Why investors should be cautious of the academic approach to testing for stock market anomalies
Year: 2002
Type: article
Abstract: This paper uses the well known pre-holiday stock market anomaly to clarify the uses and limitations of the academic approach to testing for such anomalies with respect to the differing requirements of academics and investors. The approach is not designed to produce information suitable for making investment decisions but to inform academic debate. The results produced by the approach could lead to highly inappropriate trading if acted upon by investors. The paper illustrates the types of problem that can arise and offers some possible solutions.
Source: Applied Financial Economics
Authors: Robert Hudson, Kevin Keasey, Kevin Littler
Language: English
Subfield: Finance
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W1996489329