Logo image
Herding behavior in Chinese stock markets: An examination of A and B shares
Journal article   Peer reviewed

Herding behavior in Chinese stock markets: An examination of A and B shares

Lin Tan, Thomas C. Chiang, Joseph R. Mason and Edward Nelling
Pacific-Basin finance journal, v 16(1), pp 61-77
2008

Abstract

A and B shares Asymmetric behavior Chinese stock market Herding behavior
This study examines herding behavior in dual-listed Chinese A-share and B-share stocks. We find evidence of herding within both the Shanghai and Shenzhen A-share markets that are dominated by domestic individual investors, and also within both B-share markets, in which foreign institutional investors are the main participants. Herding occurs in both rising and falling market conditions. Herding behavior by A-share investors in the Shanghai market is more pronounced under conditions of rising markets, high trading volume, and high volatility, while no asymmetry is apparent in the B-share market.

Metrics

34 Record Views
430 citations in Scopus

Details

Logo image