This study explores how a change in political landscape affects analysts’ forecasting behaviour. We find that when the bilateral political relations between the United States and another country worsen, analysts tend to herd in their earnings forecasts for foreign stocks listed in the US...

This study explores how a change in political landscape affects analysts’ forecasting behaviour. We find that when the bilateral political relations between the United States and another country worsen, analysts tend to herd in their earnings forecasts for foreign stocks listed in the US...

This paper investigates the predictability of stock market returns conditional on herd behaviour states (intense/adverse) using a fixed effects model to capture cross-sectional and time variability covering the European region. We show that herd behaviour negatively forecasts stock returns on...

Abstract: This paper investigates the impact of China’s carbon emission trading market to explore investor behavior in stock market. Using China's eight carbon emission trading pilot regions daily frequency data from 2013 to 2021, I find that significant dynamic correlation between carbon...

The goal of the research is to analyse empirically if the financial decision-making is influenced by herd behaviour bias and if this bias is present during both bearish and bullish market trend, so if the investor act with the same Level-K thinking and herd behaviour bias, independently if the...

We study how retail investor attention influences the joint evolution of cryptocurrency prices. The co-movement is measured using realized correlation and a R-squared-based measure. We find that rising attention as proxied by Google search volume indices or Twitter tweet counts Granger-causes an...

This paper investigates the determinants of time-varying herd behaviour and their interaction effect with asymmetric market conditions. The sample used covers the stocks listed in Europe from December 1992 to December 2020. We expand the state-space model of Hwang and Salmon (2004) to capture...

In this paper, we apply two state-space models based on the cross-sectional dispersion of the factor sensitivities (betas) of securities for extracting the time series of herding towards the market, size/growth (SMB), value (HML), operating profitability (RMW), investment (CMA) and momentum...

This paper studies the herding behavior in managers' investment decision; Herding", specifically, is defined as managers' chosen optimal investment level deviates from the first best and is drawn closer to an external reference point - for example, the average investment level in an industry....

The goal of the research is to empirically investigate if the company size has an impact on the intrinsic value perceived by the investor and herd behaviour and if the media coverage and publicity influences the decision-making process of the investor. Consequently, the research will investigate...