In this paper, we make a doubt to the currently widely used sentiment index construction method proposed by Baker and Wurgler (2006). After analyzing its prerequisites, we put forward a new methodology for distinguishing between rational and irrational sentiment based on the idea of extracting...

Purpose – The purpose of this paper is to analyze the trading behaviors of retail investors and investigate their impacts on stock returns. Design/methodology/approach – As retail investors are considered as the main noise traders in the capital market, using the trading records of Chinese...

Purpose – The purpose of this paper is to analyze the trading behaviors of retail investors and investigate their impacts on stock returns. Design/methodology/approach – As retail investors are considered as the main noise traders in the capital market, using the trading records of Chinese...

This paper shows that the empirical distribution of cross-sectional analyst coverage in China’s stock market maintains an exponential pattern for each year and each month from 2011 to 2020. Moreover, the parameter λ of coverage distribution is directly related to market risk premium....

Sovereign Wealth Funds (SWFs) are state-owned investment funds that invest in real and financial assets. Since the global financial crisis in 2008, SWFs' investments have resulted in national security concerns of host countries because SWFs continue to expand rapidly and have become increasingly...