Soccer sentiment and investment opportunities in the Korean stock market

Research output: Contribution to journalArticle

1 Citation (Scopus)

Abstract

We have found a significant sentiment effect from national soccer match outcomes on the Korean stock market, consistent with studies on other countries. Further investigation reveals, however, that such sentiment effect is extremely short-lived and the magnitude of ensuing expected returns based on the sentiment effect is about the same as the transaction costs. Therefore, we conclude that although a significant soccer-sentiment effect from losses exists, it seems almost impossible to devise reliable arbitrage opportunities from it due to its short duration and the small magnitude of expected returns.

Original languageEnglish
Pages (from-to)213-226
Number of pages14
JournalAsia-Pacific Journal of Accounting and Economics
Volume22
Issue number2
DOIs
Publication statusPublished - 2015 Apr 3

Fingerprint

Investment opportunities
Korean stock market
Soccer
Sentiment
Expected returns
Arbitrage
Transaction costs

Keywords

  • sentiment effect
  • soccer
  • stock returns
  • transaction costs

ASJC Scopus subject areas

  • Economics and Econometrics
  • Finance
  • Accounting

Cite this

Soccer sentiment and investment opportunities in the Korean stock market. / Kang, In; Park, Cheolbeom.

In: Asia-Pacific Journal of Accounting and Economics, Vol. 22, No. 2, 03.04.2015, p. 213-226.

Research output: Contribution to journalArticle

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