The impact of foreign ownership on stock price return volatility of the financial, industrial, holding firms, property, service, mining & oil industry for the years 2008-2012
Date of Publication
Bachelor of Science in Management of Financial Institutions
Ramon V. Del Rosario College of Business
Financial Management Department
Defense Panel Chair
Tyrone Panzer Chan Pao
Defense Panel Member
Joe Santos Bisquera
The paper aims to assess the impact of foreign ownership on stock return volatility of the firms listed in the Philippine Stock Exchange (PSE) for years 2008 to 2012. Using a panel data random effect model (REM) regression, the researchers identify which among the six industries (financial, industrial, holding firms, property, service, mining & oil) in the market has the most and least stabilization effect on stock return volatility.
Amid global disruption, the improving performance of the country's economy, which is reflected on the stock market, attract foreign investors. It is however, a question whether these participants would want to take profit by having short-term or long-term investments. The researchers find that, on aggregate, foreign investors has a direct relationship on the volatility of stock returns implying their speculative characteristics and increased exposure of the domestic market to world market information. Finally, it is conlcuded in this study that the financial industry is least stabilized while property industry is almost stabilized.
Archives, The Learning Commons, 12F, Henry Sy Sr. Hall
194 leaves ; 28 cm.
Investments, Foreign; Stocks
Barroso, F. T., Co, J. O., Icaranom, D. G., & Jaranilla, J. H. (2014). The impact of foreign ownership on stock price return volatility of the financial, industrial, holding firms, property, service, mining & oil industry for the years 2008-2012. Retrieved from https://animorepository.dlsu.edu.ph/etd_bachelors/8048