학술논문
IMPACT OF STOCK SPLITS ON LIQUIDITY
Document Type
periodical
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TEXT
Author
Source
Subject
Language
Multiple Languages
Abstract
In this paper the event analysis is applied to measure the impact of stock splits on companies’ liquidity. Although it is difficult to find relationship between stock splits and trading volume for particular companies, the results are statistically valid for the whole sample of companies. In this case the stock split could be a vehicle for increasing company’s liquidity and reducing investor’s investment risk.