Purpose – One of the anxieties of stock market investors is whether the markets operate efficiently, independently and with sound fundamentals. This concern is also held by academics and practitioners for quite some time. However, real market situation tends to exhibit a link as is evident...

Purpose – The purpose of this paper is to propose various toehold indicators and analyse whether the models incorporating these indicators can be used to establish investment strategies. Design/methodology/approach – Logistic regression is used to test toehold indicator significance....

Purpose – This paper aims to show that tax‐motivated early exercise of US employee stock options can be, in principle, rationalized for bullish executives. The paper aims to show empirical evidence consistent with private positive information guiding the timing of the exercises....

Purpose – Negative relationship between the return of a stock and its liquidity suggests that the illiquid stocks are riskier than liquid stocks. Thus, researchers tend to include the stock liquidity as a variable in asset pricing models, where the stock and market liquidities are usually...

Purpose – The purpose of this paper is to investigate the performance of the arbitrage pricing theory (APT) in the Istanbul Stock Exchange (ISE) on a monthly basis, for the period January 2001 to September 2005. Design/methodology/approach – This study examines six pre‐specified...

Purpose – The purpose of this paper is to develop a single variable indicative of the state of market speculation; to determine whether the Federal Reserve has attempted to quell speculation when it has been most rampant and whether such attempts were successful. Design/methodology/approach...

Purpose – The purpose of this paper is to propose various toehold indicators and analyse whether the models incorporating these indicators can be used to establish investment strategies. Design/methodology/approach – Logistic regression is used to test toehold indicator significance....

Purpose – One of the anxieties of stock market investors is whether the markets operate efficiently, independently and with sound fundamentals. This concern is also held by academics and practitioners for quite some time. However, real market situation tends to exhibit a link as is evident...

Purpose – The purpose of this paper is to explore the issues of efficiency, economies of scale and technical change in Southern European banking. Design/methodology/approach – The flexible Fourier functional form of the stochastic cost frontier approach is used to calculate inefficiencies...

Purpose – The purpose of the present study is to provide empirical evidence on the factors that influence non‐commercial bank financial institutions (NCBFIs) profitability in a developing economy. Design/methodology/approach – The least squares methods of random effects, fixed effects, and...