Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
Media Coverage and Abnormal Trading Volume
Uppsala University, Disciplinary Domain of Humanities and Social Sciences, Faculty of Social Sciences, Department of Business Studies.
Uppsala University, Disciplinary Domain of Humanities and Social Sciences, Faculty of Social Sciences, Department of Business Studies.
2017 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

In this study, we examine the media coverage effect on abnormal trading volume using two frameworks: divergence of opinion and information asymmetry. Our sample consists of 420 Swedish small cap firms and includes 125 000 articles from over 800 Swedish media sources. Utilising three definitions of abnormal trading volume, we find that media coverage of a stock leads to positive abnormal trading volume for that stock. Media coverage on any given day increases divergence of opinion and decreases information asymmetry among investors. The media coverage effect is dependent on both the frequency and source of coverage. We find that sources with broad information dissemination have greater impact on investor behaviour than sources with narrow dissemination and that information dissemination rather than production is more impactful for firms with low investor recognition. Further, the media coverage effect on divergence of opinion is stronger for firms with high investor recognition. However, the media coverage effect on information asymmetry is not stronger for firms with high investor recognition but instead, decreases with firm size. Thus, our results suggest an important distinction between the two frameworks.

Place, publisher, year, edition, pages
2017. , p. 39
Keywords [en]
media coverage, abnormal trading volume, divergence of opinion, information asymmetry, investor recognition
National Category
Business Administration
Identifiers
URN: urn:nbn:se:uu:diva-324709OAI: oai:DiVA.org:uu-324709DiVA, id: diva2:1111060
Educational program
Master Programme in Business and Management
Supervisors
Examiners
Available from: 2017-06-22 Created: 2017-06-16 Last updated: 2017-06-22Bibliographically approved

Open Access in DiVA

Fahlman & Pettersson (2017)(845 kB)249 downloads
File information
File name FULLTEXT01.pdfFile size 845 kBChecksum SHA-512
5c5f6646efeb3e78df0531dcf23df26a270982868de64498e6726f0626908468b7044207852056f3c7502649dfe0f1c535ac0f557bb7c96f7d0f311dc7c4b530
Type fulltextMimetype application/pdf

By organisation
Department of Business Studies
Business Administration

Search outside of DiVA

GoogleGoogle Scholar
Total: 249 downloads
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

urn-nbn

Altmetric score

urn-nbn
Total: 330 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf