Normal view MARC view ISBD view

Price and Liquidity Effects of Bonus Announcements : Empirical Evidence from Indian Stock Market

By:

Joshipura Mayank

Material type: Article

ArticleLanguage: ENG Series: ; 15Publication details: Nov 2009 0Edition: 11Description: 5-23 PpSubject(s):

Stock Evidence, Investments

DDC classification:

Online resources:

Click here to access online

Summary: This paper examines price and liquidity effects associated with stock dividend (bonus) surrounding its announcement and effective day by using event studies methodology. The results show that while there is sufficient evidence of positive abnormal return associated just prior to and on the announcement day, there is no significant return observed on ex-bonus day. On the contrary, significant negative abnormal return was found in long post-effective window (ED to ED+51 days). However, there is a significant improvement observed in trading volume surrounding the announcement and effective day of bonus.

Tags from this library: No tags from this library for this title. Log in to add tags.

Average rating: 0.0 (0 votes)

Holdings
Item type	Current library	Call number	Status	Date due	Barcode
Articles	Main Library	Jos (Browse shelf(Opens below))	Available		AR10987

Browsing Main Library shelves Close shelf browser (Hides shelf browser)

Previous	No cover image available	No cover image available	No cover image available	No cover image available	No cover image available	No cover image available	No cover image available	Next
Previous	Jos Role of States in Export Promotion	Jos Tick Tock, Tick Tock, Tick Tock...	Jos Empirical Study of the Work Attitudes of Generation Y College Students in the USA : The Case of Hospitality and Merchandising Undergraduate Majors	Jos Price and Liquidity Effects of Bonus Announcements : Empirical Evidence from Indian Stock Market	Jos Small is the New Big	Jos Continuous Supplier Performance Improvement : Effects of Collaborative Communication and Control	Jos Where to Invest in 2011	Next

This paper examines price and liquidity effects associated with stock dividend (bonus) surrounding its announcement and effective day by using event studies methodology. The results show that while there is sufficient evidence of positive abnormal return associated just prior to and on the announcement day, there is no significant return observed on ex-bonus day. On the contrary, significant negative abnormal return was found in long post-effective window (ED to ED+51 days). However, there is a significant improvement observed in trading volume surrounding the announcement and effective day of bonus.

There are no comments on this title.

to post a comment.