficult by considering native market behaviour alone. Stock market operations are dynamic in nature. newline.
Download or read book An Empirical Investigation of the Efficient Stock Market Hypothesis written by Jianing Fang and published by . This book was released on 2005 with total page 142 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book The Efficient Market Hypothesis written by and published by . This book was released on 2010 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Investing in a market where people believe in efficiency is like playing bridge with someone who has been told it doesn t do any good to look at the cards written by Charles Ekweruo and published by GRIN Verlag. This book was released on 2011-12-08 with total page 25 pages. Available in PDF, EPUB and Kindle. Book excerpt: Essay from the year 2011 in the subject Business economics - Investment and Finance, grade: 1, University of Bradford (School of Management-Business School), course: Capital Market Investment And Finance, language: English, abstract: “In an efficient market, security (example shares) prices rationally reflect available information” (Arnold 2005, p.684). The efficient market hypothesis (EMH) refers to share price movement with respect to available information and thus no trader will be presented with an opportunity of making supernormal profits (except by chance), therefore their profits on a share will reflect the riskiness associated with that shares (Pike and Neal 2009). However, “detailed investigations using advanced econometric techniques, larger data sets, increasingly powerful computing ability, and alternative theoretical models have in the last few years revealed a range of anomalies when the unpredictability-of -returns hypothesis is tested. Financial markets are often predictable to some extent, but the crucial question is whether this predictability can be exploited to make excess profits from trading in the markets‖ (Mills 1992, as cited by Coutts, 2000, p.579). Warren Buffet, known as one of the most successful investors in history, is convinced that stock markets are inefficient. ''I think it's fascinating how the ruling orthodoxy can cause a lot of people to think the earth is flat. Investing in a market where people believe in efficiency is like playing bridge with someone who has been told it doesn't do any good to look at the cards'' (Buffet, 1984, as cited by Davis, 1990, p.4). Buffet is referring to the fact that market price movements are often caused by emotional purchases and sales of stocks, resulting to an inefficient market, in other words, irrational market prices (Buffet, 1984). However, there are financial economists who see it the other way round. They agree with the “Efficient Market Hypothesis” which states that security prices rationally reflect only available information (Arnold, 2005, p. 684) (see fig 1) therefore inhibiting the possibility of beating the market. According to this theory, there does not exist under- or overvalued shares, only true and fair values. It is difficult to say which side is right and which side is wrong, as both are based on logical reasoning and transparent facts. This paper will therefore, evaluate both concepts using different theories and ideas from those for and those against the EMH in order to find a conclusion which is reasonable and flexible enough to support a constructive point of view (based on pragmatism) and to better understand if Buffet‟s statement is true or false or maybe both.
Download or read book Efficient Market Hypothesis written by Mario Chinas and published by . This book was released on 2018-12-12 with total page 184 pages. Available in PDF, EPUB and Kindle. Book excerpt: This is the Full Colour version of the book including all the research data and analysis tables in the appendices. There is also a Black & White version, available at a discount, that does not include the research data and analysis tables.What is a Stock Market? How do stock markets operate? Who invests in a stock market and when is it an appropriate tool for investment? Why do we care if a stock market is efficient or not? Where can we find evidence of market efficiency? With what tools can we test market efficiency?These are some of the questions that this book approaches. The Efficient Market Hypothesis (EMH) is a theory in financial economics, developed by Eugene Fama, which states that asset prices fully reflect all available information. Thus, it is implied that stocks always trade at their fair value, making it impossible for investors to "beat the market" via technical or fundamental analysis, since market prices should only react to new information.There are three variants of the EMH: "weak," "semi-strong," and "strong" form. The weak form of the EMH claims that prices already reflect all past publicly available market information. The semi-strong form claims that prices reflect all publicly available information, thus price changes occur to reflect new publicly available information. The strong form adds to this that prices instantly reflect even hidden private "insider" information.Testing the EMH is no easy task: Quantifying the availability of information and its effect on prices and market efficiency is challenging, making research on the subject difficult, time consuming and open to criticism. However, anecdotal evidence suggests that markets at best reach semi-strong form efficiency, with weak form efficiency being the norm. However, even this is challenged by the critics of EMH, via concepts such as Behavioural Finance.This book aims to familiarise the reader with the concept of EMH, covering the fundamentals and relevant literature. We then discuss market efficiency tests for Weak Form Market Efficiency, examining in more detail the day-of-the-week effect and its significance on stock market efficiency. The day-of-the-week effect is defined as a pattern where a certain day of the week has abnormal returns continuously. It is an anomaly that violates the random walk hypothesis, and thus implies that a market is not Weak Form efficient.We put theory into practice through the Empirical Research section which is divided into two parts, looking at two different approaches to researching the day-of-the-week effect, via the examination of actual research examples on a small European stock exchange. Both of these Thesis tested the hypothesis of random walk to determine the authenticity of weak form market efficiency for a small emerging stock market within the EU (the Cyprus Stock Exchange).
