To read the full version of this content please select one of the options below:

Do Foreign Institutional Investors (FIIs) Exhibit Herding and Positive Feedback Trading in Indian Stock Markets?

Institutional Investors in Global Capital Markets

ISBN: 978-1-78052-242-5, eISBN: 978-1-78052-243-2

ISSN: 1569-3767

Publication date: 27 September 2011

Abstract

Social implication – The herding and positive feedback trading by FIIs is a cause for concern for government of India, capital market regulator (SEBI), and the country's central bank (RBI) as it adversely affects stock prices and volatility. They are required to formulate and implement a suitable policy response given their objective of protecting the interests of small investors in the market. They may also have to monitor the purchases and sales of equities by FIIs in general and of better performing large cap stocks in particular.

Keywords

Citation

Tayde, M. and Nageswara Rao, S.V.D. (2011), "Do Foreign Institutional Investors (FIIs) Exhibit Herding and Positive Feedback Trading in Indian Stock Markets?", Boubakri, N. and Cosset, J.-C. (Ed.) Institutional Investors in Global Capital Markets (International Finance Review, Vol. 12), Emerald Group Publishing Limited, Bingley, pp. 169-185. https://doi.org/10.1108/S1569-3767(2011)0000012009

Publisher

:

Emerald Group Publishing Limited

Copyright © 2011, Emerald Group Publishing Limited