The Interaction Between Investor Trading and the Performance of the Stock Exchange of Thailand
Keywords:
Fund flows, the Stock Exchange of Thailand, Institutional investors, Foreign investorsAbstract
This study investigates the relationship between stock market returns and investment fund flows from different investor groups in the Stock Exchange of Thailand (SET) over the period from November 2009 to June 2021. The selected sample covers the periods after extremely volatile events including the global financial crisis (GFC) and the outbreak of Coronavirus disease 2019 (COVID-19) pandemic. The SET classifies its investors into four groups; i.e., local individuals, local institutions, proprietary trading, and foreign investors. This empirical research evidences the significantly positive relationship between aggregate stock market returns and institutional and foreign investors’ net purchases.
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