IDEAS home Printed from https://ideas.repec.org/a/bla/jfnres/v42y2019i4p713-733.html
   My bibliography  Save this article

Insider Demand And Industry Trends

Author

Listed:
  • Collin Gilstrap
  • Alex Petkevich
  • Kainan Wang

Abstract

We investigate the time‐series patterns in industry return predictability conditioned on insider demand from 1996 to 2016. Current insider demand within an industry is positively associated with higher future industry returns. This relation is primarily driven by the buy side of insider trades and is more pronounced during periods of economic recession and high market volatility where uncertainty and information asymmetry are relatively high. Our results are consistent with the notion that corporate insiders have an informational advantage that can be used as an indicator for industry portfolio selection.

Suggested Citation

  • Collin Gilstrap & Alex Petkevich & Kainan Wang, 2019. "Insider Demand And Industry Trends," Journal of Financial Research, Southern Finance Association;Southwestern Finance Association, vol. 42(4), pages 713-733, December.
    • Handle: RePEc:bla:jfnres:v:42:y:2019:i:4:p:713-733
    DOI: 10.1111/jfir.12192
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/jfir.12192
    Download Restriction: no
    File URL: https://libkey.io/10.1111/jfir.12192?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wei Huang & Bin Qiu, 2022. "Passive insider trading before pension freezes," Journal of Financial Research, Southern Finance Association;Southwestern Finance Association, vol. 45(3), pages 607-631, September.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:jfnres:v:42:y:2019:i:4:p:713-733. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/sfaaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.