This study uses a simultaneous equation model based on a three-stage least squares estimation to offer new empirical evidence that investors are hedgers or speculators during South Korea's elections. Major investor groups include individuals, securities companies, and foreigners in the Korea...

This article investigates the relationship between foreign investors' trading behaviour and political election events in South Korea and the effect of the relationship on the financial markets via a bivariate GARCH (1,1) model analysis. The empirical results show that the KOSPI 200 index return...