Empirical Study Of Shareholders Placards Influence The Stock Price Of Listed Companies

With the changes in China’s economic situation and the continuous improvement of the domestic financial market,the event of domino increase in holdings showed a spurt increase.The domino increase is regarded as good news for listed companies.Once a placard announcement is released,it often causes fierce market reaction.At the same time,because mega-upholding involves a large number of stock transactions in a relatively short period of time,it can easily cause the company’s stock price to skyrocket and plunge.As a result,market volatility has increased,which has attracted intense attention from investors,listed companies and regulators.Domestic scholars have less research on domino holdings,and most of the samples are pre-2010 data.The data is relatively old.There is very little research on the holding of dominoes after2015.The issue of domino holdings in the A-share market should be further studied.And assessment.This article first introduced the main players of securities investment funds,insurance funds and industrial capital.Secondly,a detailed sample analysis was conducted on listed companies listed on the market according to the industry,average price,market value,price-earnings ratio,shareholding structure,and business conditions.It was found that listed companies with placards were mostly small in market value in traditional industries.Diversified stocks,small capital stocks,and low stock price listed companies.This article first sorts out the relevant literature on dominoes and holdings,and then analyzes the relevant knowledge of placards,the main body of placards,and the listed companies that are placarded,and applies the event research method to the A-share market in 2015-2017.The typic holdings data were used for empirical research.Ten days before and after the placard announcement date was selected as the time window.Empirical evidence was based on full sample evidence and industry,market capitalization,first placards,and second placards,equity structure,and market categories.Calculate the sample company’s average cumulative excess return rate during the time window to study the domino overweight holding and draw the following conclusions:First,from the sample’s overall perspective,the market reaction of domino holdings is positive and can bring about significant excess return in the short term.Secondly,from the market point of view,the excess return rate in Shenzhen is the largest,followed by the Shanghai Stock Exchange.The excess return on the Growth Enterprise Market is the smallest.Third,from the industry point of view,the excess return rate of the real estate industry is the largest,the excess return rate of the wholesale and retail industry is the smallest,the excess return rate of the financial industry is middle,and the market response of the real estate industry is the largest.Fourth,from the perspective of equity structure,the excess return rate of the top ten shareholders of the placarded company with a shareholding ratio of more than50% is significantly higher than that of the licensed company with a shareholding ratio of less than 50%.Shareholders’ shareholding ratio is the largest among 20%-30%.Fifth,judging from the market value,the excess return rate of the company whose licensing company’s market value is under 5 billion yuan and greater than 10 billion yuan is relatively large,and the market response is relatively large.The company’s excess return rate is the smallest with market capitalization of5-10 billion yuan.Sixth,during the window period,the excess yield of the first placard is significantly better than that of the second placard.The influence of the first placard is higher than that of the second placard.The first placard can cause greater market reaction..Seventh,the over-return rate of sales of insurance funds exceeds the excess return of securities investment funds.The increase in holdings of insurance funds can cause greater market attention.Finally,with the full text and current market background,some specific recommendations were made for investors,listed companies and regulators.