Low liquidity beta anomaly in China

نویسندگان

چکیده

The conventional risk-based theory does not reconcile with the liquidity-beta anomaly in China: Low stocks outperform high on a risk-adjusted basis. This striking pattern is robust to different weighting schemes, competing factor models, and other well-known return determinants cross section. We propose behavioral-based explanation low liquidity beta China. Consistent our new perspective, negative predictor Moreover, time variation of differential between led by investor sentiment after accounting for possible economic mechanism. • ones basis determinants. Liquidity anomaly. prevails over

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ژورنال

عنوان ژورنال: Emerging Markets Review

سال: 2021

ISSN: ['1566-0141', '1873-6173']

DOI: https://doi.org/10.1016/j.ememar.2021.100832