Search results for query: Blaszke

1. Institutional Investors and Stock Price Volatility - A Literature Review
   

   Author: Ewa Blaszke

   See Issue Contents: fins.2021.2

   Abstract:

   The purpose of this article is to provide an overview of some important literature on institution-al investors. After several decades of investigation, no consensus has yet merged on whether institutional trading contributes to stock price volatility. There is also no clear answer to the question of whether the increase in volatility if any, is due to herding behavior among institu-tions. Despite the common perception that institutional managers follow each other into and out of the same securities and strong theoretical foundations of herding, the results of empirical research on this matter are mixed. The article reviews the theoretical premises regarding the im-pact of institutions on stock prices and the most influential classic publications. The author also took into account the results of more recent studies, which focused not so much on herding behavior but on the characteristics of institutional investors that could be considered important contributors to stock price volatility.

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