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Asian Journal of Research in Banking and Finance
Year : 2015, Volume : 5, Issue : 1
First page : ( 102) Last page : ( 110)
Online ISSN : 2249-7323.
Article DOI : 10.5958/2249-7323.2015.00008.5

Determining firm specific factors affecting information uncertainty in firm's announcement in Tehran stock exchange with panel data analysis

Movaffaghi Masouda, Mohammadi Shapourb, Mohammadkhani Hadic

aPhD student, Financial Management, Tehran University

bAssociated Professor, Tehran University, the assistance of economics minister

cPhD Student, Financial Management, Tehran University

Online published on 7 January, 2015.

Abstract

Information uncertainty is regarded as a main cause of underreaction and overreaction and momentum strategy. It is obviously that there is not consensus among previous studies to use type of factors or weight of them have used firm-level factors to form information uncertainty portfolio and its application in momentum strategy and assigned equal weights for them. In Tehran stock exchange firms cmmited to announce their earning forecasts in seasonal periods. The goal of this paper is to assess the influence of firm specific factors on information uncertainty in firms and determine coefficients of every factor in regression to achieve a more accurate method compared to other approaches to formation a information uncertaitny portfolio.

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Keywords

Information uncertainty, overreaction, underreaction, momentum.

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