Informed Investors and the Internet

@article{Rubin2010InformedIA,
  title={Informed Investors and the Internet},
  author={Amir Rubin and Eran Rubin},
  journal={ARN Wiley-Blackwell Publishers Journals},
  year={2010}
}
During the last decade the Internet has become an increasingly important source for gathering company related information. We employ Wikipedia editing frequency as an instrument that captures the degree in which the population is engaged with the processing of company-related information. We find that firms whose information is processed by the population more frequently are associated with lower analysts' forecast errors, smaller analysts' forecast dispersions, and significant changes in bid… 

Google search volume and its influence on liquidity and returns of German stocks

We show that search volume on Google not only serves as an intuitive proxy for overall firm recognition, but also captures the attention of stock market investors. Our results suggest that an

Do News Improve Liquidity Through Improved Information or Visibility? Evidence from Emerging Markets

Abstract: Market microstructure models imply that informed trading reduces liquidity. We test for the effect of the frequency of new releases, as a proxy of information arrival, on liquidity in the

Investor Demand for Contextual Information : Evidence from Wikipedia *

I use the web traffic (wiki-visits) to the Wikipedia pages of S&P 500 companies to study the determinants and consequences of investors’ contextual information acquisition. Employing the launch of

Google Search Volume: Influence and Indication for the Dutch Stock Market

This paper studies the relationship between stock specific and market level internet search volume on stocks and the Dutch stock market, using the listed stocks in the AEX index. Internet search

When Does Attention Matter? The Effect of Investor Attention on Stock Market Volatility Around News Releases

We empirically investigate how retail and institutional investor attention is related to the way stock markets process information. With a focus on 360 US stocks in the S&P 500 universe, our results

Crowd Governance: The Monitoring Role of Wikipedia in the Financial Market

In this study, we explore whether Wikipedia plays a governance role in the financial market by reducing the information disadvantage of individual investors. We hypothesize that the aggregation of
...

References

SHOWING 1-10 OF 39 REFERENCES

Stock Prices and the Supply of Information

The authors develop a model in which the dependence of the brokerage commission rate on share price provides an incentive for brokers to produce research reports on firms with low share prices. Stock

Firm Diversification and Asymmetric Information: Evidence from Analysts' Forecasts and Earnings Announcements

Managers frequently cite the desire to mitigate asymmetric information as a motivation for increasing firm focus. The information benefits of focus appear relevant for the subset of firms that

The Two Faces of Analyst Coverage

We find that positive excess (strong) analyst coverage is associated with overvaluation and low future returns. This finding is consistent with the view that excessive analyst coverage, driven by

Google search volume and its influence on liquidity and returns of German stocks

We show that search volume on Google not only serves as an intuitive proxy for overall firm recognition, but also captures the attention of stock market investors. Our results suggest that an

Advertising, Breadth of Ownership, and Liquidity

We provide empirical evidence that a firm's overall visibility with investors, as measured by its product market advertising, has important consequences for the stock market. Specifically we show

International Cross-Listing and Visibility

This study shows that international firms listing their shares on the New York Stock Exchange (NYSE) or the London Stock Exchange (LSE) experience a significant increase in visibility, as proxied by

Stock Market Participation and the Internet

  • V. Bogan
  • Economics
    Journal of Financial and Quantitative Analysis
  • 2008
Abstract Theory indicates that frictions (e. g., information and transaction costs) could account for the lower than expected stock market participation rates. This paper examines the hypothesis that