Stock exchange

About: Stock exchange is a research topic. Over the lifetime, 39566 publications have been published within this topic receiving 612044 citations.

Integrated reporting in South Africa: some initial evidence

Abstract: Purpose – This study aims to examine whether the integrated reports prepared in accordance with the King III Code of corporate governance regulation are providing the information intended of an integrated report, i.e. to communicate the “ability of an organisation to create and sustain value”. Second, it explains the behaviour of companies listed on the Johannesburg Stock Exchange (JSE) when responding to the regulation to publish an integrated report. The King III Code of corporate governance requires companies listed on the JSE to prepare annually an integrated report or provide reasons for not doing so. Design/methodology/approach – This paper uses legitimacy theory to formulate two alternative propositions on how JSE-listed companies may disclose information relating to a number of capitals, as described by the International Integrated Reporting Committee, in response to the King III Code. Annual/integrated reports of the top 25 JSE listed companies for the years 2009/2010 and 2011/2012 are content-analysed for the presence of information on capitals. The change in the extent of disclosure of capitals is analysed using t-tests to test the propositions. Findings – The results show that the introduction of integrated reporting in South Africa has resulted in an increase in the extent of disclosure of human, social and relational, natural and intellectual capital information of the listed companies. The increment in the disclosure of social and relational capital is statistically significantly greater than the increment in the disclosure of other capitals. The findings indicate that JSE-listed companies are adopting a legitimation strategy based on symbolic management when preparing integrated reports. Practical implications – This study sheds light on the relevance of regulating corporate reporting within a setting where companies are already voluntarily reporting on social, environmental, human, intellectual and natural capital information. Findings have implications for policymakers who have mandated or considering mandating integrated reporting. To the South African policymakers, in particular, this study highlights the need for incorporating, within the listing rules, minimum requirements in relation to the nature and content of an integrated report. Originality/value – This paper provides the first initial evidence on the impact of the introduction of integrated reporting regulation, followed by limited guidance to preparers, on the nature and extent of disclosure of capitals. This study extends the work of Solomon and Maroun (2012) by explaining disclosure practices of South African-listed companies in relation to information on relational, human and intellectual capital.

Stock market and aggregate economic activity: evidence from Australia

Abstract: Using the multivariate cointegration methodology, this article documents the evidence of long-run relationships between real stock price and measures of aggregate real activity including real GDP, real private consumption, real money and the real price of oil in the Australian market. Real stock return in Australia is related to temporary departures from the long-run relationship and to changes in real macroeconomic activity. The results also document that the information provided by the cointegration contain some additional information that is not already present in other sources of return variation such as term spread, future GDP growth or shocks to term spread. On the other hand, the influence of other markets, especially stock return variation in the US and New Zealand markets, significantly affects Australian stock return movements.

Electronic Call Market Trading

Abstract: Since Toronto became the first stock exchange to computerize its execution system in 1977, electronic trading has been instituted in Tokyo (1982), Paris (1986), Australia (1990), Germany (1991), Israel (1991), Mexico (1993), Switzerland (1995), and elsewhere around the globe. Quite likely, by the year 2000, floor trading will be totally eliminated in Europe, predominantly in favor of electronic continuous markets.

Forecasting stock exchange movements using neural networks: Empirical evidence from Kuwait

Abstract: Financial time series are very complex and dynamic as they are characterized by extreme volatility. The major aim of this research is to forecast the Kuwait stock exchange (KSE) closing price movements using data for the period 2001-2003. Two neural network architectures: multi-layer perceptron (MLP) neural networks and generalized regression neural networks are used to predict the KSE closing price movements. The results of this study show that neuro-computational models are useful tools in forecasting stock exchange movements in emerging markets. These results also indicate that the quasi-Newton training algorithm produces less forecasting errors compared to other training algorithms. Due to their robustness and flexibility of modeling algorithms, neuro-computational models are expected to outperform traditional statistical techniques such as regression and ARIMA in forecasting stock exchanges' price movements.

The Structure and Performance of the Money Management Industry

Abstract: IN 1990 TOTAL FINANCIAL assets in U.S. capital markets amounted to $13.7 trillion, of which $3.4 trillion was equities, and the rest were bonds, government securities, tax-exempt securities, and mortgages. These financial assets were held by two principal types of investors: individuals and institutions. The New York Stock Exchange defines an institution as a firm that employs professionals to manage money for the benefit of others (firms or individuals). At the end of 1990, $6.1 trillion of the total U.S. financial assets was held by institutions. Both the amount of institutional assets and the fraction of the total they represent have increased sharply over the past 30 years. In 1950, for example, institutional assets comprised $107 billion out of a $500 billion total, or 21 percent compared with 45 percent in 1990.1 The growth of institutional ownership of equities has paralleled their growth in the ownership of other financial assets. In 1955 institutions owned 23 percent of equities compared with 77 percent owned by individuals; in