The behaviour of sentiment-induced share returns: Measurement when fundamentals are observable

Embed Cite Participate Recommend

Ian Cooper discusses the effect of sentiment on returns using a sample of upstream oil stocks where we have a good proxy for fundamental value. For this sample, the influence of sentiment is highly time-varying, appearing only after the post-2000 increased interest in oil-related assets. Contrary to the hard-to-arbitrage hypothesis, sentiment affects returns on these stocks principally through their fundamentals rather than through deviations from fundamentals.

Image courtesy of interviewee

Log-in or Sign-up to Faculti
Currently viewing as guest. You have insight(s) remaining for this month.

Leave a Reply

Your email address will not be published.

Copyright © Faculti Media Limited 2023. All rights reserved.
Recommend Faculti to your librarian

Thousands of engaging insights, delivered at the world's leading institutions. 
Librarians welcome and value students, faculty and staff recommendations, and we aim to facilitate these suggestions in an impactful way.

error:
Chromecast or Airplay insights to your smart tv via our new video player
This is default text for notification bar