Do institutional investors have superior stock selection ability in China?

• 作者: Yihong Deng Yongxing Xu
• 来源期刊: 中国会计学刊：英文版
• 学科: 经济
• 关键词: INSTITUTIONAL INVESTORS STOCK selection ABILITY In
• 年，卷（期）: 2011,（3）
• 页码范围: 107-119
• 页数: 13页
• 分类号: F832.51

摘要

This paper uses unique data on the shareholdings of both institutional and individual investors to directly investigate whether institutional investors have better stock selection ability than individual investors in China.Controlling for other factors,we find that institutional investors increase(decrease)their shareholdings in stocks that subsequently exhibit positive(negative)short-and long-term cumulative abnormal returns.In contrast individual investors decrease(increase)their shareholdings in stocks that subsequently exhibit positive(negative)short-and long-term cumulative abnormal returns.These findings indicate that institutional investors have superior stock selection ability in China.