Is islamic stock index related with conventional stock index ? evidence from the UK

Tayyab Ahmed and Abul Masih

MPRA Paper from University Library of Munich, Germany

Abstract: There has been an ongoing controversy for a long time as to whether the Islamic stock is related with the conventional stock or not. This paper empirically investigates whether the Islamic stock index is indeed related with the conventional stock index. The United Kingdom is taken as a case study The standard time series techniques have been employed for the analysis. The findings tend to indicate that the Islamic stocks are driven by the conventional stocks and inflation and not the other way around. These results cast doubt on the view that the Islamic stocks are independent of the influence of the conventional stocks at least in the context of the United Kingdom. The findings have important policy implications for the investors, practitioners and policymakers.

Keywords: Islamic stock price; conventional stock price; cointegration; VECM; VDC (search for similar items in EconPapers)
JEL-codes: C22 C58 E44 (search for similar items in EconPapers)
Date: 2017-06-30
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://mpra.ub.uni-muenchen.de/102967/1/MPRA_paper_102967.pdf original version (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:pra:mprapa:102967

Access Statistics for this paper

More papers in MPRA Paper from University Library of Munich, Germany Ludwigstraße 33, D-80539 Munich, Germany. Contact information at EDIRC.
Bibliographic data for series maintained by Joachim Winter ().