Tony Chieh-Tse Hou
The impacts of stock characteristics and regulatory change on mutual fund herding in Taiwan.
Hou, Tony Chieh-Tse; McKnight, Phillip J.; Weir, Charlie
Phillip J. McKnight
This article analyses the trading activity of Taiwanese open-end equity mutual fund herding behaviour over the period of 1996-2008. We found evidence of both directional and directionless herding. We also found that sell-side fund herding leads to price stabilization, whereas buy-side herding results in prices adjusting slowly. We found that the abolition of qualified foreign institutional investor (QFII) has reduced directionless and sell-side herding but has had no effect on buy-side herding.
|Journal Article Type||Article|
|Publication Date||Feb 1, 2014|
|Journal||Applied financial economics|
|Publisher||Taylor & Francis|
|Peer Reviewed||Peer Reviewed|
|Institution Citation||HOU, T.C-T., MCKNIGHT, P.J. and WEIR, C. 2014. The impacts of stock characteristics and regulatory change on mutual fund herding in Taiwan. Applied financial economics [online], 24(3), pages 175-186. Available from: https://doi.org/10.1080/09603107.2013.866201|
|Keywords||Mutual funds; Herding; Regulatory change; Taiwan|
HOU 2014 Impacts of stock characteristics and regulatory