Trading Volume around Seasoned Equity Offerings: An Empirical Study in Vietnam Stock Market
Keywords:
Seasoned Equity Offerings; trading volume; foreign investors; event study.
Abstract
This paper investigates the impact of seasoned equity offerings announcement on total trading volume and
trading volume by foreign investors. We use seasoned equity offerings announcement data during the period
from January 2013 to May 2016. Employing event study method, our results show that there exists abnormal
trading volume of foreign investors, especially foreign investors’ excessive buying volume around the event date.
Meanwhile, local investors attempt to sell stock before and after the event day. The finding also suggests that the
SEOs’ news is leaked out before the announcement date.
