Market Volatility, Manipulation, and Regulatory Response: A Comparative Study of Bombay and

  title={Market Volatility, Manipulation, and Regulatory Response: A Comparative Study of Bombay and},
  author={Jamshed Y. Uppal and Inayat Ullah Mangla},
As the stock markets of the developing countries grow and assume a more prominent role in the economy, the regulatory framework continues to evolve alongside. Functions of a market regulator include enhancing disclosure of information and preventing the misuse of asymmetric or insider information, thereby increasing efficiency of intermediation by financial markets with respect to savings, price discovery, allocation of investment, and the pricing and hedging of risk. Regulatory agencies can… 

Tables from this paper

Information Transmission in Emerging Markets: The Case of a Unique Financing Instrument
Information flows are necessary for well-functioning financial markets. However, in many emerging markets, the legal and institutional preconditions for proper information flow are not met. How do
A New Method of Measuring Stock Market Manipulation Through SEM
This paper proposes a new model of measuring a latent variable, stock market manipulation. The model bears close resemblance with the literature on economic well-being. It interprets the manipulation
A new method of measuring stock market manipulation through structural equation modeling (SEM)
A new model of measuring a latent variable, stock market manipulation, in the form of a multiple indicators and multiple causes (MIMIC) model, which allows it to identify the determinants of manipulation and an index of manipulation simultaneously.
Price Manipulation During the Indonesian Presidential Election of 2019: does it Matter Toward Return, Volatility and Liquidity?
The main purpose of this research is to evaluate if stocks indicated political content during the 2019 Indonesia’s presidential election in the form of price manipulation. This study uses a
Information Transmission and Micro-structure rents in Emerging Markets
This paper offers a first ever theoretical study of a unique financing instrument associated with prominent emerging equity markets in South Asia. The instrument known as badla, in local parlance,
Role of Financial Services in Economic Growth: Policy Implications for Pakistan
In the last two decades, the financial services sector in Pakistan has seen remarkable growth and structural development. However, it is debatable whether the financial markets and institutions have
Measurement of Stock Market Volatility through ARCH and GARCH Models: A Case Study of Karachi Stock Exchange
3Abstarct: This paper examines the presence of volatility at the Karachi Stock Exchange (KSE) through the use of Autoregressive Conditional Heteroskedacity (ARCH) and Generalized Autoregressive
Essays on investor trading activity in a limit order book market
..................................................................................................................................... 8 Declaration


Do `speculative traders' increase Stock Price Volatility? Empirical evidence from the Bombay Stock Exchange
In India there existed, until recently, a form of highly leveraged margin trading called the Badla system, for certain stocks categorized as group A stocks. In March of 1994, the Securities and
Interaction of Financial and Regulatory Innovation
What I find surprising about the phenomenon of "financial deregulation" is economists' insistence on thinking about regulatory adjustments that affect financial firms as exogenous disturbances to a
Liquidity Effects of the Introduction of the S&P 500 Index Futures Contract on the Underlying Stocks
This study examines bid-ask spreads in the stock market around the introduction of the Standard and Poor's (S&P) 500 index futures contract and tests the following competing hypotheses: (1) stock
Stability of the day of the week effect in return and in volatility at the Indian capital market: a GARCH approach with proper mean specification
This paper examines the stability of the day of the week effect in returns and volatility at the Indian capital market, covering the period January 1991–September 2000. The paper specifies a
Regulation and De-Regulation of the Stock Market in India
Deregulation and its Discontents examines the different ways in which the issues related to deregulation and reregulation have been addressed in Asia. The role of government in business has gone
Using tax policy to curb speculative short-term trading
This article addresses the question of the desirability of a tax on transactions in the securities industry. Many of the other major industrialized economies impose such a tax. In Japan, for
What Works in Securities Laws
We examine the effect of securities laws on stock market development in 49 countries. We find almost no evidence that public enforcement benefits stock markets, and strong evidence that laws
Autoregressive conditional heteroscedasticity with estimates of the variance of United Kingdom inflation
Traditional econometric models assume a constant one-period forecast variance. To generalize this implausible assumption, a new class of stochastic processes called autoregressive conditional