Hurricane Andrew produced more than $21.5 billion in property damage in Florida and Louisiana. Hurricane Hugo caused about $7 billion in damage in North and South Carolina. Although both humcanes were large, the magnitudes of their destruction and the geographic concentrations of their paths were markedly different. This study finds that Hugo and Andrew produced substantially different market reactions on property and casualty (P&C) f i s . The industry was generally unaffected by Hugo, regardless of whether or not f i s had exposure in the Carolinas. Andrew, on the other hand, generated a significant negative impact on firms with exposure in Florida or Louisiana. Other f m s were not effected by Andrew. These observations indicate that the market demonstrated an ability to discriminate by the magnitude of hurricane and by P&C f i s based on their degree of loss exposure.
This paper considers the game-related performance of the publicly traded teams in the English Premier League. It is found that the price behaviour of the publicly traded soccer team market to be very insensitive to game outcomes in terms of both returns and trading volume. It is believed that the results point to a new type of investor in professional sports -these investor fans do not trade on information that may affect cash flows but, rather, appear to obtain value from mere ownership.
Recurring behaviours of broad market stock returns around various calendar dates have been widely documented in the finance literature. Some studies have exposed similar performances in subsectors of the market. This paper considers such anomalous return behaviour in REITs from 1994-99. Rather than finding January and Monday effects, like are present in the broad market, we report on December and Friday effects in the REIT market. December returns are higher than those experienced in other months. Friday produces the highest returns during the week and Monday returns are positive and not significantly different from those of Tuesday to Thursday. Consistent with other research, we find support for a holiday effect and a turn-of-the-month effect. Most of the findings hold across industry subsamples within the REIT market.
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