CHANG, ERIC C.; CHENG, JOSEPH W.; YU, YINGHUI - In: Journal of Finance 62 (2007) 5, pp. 2097-2121
Short-sales practices in the Hong Kong stock market are unique in that only stocks on a list of designated securities can be sold short. By analyzing the price effects following the addition of individual stocks to the list, we find that short-sales constraints tend to cause stock overvaluation...