Institutional Investment across Market Anomalies
نویسنده
چکیده
If a small firm effect exists, one would expect to see a trend towards proportionately greater investment in small firms. Among the most sensitive investors would be institutional investors who are constantly seeking to maximize their portfolio's rankings. This study examines changes in institutional investments on the basis of firm size, price/earnings ratios and Timeliness rankings. Institutional investors, in general, were found to have increased their interest in low price/earnings ratio firms and those with timely rankings, but not small firms. The study of decision making by institutional investment is becoming increasingly important as direct equity ownership declines.
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