This study investigates the impact of flows between bond and equity funds on investment factors over the period 1984–2015.It determines contemporaneous mispricing effects and a statistical reversal relation between t...This study investigates the impact of flows between bond and equity funds on investment factors over the period 1984–2015.It determines contemporaneous mispricing effects and a statistical reversal relation between these flows and both legs of the investment factor.The statistical reversal relationship between previous flows and the investment factor is economically significant.A one-standard-deviation shock to flows causes a 0.29%decrease in investment factor returns,which are reversed within 5 months.A trading strategy based on signals from past flows and the investment factor outperforms the market by 0.68%in the months following positive flows and produces significant alphas after accounting for well-known equity risk factors.The findings are interpreted as evidence in favor of a behavioral explanation,in which sentiment influences actual managerial decisions.When retail investors and managers are swept up in market euphoria,retail investors shift their holdings from bond to equity mutual funds,and high-investment firms invest more aggressively.Market-level euphoria has a different impact on high-and low-investment firms,and thus the investment factor can be influenced.Hence,the mispricing occurs during these periods,and the reversal relationship is especially pronounced for a high-investment portfolio versus a low-investment portfolio.As a result,during the months following periods of positive flows,the investment factor outperforms the market factor.Interestingly,this study’s measure of flows,which serves as a proxy for market-level euphoria,outperforms other measures of investor sentiment.展开更多
The lack of proper knowledge about investment products can have a large negative influence on the financial well being of investors. Inspire of that, there is a dearth of studies conducted, specifically to investigate...The lack of proper knowledge about investment products can have a large negative influence on the financial well being of investors. Inspire of that, there is a dearth of studies conducted, specifically to investigate the factors influencing the knowledge of investors about investment products. This paper propose a model and investigates the direct and indirect （mediated through investor＇s enduring involvement with product） influence of investor＇s product importance perception （PIP） and need for cognition （NFC） on investor＇s knowledge of investment products. The hypothesized relationship is empirically validated in the context of mutual fund schemes （MFs）. Survey conducted on the sample of 268 MF investors suggests that there is an insignificant direct influence of investor＇s PIP and NFC on investor＇s knowledge of investment product （KIP）. However, when mediated through enduring involvement with product （EIP）, the influence was found to be significant. The results suggest that EIP perfectly mediates the influence of PIP and NFC on investor＇s KIP. The relevance of the results to the policy makers is also discussed.展开更多
The Investigain is a progressive web application to make mutual funds investments through a Systematic Investment Plan.The application utilizes the web’s modern capabilities,such as Asynchronous JavaScript and XML(AJ...The Investigain is a progressive web application to make mutual funds investments through a Systematic Investment Plan.The application utilizes the web’s modern capabilities,such as Asynchronous JavaScript and XML(AJAX),JavaScript,and Hypertext Marker Language(HTML5).The application also uses a powerful relational database management system,such as MySQL,to display asset management information.The application has two portals,one for investors and one for a particular asset manager or asset management company.Each investor has an account in the investor portal.The investor can view his/her profile,current balance,balance history,dividends,the units of mutual funds bought,unit price,the value of each mutual fund,and can pay installments using an embedded online payment gateway.Asset managers can monitor all investments,manage user accounts,and reimburse dividends using the admin portal.This paper also presents the experimental results of using the Investigain application,compares them with existing systems,and details the application’s prospect to improve its socio-economic conditions.The system’s frontend is designed with Bootstrap and jQuery frameworks.The backend is designed using Hypertext Preprocessor(PHP)server-side scripting language.The system demonstrated increased satisfaction from its clients.展开更多
