Journal ArticleDOI
Herding behavior in Chinese stock markets: An examination of A and B shares
TLDR
In this article, the authors examined herding behavior in dual-listed Chinese A-share and B-share stocks and found evidence of herding within both the Shanghai and Shenzhen Ashare markets that are dominated by domestic individual investors, and also within both B -share markets, in which foreign institutional investors are the main participants.Abstract:
This study examines herding behavior in dual-listed Chinese A-share and B-share stocks. We find evidence of herding within both the Shanghai and Shenzhen A-share markets that are dominated by domestic individual investors, and also within both B-share markets, in which foreign institutional investors are the main participants. Herding occurs in both rising and falling market conditions. Herding behavior by A-share investors in the Shanghai market is more pronounced under conditions of rising markets, high trading volume, and high volatility, while no asymmetry is apparent in the B-share market.read more
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An empirical analysis of herd behavior in global stock markets
Thomas C. Chiang,Dazhi Zheng +1 more
TL;DR: In this paper, the authors examined herding behavior in global markets and found evidence of herding in advanced stock markets (except the US) and in Asian markets, with the exception of the US and Latin American markets.
Journal ArticleDOI
Investor herding behaviour of Chinese stock market
TL;DR: In this article, the authors examined the existence and prevalence of investor herding behavior in a segmented market setting, the Chinese A and B stock markets, and found that investors exhibit different levels of herding behaviour, in particular, herding strongly exists in the B-share markets.
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Institutions and Information Environment of Chinese Listed Firms
Joseph D. Piotroski,T.J. Wong +1 more
TL;DR: In this paper, the authors describe the financial reporting practices and information environment of Chinese listed firms and document the influence that local and country-level institutions have on reporting incentives and the resultant information environment.
Journal ArticleDOI
Do investors herd in emerging stock markets?: Evidence from the Taiwanese market
TL;DR: In this paper, the authors extended investor herding studies to an emerging yet relatively sophisticated Taiwanese stock market at the sector level by using firm level data and employed different methodologies designed to test the existence of investor herds to better understand the sources of herd behavior.
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Cross-Country Effects in Herding Behaviour: Evidence from Four South European Markets
TL;DR: In this paper, the authors provide comprehensive evidence testing for the existence of herding effects in the Portuguese, Italian, Spanish and Greek market, constructing a survivor-bias-free dataset of daily stock returns during the period January 1998 - December 2008.
References
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ReportDOI
A simple, positive semi-definite, heteroskedasticity and autocorrelation consistent covariance matrix
Whitney K. Newey,Kenneth D. West +1 more
TL;DR: In this article, a simple method of calculating a heteroskedasticity and autocorrelation consistent covariance matrix that is positive semi-definite by construction is described.
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A Simple, Positive Semi-Definite, Heteroskedasticity and Autocorrelationconsistent Covariance Matrix
TL;DR: In this article, a simple method of calculating a heteroskedasticity and autocorrelation consistent covariance matrix that is positive semi-definite by construction is described.
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A Theory of Fads, Fashion, Custom, and Cultural Change as Informational Cascades
TL;DR: It is argued that localized conformity of behavior and the fragility of mass behaviors can be explained by informational cascades.
Journal ArticleDOI
A Theory of Fads, Fashion, Custom, and Cultural Change as Informational Cascades
TL;DR: In this paper, the authors argue that localized conformity of behavior and the fragility of mass behaviors can be explained by informational cascades, where an individual, having observed the actions of those ahead of him, to follow the behavior of the preceding individual without regard to his own information.
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Herd Behavior and Investment
TL;DR: In this paper, the authors examine some of the forces that can lead to herd behavior in investment and discuss applications of the model to corporate investment, the stock market, and decision making within firms.