NYSE vs NASDAQ returns: market microstructure or the poor performance of initial public offerings?
Article Abstract:
Differences in the types of companies whose stocks are traded on the New York Stock Exchange and the NASDAQ system may explain much of the reported variation in average returns of securities listed in the two systems in the period 1973-1988. Lower returns for NASDAQ securities, on average, are linked to poor performance of IPOs, which made up a considerable segment of NASDAQ stocks at the time. The preponderance of growth stocks on the NASDAQ exchange and value stocks on the New York exchange accounts for a good portion of the 6% differential measured for average stock returns.
Publication Name: Journal of Financial Economics
Subject: Economics
ISSN: 0304-405X
Year: 1993
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Positive information from equity issue announcements
Article Abstract:
Positive or negative stock price responses are possible results of predictions of a model for reaction to announcement of a new equity issue. Extending the Myers and Majluf model with allowance for the possibility of negative net present value for potential projects, the refined model is used to form predictions of stock price movement after a new share issue announcement. Such an announcement has been thought to usually convey negative information about a firm, resulting in stock prices moving lower. A more complicated situation has been revealed by recent research, however.
Publication Name: Journal of Financial Economics
Subject: Economics
ISSN: 0304-405X
Year: 1993
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Measuring stock illiquidity: an investigation of the demand and supply schedules at the TASE
Article Abstract:
The elasticity of demand and supply for stocks is examined from the stocks traded on an opening day at the Tel Aviv Stock Exchange. The methods of estimation of price impact are discussed.
Publication Name: Journal of Financial Economics
Subject: Economics
ISSN: 0304-405X
Year: 2004
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