During the annual sessions of the National People’s Congress(NPC)and the National Committee of the Chinese People’s Political Consultative Conference(CPPCC)this March,many foreign diplomats,journalists,and entrepren...During the annual sessions of the National People’s Congress(NPC)and the National Committee of the Chinese People’s Political Consultative Conference(CPPCC)this March,many foreign diplomats,journalists,and entrepreneurs in China closely followed the development of China’s policies to open further to the world and attract more foreign investment.The Government Work Report communicated the important message that China will expand high-standard opening-up and promote mutual benefits,which proved reassuring for foreign investors.展开更多
文摘This study investigates the impact of flows between bond and equity funds on investment factors over the period 1984–2015.It determines contemporaneous mispricing effects and a statistical reversal relation between these flows and both legs of the investment factor.The statistical reversal relationship between previous flows and the investment factor is economically significant.A one-standard-deviation shock to flows causes a 0.29%decrease in investment factor returns,which are reversed within 5 months.A trading strategy based on signals from past flows and the investment factor outperforms the market by 0.68%in the months following positive flows and produces significant alphas after accounting for well-known equity risk factors.The findings are interpreted as evidence in favor of a behavioral explanation,in which sentiment influences actual managerial decisions.When retail investors and managers are swept up in market euphoria,retail investors shift their holdings from bond to equity mutual funds,and high-investment firms invest more aggressively.Market-level euphoria has a different impact on high-and low-investment firms,and thus the investment factor can be influenced.Hence,the mispricing occurs during these periods,and the reversal relationship is especially pronounced for a high-investment portfolio versus a low-investment portfolio.As a result,during the months following periods of positive flows,the investment factor outperforms the market factor.Interestingly,this study’s measure of flows,which serves as a proxy for market-level euphoria,outperforms other measures of investor sentiment.
文摘The lack of proper knowledge about investment products can have a large negative influence on the financial well being of investors. Inspire of that, there is a dearth of studies conducted, specifically to investigate the factors influencing the knowledge of investors about investment products. This paper propose a model and investigates the direct and indirect （mediated through investor＇s enduring involvement with product） influence of investor＇s product importance perception （PIP） and need for cognition （NFC） on investor＇s knowledge of investment products. The hypothesized relationship is empirically validated in the context of mutual fund schemes （MFs）. Survey conducted on the sample of 268 MF investors suggests that there is an insignificant direct influence of investor＇s PIP and NFC on investor＇s knowledge of investment product （KIP）. However, when mediated through enduring involvement with product （EIP）, the influence was found to be significant. The results suggest that EIP perfectly mediates the influence of PIP and NFC on investor＇s KIP. The relevance of the results to the policy makers is also discussed.
基金Taif University Researchers Supporting Project number(TURSP-2020/98),Taif University,Taif,Saudi Arabia.
文摘The Investigain is a progressive web application to make mutual funds investments through a Systematic Investment Plan.The application utilizes the web’s modern capabilities,such as Asynchronous JavaScript and XML(AJAX),JavaScript,and Hypertext Marker Language(HTML5).The application also uses a powerful relational database management system,such as MySQL,to display asset management information.The application has two portals,one for investors and one for a particular asset manager or asset management company.Each investor has an account in the investor portal.The investor can view his/her profile,current balance,balance history,dividends,the units of mutual funds bought,unit price,the value of each mutual fund,and can pay installments using an embedded online payment gateway.Asset managers can monitor all investments,manage user accounts,and reimburse dividends using the admin portal.This paper also presents the experimental results of using the Investigain application,compares them with existing systems,and details the application’s prospect to improve its socio-economic conditions.The system’s frontend is designed with Bootstrap and jQuery frameworks.The backend is designed using Hypertext Preprocessor(PHP)server-side scripting language.The system demonstrated increased satisfaction from its clients.
文摘During the annual sessions of the National People’s Congress(NPC)and the National Committee of the Chinese People’s Political Consultative Conference(CPPCC)this March,many foreign diplomats,journalists,and entrepreneurs in China closely followed the development of China’s policies to open further to the world and attract more foreign investment.The Government Work Report communicated the important message that China will expand high-standard opening-up and promote mutual benefits,which proved reassuring for foreign investors.
