Corporate Ownership and Stock Returns: An Explanation to the Capital Asset Pricing Model

Santanu Das

The IUP Journal of Financial Economics, 2009, vol. VII, issue 3 & 4, 64-70

Abstract: Stock markets and their functioning are affected by many factors, both financial as well as behavioral. This paper studies the behavioral aspect of firms and its impact on corporate stock returns. The Capital Asset Pricing Model (CAPM) establishes a relationship between a stock return and the beta of the stock and the risk premium. This paper takes all these into account, except the nature of ownership. It is found that the higher a firm is diversified, the higher is the stock return, other things remaining constant. However, as the study focuses only on the S&P CNX Nifty stock, evidences from other portfolio need to be found so that the findings are fully corroborated.

Date: 2009
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

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:icf:icfjfe:v:07:y:2009:i:3&4:p:64-70

Access Statistics for this article

More articles in The IUP Journal of Financial Economics from IUP Publications
Bibliographic data for series maintained by G R K Murty ().