The Research On The Stock Market Response To Foreign Direct Investment News Announcement

With the further deepening of international division of labor and economic ties between the countries increasing, foreign direct investment has become a business development and expansion of an important path. However, the result of foreign direct investment and its impact on the stock market is often a surprise, and domestic literature of this field of study is relatively small. In this reality, the establishment of foreign direct investment with the news that the stock market reaction caused by the relationship between theory and model, in theory can fill and enrich our theoretical circles in this regard the vacancies in real economic activity, the first, it may reveal foreign direct investment companies operating in their behavior, to guide investors correct judgment of the company's external direct investment to their own interests the impact of its investment behavior tends to be more rational; the second, it can make the capital market real play their role in optimizing the allocation of resources; the third, it will enable companies in the choice of investments and investment behavior of this disclosure, more rational.Based on the above considerations, this thesis at home and abroad in the large number of relevant research literature available on the basis of the theory of the Efficient Market Hypothesis, the Tobin Q value and free cash flow theory conducted in-depth research, in light of Chinese stock market and listed companies to disclose information feature , raised the stock market reaction this assumption, the company investment opportunities assumptions, the operator investment Cause assumptions and factors affecting the stock market response model. Chinese listed companies eventually borrowed the public disclosure of data on the impact of various factors on assumptions and model is validated and verified the results in accordance with the proposed amendment model.In the thesis, according to Chinese stock market and listed companies in public statements and the disclosure of the existence of defects in the general international definition and calculation of indicators on the basis of this thesis proposed for variable definition and calculation formula. In the sample data collection and screening process, can be found in Chinese capital market, listed companies have not better fulfill its duty to disclose information, only three listed companies to foreign direct investment that the disclosure of major operational matters. The samples for linear regression, the broken line analysis and plot analysis, the thesis found that the listed company news that foreign direct investment is the lack of access to a very earnings in the stock market reaction to the impact of factors, single company the non-recurrent yield and investment opportunities between the companies is a positive correlation between the operators while the Cause exists a negative correlation between. The influencing factors on the stock market response model verification and found Tobin Q value, free cash flow and the nature of the host economy is a greater impact on the stock market reaction to the three factors, as the premise for the construction of the revised model.