Economics, Econometrics and Finance
8 years ago

Index futures trading in India reduces stock market volatility and improves pricing efficiency.

1 view
Deleted Journal
Effects of Index Futures Trading on Stock Market Volatility and Information Pricing Efficiency: Case of the India Index Futures Markets
Yang Chao-jun

Paper Summary

Index futures trading in India reduces stock market volatility and improves information pricing efficiency. The study used a model to show that futures trading leads to lower volatility in the spot market. This means that stock prices react faster to new information, making the market more efficient.

Related papers

Economics, Econometrics and Finance
8 years ago

China's Index Futures Market Reduces Stock Market Volatility, Enhances Price Discovery

Oil Price Shocks
Asset Pricing
Financial Volatility
2 views
Economics, Econometrics and Finance
4 years ago

Single Stock Futures Trading in Thailand Decreases Market Volatility

Asset Pricing
Financial Volatility
Oil Price Shocks
2 views
Economics, Econometrics and Finance
4 years ago

Index futures trading slashes Chinese stock market volatility, stabilizing investments.

Financial Volatility
Asset Pricing
Insurance Dynamics