Download pdf
The research on the effect on stock price of executives' selling behavior in Chinese GEM
- 1 Guanghua School of Management, Peking University
* Author to whom correspondence should be addressed.
Abstract
This paper empirically analyzes the impact of executives' reduction on stock price by taking the listed companies on Chinese GEM as research samples. The results show that the behavior of senior executives reducing their holdings will significantly reduce the stock price, and the effect changes in an inverted U-shape with the proportion of stocks reduced. Further research shows that for the companies with higher earnings per share and absolute price, the behavior of executives reducing their stock holdings will do more harm to the stock price.
Keywords
stock price, Chinese GEM, listed companies, executives' selling behavior
[1]. Aboody D. ,Hughes J. and Liu J, 2005, Earnings Quality, Insider Trading,and Cost of Capital[J]. Journal of Account- ing Research,43: 651 - 673.
[2]. Cheuk, M. Y., Fan, D. K., and So, R. W., 2006, Insider trading in Hong Kong: Some stylized facts [J]. Pacific-Basin Finance Journal, 14(1): 73-90.
[3]. Bhagat, S., and Black, B., 1999, The uncertain relationship between board composition and firm performance [J]. The Business Lawyer, 921-963
[4]. Xiaoqiu Wu.2011. China's growth enterprise market: current situation and future.Finance&trade economics.5-13
[5]. Hui Xu.2002. A Study On The Growth Enterprise Market In China[D] Shaanxi Normal University..1-2
[6]. Xupeng Wu.2013. An empirical study on the impact of the reduction of important shareholders in gem on stock price. Shanghai Jiao Tong University for the Master's Degree.12-24
[7]. Zhenbin Liu.2012. A study on the market effect of the increase and decrease of senior executives' shares in China's listed companies. [D]. Southwestern University Of Finance And Economics,17-19
[8]. Yuhuan Zhao，Ziying Ye .2012. An empirical study on the impact of gem executives' reduction on the stock market [J]. Foreign Economic Relations & Trade..99-110
Cite this article
Ma,X. (2021). The research on the effect on stock price of executives' selling behavior in Chinese GEM. Advances in Economics, Management and Political Sciences,1,8-15.
Data availability
The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.
Disclaimer/Publisher's Note
The statements, opinions and data contained in all publications are solely those of the individual author(s) and contributor(s) and not of EWA Publishing and/or the editor(s). EWA Publishing and/or the editor(s) disclaim responsibility for any injury to people or property resulting from any ideas, methods, instructions or products referred to in the content.
About volume
Volume title: Advances in Economics, Management and Political Sciences, Vol. 1
© 2024 by the author(s). Licensee EWA Publishing, Oxford, UK. This article is an open access article distributed under the terms and
conditions of the Creative Commons Attribution (CC BY) license. Authors who
publish this series agree to the following terms:
1. Authors retain copyright and grant the series right of first publication with the work simultaneously licensed under a Creative Commons
Attribution License that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this
series.
2. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the series's published
version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial
publication in this series.
3. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and
during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See
Open access policy for details).