Mimickers of Corporate Insiders Who Make Large-Volume Trades

Carr Bettis, Don Vickrey and Donn W. Vickrey

Financial Analysts Journal, 1997, vol. 53, issue 5, 57-66

Abstract: Most prior research shows that corporate insiders can systematically earn abnormal returns by buying or selling their own securities. Also, several studies have investigated whether outsiders can earn abnormal returns by mimicking the trades of insiders after the latter report their trades. The findings of these studies suggest that they cannot. In contrast, this study's results indicate that outsiders can earn significant abnormal returns by mimicking such trades. This conclusion is consistent with a growing body of empirical literature that suggests that the market is not efficient in the semistrong form (i.e., is not efficient with respect to all publicly available information).

Date: 1997
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://hdl.handle.net/10.2469/faj.v53.n5.2118 (text/html)
Access to full text is restricted to subscribers.

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:taf:ufajxx:v:53:y:1997:i:5:p:57-66

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/ufaj20

DOI: 10.2469/faj.v53.n5.2118

Access Statistics for this article

Financial Analysts Journal is currently edited by Maryann Dupes

More articles in Financial Analysts Journal from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().