Do Institutional Investors and Security Analysts Mitigate the Effects of Investor Sentiment?

2011 ◽  
Author(s):  
Bradford Cornell ◽  
Wayne R. Landsman ◽  
Stephen Stubben
Keyword(s):  
Institutional Investors ◽  
Investor Sentiment ◽  
Security Analysts

The Social Psychological Dynamics of Symbolic Management

2020 ◽  
pp. 180-205
Author(s):  
James Westphal ◽  
Sun Hyun Park
Keyword(s):  
Social Influence ◽  
Impression Management ◽  
Institutional Investors ◽  
Firm Strategy ◽  
Top Management Teams ◽  
Social Characteristics ◽  
Security Analysts ◽  
Top Executives ◽  
Symbolic Management ◽  
The Social

While previous chapters described dyad-level and group-level behavioral processes of symbolic management, in this chapter we examine processes of symbolic management at a more micro-level of analysis. We describe a kind of self-regulated cognition in which managers and directors reflect on personal and social characteristics held in common with colleagues, and avoid thoughts about attributes not shared, prior to interaction. We explain how such cognitions increase the efficiency and efficacy of social influence behavior toward powerful colleagues within the firm, security analysts, and powerful institutional investors. We further describe how managers engage in self-regulated cognition about firm strategy and governance prior to social influence opportunities with security analysts and institutional investors, and how such cognitions enhance the efficacy of impression management. We also reveal important side benefits of self-regulated cognition, including reduced symptoms of burnout in top executives, and reduced interpersonal conflict in diverse top management teams.

EMs will stay fragile despite improving sentiment

2016 ◽  
Keyword(s):  
Emerging Markets ◽  
Institutional Investors ◽  
Asset Prices ◽  
Focal Point ◽  
Investor Sentiment ◽  
Oil Prices ◽  
High Yield ◽  
Corporate Debt ◽  
Content Type ◽  
China’S Economy

Significance The improvement in investor sentiment stems mainly from the stabilisation of oil prices and an easing of concerns about China's economy, lifting asset prices in emerging markets (EMs) and convincing some institutional investors that EM equities have been oversold. However, a plethora of vulnerabilities in EMs, including recurring concerns about China's economy, provides scope for a renewed deterioration in sentiment. Impacts Investors could increase their exposure to US high-yield corporate debt, the focal point of market nervousness late last year. If the ECB disappoints market expectations of new monetary stimulus on March 10, sentiment will deteriorate again. Investors will differentiate between EMs, with Brazil suffering large outflows while Indonesia and Turkey enjoy sizeable inflows.

scholarly journals Investor Sentiment and Cross-Sectional Return after Share Issuance: Evidence from Seasonal Equity Offering in China Market

2020 ◽  
Vol 4 (1) ◽  
pp. 42
Author(s):  
Di Liu
Keyword(s):  
Institutional Investors ◽  
Stock Price ◽  
Abnormal Return ◽  
Investor Sentiment ◽  
Equity Financing ◽  
Cross Sectional ◽  
Controlling Shareholders ◽  
Private Placement ◽  
Positive Abnormal Return ◽  
Timing Hypothesis

Our research on private placement of equity on China capital market reveals that firms prefer to equity financing when their stock price is overvalued and investor sentiment is high, following the market timing hypothesis. However, after private issuance, we document a significant positive abnormal return within three years. We believe firms choose to polish their financial statement before the exit of institutional investors and controlling shareholders. Through manipulation of discretional accruals, firms improve the profitability and market valuation, and help institutional investors and controlling shareholders obtain the abnormal return after private placement of equity. Nevertheless, such manipulation cannot be sustained and will do harm to other investors in the long-term.

Institutional Investors on the Securities Market

2003 ◽  
pp. 95-101
Author(s):  
O. Khmyz
Keyword(s):  
Financial Crisis ◽  
Capital Market ◽  
Hedge Funds ◽  
Institutional Investors ◽  
Securities Market ◽  
Main Role ◽  
Investment Funds ◽  
Investment Process ◽  
The Capital Market

Acording to the author's opinion, institutional investors (from many participants of the capital market) play the main role, especially investment funds. They supply to small-sized investors special investment services, which allow them to participate in the investment process. However excessive institutialization and increasing number of hedge-funds may lead to financial crisis.

Pricing models of shares of Russian companies and their practical application

2019 ◽  
pp. 48-76 ◽  
Author(s):  
Alexander E. Abramov ◽  
Alexander D. Radygin ◽  
Maria I. Chernova
Keyword(s):  
Stock Market ◽  
Institutional Investors ◽  
Factor Model ◽  
Investment Strategies ◽  
Pricing Models ◽  
Foreign Portfolio Investment ◽  
Market Portfolio ◽  
Stock Market Performance ◽  
Long Time ◽  
Russian Stock Market

The article analyzes the problems of applying stock pricing models in the Russian stock market. The novelty of the study lies in the peculiarities of the methodology used and the substantive conclusions on the specifics of the influence of fundamental factors on the pricing of shares of Russian companies. The study was conducted using its own 5-factor basic pricing model based on a sample of the most complete number of issues of shares of Russian issuers and a long time horizon, from 1997 to 2017. The market portfolio was the widest for a set of issuers. We consider the factor model as a kind of universal indicator of the efficiency of the stock market performance of its functions. The article confirms the significance of factors of a broad market portfolio, size, liquidity and, in part, momentum (inertia). However, starting from 2011, the significance of factors began to decrease as the qualitative characteristics of the stock market deteriorated due to the outflow of foreign portfolio investment, combined with the low level of development of domestic institutional investors. Also identified is the cyclical nature of the actions of company size and liquidity factors. Their ability to generate additional income on shares rises mainly at the stage of the fall of the stock market. The results of the study suggest that as domestic institutional investors develop on the Russian stock market, factor investment strategies can be used as a tool to increase the return on investor portfolios.

Institutional Investors and Home Biased REITs

2016 ◽  
Author(s):  
Gianluca Mattarocci ◽  
Lucia Gibilaro
Keyword(s):  
Institutional Investors
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