Title of article :
Investigating the Effect of Excess Stock Returns Volatility on Investors’ Heterogeneous Perceptions: Investment Horizons Test
Author/Authors :
Hemati, Davood Department of Accounting - Central Tehran Branch - Islamic Azad University , Esmayeelzadeh, Ali Department of Accounting - Central Tehran Branch - Islamic Azad University , Kordlouie, Hamidreza Department of Accounting - Eslamshahr Branch - Islamic Azad University
Pages :
14
From page :
53
To page :
66
Abstract :
The nature of each investment is not something but to make more profit and more returns for investors. Accordingly, shareholders always seek to control the potential risks of investment through better market intelligence. Nevertheless, excess stock returns volatility caused by impairment in predicting expected returns do not allow investor perceptions in a market to be unified, and most decisions will be affected by emotions even at higher horizons. The purpose of this research is to investigate the effect of excess stock returns volatility on heterogeneous perceptions of investors with the mediating role of investment horizons. The statistical population of the research is the companies listed at the Tehran Stock Exchange. By systematic elimination sampling, 89 companies were selected as the sample that was studied during the period 2013 to 2017. In this research, due to the dummy nature of the dependent variable, logistic regression was used to test the research hypotheses. The results showed that the effect of excess stock returns volatility on investors’ heterogeneous perceptions is positive and significant. It was also found that investment horizons exacerbated the positive impact of excess stock returns volatility on investors’ heterogeneous perceptions.
Keywords :
Excess stock returns volatility , Investors’ heterogeneous perceptions , Investment horizons test
Journal title :
International Journal of Finance and Managerial Accounting
Serial Year :
2020
Record number :
2550323
Link To Document :
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