Author/Authors :
TAHAOĞLU, ÇAĞDAŞ Middle East Technical University, Turkey , GÜNER, Z. NURAY Middle East Technical University - Department of Business Administration, Turkey
Title Of Article :
AN INVESTIGATION OF RETURNS TO INSIDER TRANSACTIONS: EVIDENCE FROM THE ISTANBUL STOCK EXCHANGE
Abstract :
In this paper, the return performance of insiders of companies listed on the Istanbul Stock Exchange (ISE) from their open market transactions and that of uninformed investors (outsiders) following insider transactions announced to the public are examined by using a portfolio approach. It is found that, depending on the affiliation of the insider with the company, abnormal returns from their sale transactions last over longer periods than their purchase transactions. Furthermore, outsiders can also earn abnormal returns by mimicking sales of affiliated shareholders of a company. Findings of this study imply that the ISE is neither Semi Strong nor Strong Form Efficient.
NaturalLanguageKeyword :
insider trading , emerging market , Istanbul Stock Exchange , ISE , market efficiency.
JournalTitle :
Bogazici Journal
