Stock returns and liquidity after listing switch on the Warsaw Stock Exchange

Authors

  • Dorota Podedworna-Tarnowska
  • Daniel Kaszyński

DOI:

https://doi.org/10.18559/ebr.2022.4.6

Keywords:

alternative market, main market, listing change, stock liquidity

Abstract

The aim of the article is to evaluate the market reaction to the change of listing venue of companies moving from the alternative market to the regulated market of the Warsaw Stock Exchange. To do so, we investigated 71 switches, and their effect on market returns and liquidity. While the transfer itself creates a negative market reaction, the announcement of the transfer of a company and the institutional confirmation by the supervision of the company’s readiness for this transfer resulting from the approval of the prospectus creates positive market reactions. As a result of the transfer of companies there is an improvement in the liquidity of the shares. The empirical findings of the study could assist managers and investors in understanding the impact of stock exchange migration on returns and the liquidity of shares in the shorter and longer term.

Downloads

Download data is not yet available.

Downloads

Published

2022-12-30

Issue

Section

Research article- regular issue

How to Cite

Podedworna-Tarnowska, D., & Kaszyński, D. (2022). Stock returns and liquidity after listing switch on the Warsaw Stock Exchange. Economics and Business Review, 8(4), 111-135. https://doi.org/10.18559/ebr.2022.4.6

Similar Articles

11-20 of 218

You may also start an advanced similarity search for this article.