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dc.contributor.advisorYeung, Wing Him
dc.contributor.authorChen, Sunny
dc.date.accessioned2019-08-13T15:48:31Z
dc.date.available2019-08-13T15:48:31Z
dc.date.created2018
dc.date.issued2018
dc.identifier.urihttp://knowledgecommons.lakeheadu.ca:7070/handle/2453/4354
dc.description.abstractThis paper examines the impact of prior crash risk on insider trading behaviour using a sample of Chinese A-share firms for the 2010-2015 period. Prior crash risk is publicly available information yet represents a source of informational advantage for insiders due to their unique capacity to assess its impact on stock price. Consistent with this assertion, we find a positive correlation between prior crash risk and insider sales value scaled by firm value. This result is robust to market sentiment and contrarian strategy. The result still holds after accounting for possible endogeneity issues using a two-stage least squares estimation. Additionally, we find the relationship is attenuated in state-owned enterprises (SOEs), where corporate governance affects insider motivation and creates administrative restrictions. Our study contributes to the growing literature on crash risk consequences by examining its association with insider trading behaviour. Our results are economically meaningful and feature important implications for investors, boards of directors, and policymakers.en_US
dc.language.isoen_USen_US
dc.subjectStock price crash risken_US
dc.subjectInsider tradingen_US
dc.subjectCorporate governanceen_US
dc.subjectState-owned enterprisesen_US
dc.subjectChinese A-share marketen_US
dc.titleStock price crash risk and insider trading : evidence from Chinaen_US
dc.typeThesisen_US
etd.degree.nameMaster of Science in Managementen_US
etd.degree.levelMasteren_US
etd.degree.disciplineBusiness Administrationen_US
etd.degree.grantorLakehead Universityen_US


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