TY - JOUR
T1 - Stock attractiveness after inclusion in stock index
T2 - empirical evidence from KSE 100 index
AU - Ameer, Rashid
PY - 2005/4/1
Y1 - 2005/4/1
N2 - This paper explores attractiveness of stocks on Karachi Stock Exchange using event study methodology. The main findings of this paper are KSE 100 has included small share capital base manufacturing companies during 2000-2002. There is no significant difference in pre tax profitability of companies included (excluded) except for their capital structures. The results from event study seem to suggest that KSE100 stocks would be more attractive to passive investors. The passive investors tracking moderate beta stocks on KSE100 index are better off until beta of the stocks climbs up.
AB - This paper explores attractiveness of stocks on Karachi Stock Exchange using event study methodology. The main findings of this paper are KSE 100 has included small share capital base manufacturing companies during 2000-2002. There is no significant difference in pre tax profitability of companies included (excluded) except for their capital structures. The results from event study seem to suggest that KSE100 stocks would be more attractive to passive investors. The passive investors tracking moderate beta stocks on KSE100 index are better off until beta of the stocks climbs up.
KW - Karachi stock exchange
KW - Portfolio diversification
KW - Stock risk
UR - http://www.scopus.com/inward/record.url?scp=84992969956&partnerID=8YFLogxK
U2 - 10.1108/01409170510784788
DO - 10.1108/01409170510784788
M3 - Article
AN - SCOPUS:84992969956
SN - 0140-9174
VL - 28
SP - 25
EP - 44
JO - Management Research News
JF - Management Research News
IS - 4
ER -