Can governance quality predict stock market returns? New global evidence
Data(s) |
01/11/2015
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Resumo |
We develop country-level governance indices using governance risk factors and examine whether country-level governance can predict stock market returns. We find that country-level governance predicts stock market returns only in countries where governance quality is poor. For countries with well-developed governance, there is no evidence that governance predicts returns. Our findings also confirm that investors in countries with weak governance can utilise information contained in country-level governance indicators to devise profitable portfolio strategies. |
Identificador | |
Idioma(s) |
eng |
Publicador |
Elsevier |
Relação |
http://dro.deakin.edu.au/eserv/DU:30073156/narayan-cangovernanace-inpress-2015.pdf http://dro.deakin.edu.au/eserv/DU:30073156/narayan-cangovernance-2015.pdf http://www.dx.doi.org/10.1016/j.pacfin.2015.02.007 |
Direitos |
2015, Elsevier |
Palavras-Chave | #Country characteristics #G3 #Governance #Predictability #Returns #Social Sciences #Business, Finance #Business & Economics #CORPORATE GOVERNANCE #FINANCIAL DEVELOPMENT #INDEX RETURNS #TIME-SERIES #GROWTH #SAMPLE #MATTER #COSTS #FIRM |
Tipo |
Journal Article |