A study on the existence of a monthly effect on the selected stocks in the Philippine stock market for the period covering May 1994 to April 1998
Date of Publication
1998
Document Type
Bachelor's Thesis
Degree Name
Bachelor of Science in Commerce Major in Management of Financial Institutions
College
Ramon V. Del Rosario College of Business
Department/Unit
Financial Management
Abstract/Summary
The so-called monthly effect on stock returns suggests that the average or arithmetic mean returns during the first half of each month are higher than that of the second half (Ariel, 1987). The focus of this paper is to verify whether or not the stock returns on the selected stocks exhibit a monthly effect for the period covering May 1994 to April 1998. As part of our hypothesis, the null states that the mean return for the first half is equal or less than the mean return for the second half of each month. On the other hand, the alternative hypothesis will be stated as the mean return for the first half is significantly higher than the mean return for the second half of each month. The statistical tool used were T-statistic for the monthly basis and Z-statistics for both the individual stock and weighted Z-statistic. For the alternative hypothesis to be accepted, the computed T-statistic must be greater than 1.761 while the computed and weighted Z-statistic must be greater than 1.65. The results show that there is no significant evidence that the monthly effect on stock returns exist in the Philippine Stock Market for the covered period.
Abstract Format
html
Language
English
Format
Accession Number
TU08720
Shelf Location
Archives, The Learning Commons, 12F, Henry Sy Sr. Hall
Physical Description
92 numb. leaves
Keywords
Stock-exchange, Philippines; Floor traders (Finance); Stock-exchange and current events; Corporations
Recommended Citation
Alarcon, R., Almazar, O., Ducut, E., & Lubina, L. (1998). A study on the existence of a monthly effect on the selected stocks in the Philippine stock market for the period covering May 1994 to April 1998. Retrieved from https://animorepository.dlsu.edu.ph/etd_bachelors/16468