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Informational Efficiency Tests on the Romanian Stock Market: A Review of the Literature

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  • Victor Dragota
  • Dragos Stefan Oprea

Abstract

The Efficient Market Hypothesis is still a 'hot' topic in financial economics. This paper provides a review of the empirical results obtained in the investigation of the Romanian stock market’s informational efficiency. Tests on the predictability of returns suggest that the Romanian stock market has a low level of efficiency. Furthermore, the impact of new information is more intense before and after its release. Moreover, some papers put into question the coincidence between asset prices and their intrinsic values.

Suggested Citation

  • Victor Dragota & Dragos Stefan Oprea, 2014. "Informational Efficiency Tests on the Romanian Stock Market: A Review of the Literature," The Review of Finance and Banking, Academia de Studii Economice din Bucuresti, Romania / Facultatea de Finante, Asigurari, Banci si Burse de Valori / Catedra de Finante, vol. 6(1), pages 015-028, June.
  • Handle: RePEc:rfb:journl:v:06:y:2014:i:1:p:015-028
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    References listed on IDEAS

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    Cited by:

    1. Dan Gabriel Anghel, 2015. "Market Efficiency and Technical Analysis in Romania," International Journal of Financial Research, International Journal of Financial Research, Sciedu Press, vol. 6(2), pages 164-177, April.
    2. repec:nwe:eajour:y:2017:i:2:p:237-250 is not listed on IDEAS
    3. Valentin BURCA, 2014. "Implications of IFRS Adoption on Balance-Sheet vs Income Statement Figures," Economics and Applied Informatics, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, issue 3, pages 33-42.
    4. CIOACĂ, Sorin-Iulian, 2015. "Liquidity And Informational Inefficiency. The Case Of Romania," Studii Financiare (Financial Studies), Centre of Financial and Monetary Research "Victor Slavescu", vol. 19(1), pages 80-92.
    5. repec:rau:journl:v:11:y:2016:i:4.1:p:54-73 is not listed on IDEAS
    6. repec:rjr:romjef:v::y:2017:i:3:p:88-109 is not listed on IDEAS
    7. repec:rjr:romjef:v::y:2017:i:4:p:60-83 is not listed on IDEAS

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