Change search
ReferencesLink to record
Permanent link

Direct link
Investment Companies’ Discount Fluctuation on the Swedish Market: A statistical analysis regarding different micro-   and macroeconomic factors influence on Swedish closed-end funds’ discount
Jönköping University, Jönköping International Business School, JIBS, Economics, Finance and Statistics.
Jönköping University, Jönköping International Business School, JIBS, Economics, Finance and Statistics.
2013 (English)Independent thesis Advanced level (degree of Master (One Year)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

Closed-end funds’ (CEF) discount and discount fluctuations have been puzzling researchers for decades. Up to date, there are no multidimensional or cross-sectional variables that have been proved to influence CEFs simultaneously. Fact is that, earlier research and theories on the subject are contradictious and several suggestions on the origin of the CEF’s discount and its fluctuations have been proposed. To mention a few, investor sentiments, taxation issues, dividend policies, agency costs and agency problems are considered to influence these discounts.

The purpose of this report is to examine the relationship between micro- and macroeconomic variables fluctuations, and how these can explain the discount fluctuation of the Swedish CEFs.

This report focuses upon the CEFs traded at NASDAQ OMX Stockholm, which have been selected through a comprehensive multistage selection process. 10 CEFs were selected. Monthly data for calculating micro- and macroeconomic variables was collected for the period March 2003 – February 2013, which resulted in approximately 1 200 observations. OLS regression analysis, Fixed- and Random Effect Models and Hausman tests were conducted.

The findings conclude that some of this report’s chosen micro- and macro variables influence on the Swedish CEFs’ discount fluctuation, although these findings are conditioned. The CEFs’ individual characteristics or traits result in a significant impact on the fluctuation of CEFs’ discount. Hence, only by controlling these characteristics, multidimensional or cross-sectional micro- and macroeconomic variables can be proved to affect the CEFs’ discount fluctuation.

Place, publisher, year, edition, pages
2013. , 76 p.
Keyword [en]
Swedish, closed-end fund(s), investment companies, discount, fluctuation, time-invariant characteristics, seasonal effects, CEF, fixed- and random effect model, Hausman test, OLS regression
National Category
Business Administration Economics
URN: urn:nbn:se:hj:diva-21250OAI: diva2:623748
Subject / course
IHH, Business Administration
2013-05-27, Jönköping International Business School, Jönköpin, 10:40 (English)
Available from: 2013-08-26 Created: 2013-05-28 Last updated: 2013-08-26Bibliographically approved

Open Access in DiVA

Investment Companies’ Discount Fluctuation on the Swedish Market(1732 kB)608 downloads
File information
File name FULLTEXT01.pdfFile size 1732 kBChecksum SHA-512
Type fulltextMimetype application/pdf

Search in DiVA

By author/editor
Cau Nicklasson, RonnieHansson, Simon
By organisation
JIBS, Economics, Finance and Statistics
Business AdministrationEconomics

Search outside of DiVA

GoogleGoogle Scholar
Total: 608 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

Total: 183 hits
ReferencesLink to record
Permanent link

Direct link