| Since human society entered the information age,different kinds of public information affects people's investment decision,while media coverage is an important part of public information.Because mass media has a broad audience base,the content is authoritative and timely,it has always maintained a huge advantage in the dissemination of information.In recent years,interest in the influence of media coverage on performance of stock market and investors has been on the rise among researchers.Many existing literatures have showed that mass media will affect the trading behavior of investors by attracting the investors' attention,and then it will affect the entire securities market.However,previous studies mainly focused on paper media such as newspapers and journals,but little attention was paid to the influence of television programs.In this paper,we used the draft of Taiwan financial TV show named "Money 100"as our raw database,the sample period is nearly two years from September 2014 to June 2016.This paper analyzed the influence of financial TV programs on stock market performance and individual investors behavior using Text Mining Method,Difference-in-Difference model and Event Study method.The results showed that,firstly,the liquidity of stocks which appeared in the financial TV program experienced a significant increase after the airing of TV show and this result is mainly driven by individual investors,which indicating that individual investors participated in the trading of reported stocks more actively after watching the financial TV show.Secondly,there was no geographically difference in the impact of financial TV show between investors from different areas.Finally,the return of reported stocks experienced a significant increase around the airing of TV show,and there is return reversal afterwards.This study not only enriches the theory of media coverage and investors attention,but also helps investors make investment decision reasonably. |
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