Download or read book Irrational Exuberance Reconsidered written by Mathias Külpmann and published by Springer Science & Business Media. This book was released on 2013-03-20 with total page 233 pages. Available in PDF, EPUB and Kindle. Book excerpt: Mathias Külpmann presents a framework to evaluate whether the stock market is in line with underlying fundamentals. The new and revised edition offers an up to date introduction to the controversy between rational asset pricing and behavioural finance. Empirical evidence of stock market overreaction are investigated within the paradigms of rational asset pricing and behavioural finance. Although this monograph will not promise the reader to become a millionaire, it offers a road to obtain a deeper understanding of the forces which drive stock returns. It should be of interest to anyone interested in what drives performance in the stock market.
Download or read book An Empirical Investigation of the Efficient Market Hypothesis written by Christos Alexakis and published by . This book was released on 1992 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Market Efficiency in U S Stock Markets written by Colin M. Van Oort and published by . This book was released on 2018 with total page 112 pages. Available in PDF, EPUB and Kindle. Book excerpt: The U.S. National Market System (NMS), the largest marketplace in the world for securities and exchange traded funds, suffers from geographic market fragmentation which leads to reduced market efficiency. Communication lines transmit price updates and other information between geographically isolated exchanges at varying speeds, bounded above by the speed of light. Market participants have access to federally mandated information provided by the Securities Information Processor (SIP) and privately offered information provided by the exchanges, often called direct feeds. These feeds are quantitatively and qualitatively distinct, with the direct feeds tending to provide more information at a faster rate than the SIP feed. Differences between the SIP and direct feeds can lead to information asymmetries between market participants, which in turn create arbitrage opportunities. Under the market conditions of the NMS in 2016, these arbitrage opportunities occur regularly and many can be captured by market participants with fast connectivity. Several methods exist which allow market participants to reduce their communication latency with trading centers, including the practice of co-location where market participants pay to have their trading infrastructure located in the same building as the matching engines of an exchange. Such regularly occurring and executable arbitrage opportunities run counter to the Efficient-Market Hypothesis (EMH) in all forms, where even the weak form of the EMH claims that market participants should not be able to systematically profit from market inefficiencies [1, 2]. This thesis investigates the market inefficiencies and related effects introduced by geographic market fragmentation in two baskets of stocks: the Dow Jones Industrial Average (Dow), and the 30 largest stocks by market capitalization in the Standard & Poor's 500 index (S&P 30).
Download or read book An Empirical Investigation of the Distribution of Stock market Prices and Weak form Efficiency of the Brussels Stock Exchange written by Baldomero V. Regidor and published by . This book was released on 1979 with total page 546 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book An Investigation of the Weak Form of the Efficient Market Hypothesis Using Neural Networks written by Michelle P. Augustine and published by . This book was released on 1999 with total page 258 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book An Empirical Investigation of the Efficient Market Hypothesis the Case of the Athens Stock Exchange written by and published by . This book was released on 1992 with total page 267 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book An Empirical Investigation of the Efficient Market Hypothesis in Various Time Frequencies Using Economic Financial and Accounting Data written by Theophano Patra and published by . This book was released on 2004 with total page 227 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Money and Stock Returns written by Jean-Louis Masson and published by . This book was released on 1982 with total page 72 pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book High Frequency Trading Market Impact written by Aurélien Struby and published by . This book was released on 2012 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This thesis investigates the impact of high frequency trading (HFT) on the stock market. In the first part I create a contextual picture by outlining HFT's history and evolution over time and reviewing changes it brought to markets structure. In particular, I focus on new risks HFT is linked to by taking the example of May 6, 2010 flash crash. Finally, I examine the regulatory environment and its adaptation to those new practices. In the second part I conduct an empirical analysis to assess the impact of HFT on 22 US stocks' price volatility and spread, conducting a time analysis and an event study with a dataset retrieved from CRSP. My time analysis results suggest that HFT significantly lowers intra-day spread over time but does not particularly affect closing spread. It seems that HFT also has a small but significant negative effect on stock volatility. The event study shows concurring results for volatility but contradictory results for spreads. In both cases precaution is required as no causality between HFT and market effect can be inferred.
