Market Perception of SOX Act in the Case of US Listed Banks

Martina Vitézová

European Research Studies Journal, 2011, vol. XIV, issue 4, 155-170

Abstract: This paper examines the net effect of Sarbanes – Oxley Act of 2002 onto market valuation of bank holding shares. Overall analysis finds significant price growth in the years following the SOX Act. At the same time liquidity of the bank shares has improved, which implies SOX Act has produced benefits for US listed bank holdings. When analyzing shorter sequences, we confirm that banking industry enjoys reputation as well regulated industry as opposed to other industries, which drove the share prices and liquidity up.

Keywords: Sarbanes-Oxley Act; Bank Share Price Valuation; Liquidity; Equity Market of the US (search for similar items in EconPapers)
JEL-codes: C33 M48 (search for similar items in EconPapers)
Date: 2011
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.ersj.eu/repec/ers/papers/11_4_p9.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ers:journl:v:xiv:y:2011:i:4:p:155-170

Access Statistics for this article

More articles in European Research Studies Journal from European Research Studies Journal
Bibliographic data for series maintained by Marios Agiomavritis ().