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Papers by A.F.M. MAINUL AHSAN

Research paper thumbnail of Stock Market Performance under Different Government Periods: Evidence from Bangladesh

Universal Journal of Accounting and Finance

Research paper thumbnail of Effects of Misinformation on the Stock Return: A Case Study

Advances in Economics and Business, 2013

Research paper thumbnail of Sectoral decomposition of the announcement effect of rights offerings: evidence from Bangladesh

Investment management & financial innovations, 2017

Purpose of this study is to explore the stock price reaction to the announcement of right issues ... more Purpose of this study is to explore the stock price reaction to the announcement of right issues offered by different firms in Dhaka Stock Exchange (DSE), Bangladesh. Information of 83 right issues from 2006 to 2012 combined with the standard event study methodology has been used for this purpose. Findings reveal statistically significant abnormal returns on the announcement and surrounding dates. Sectoral decomposition of daily abnormal returns shows that textile sector provides the maximum abnormal return while banking sector delivers the least. The results of this study imply that DSE is not semi-strong form efficient with respect to past information on right issue announcements. Also information leakage before the announcement of right issues raises serious questions against efficiency in regulation and effectiveness of supervision in DSE.

Research paper thumbnail of Can Mutual Funds Outguess the Market: Evidence from Bangladesh?

Journal of Finance and Accounting, 2016

This study principally analyzes the fund managers’ ability to outguess the market in Bangladesh. ... more This study principally analyzes the fund managers’ ability to outguess the market in Bangladesh. We perform the investigation on weekly data of 25 mutual funds for the period of May 16, 2010 to April 28, 2016. To serve our objective, we tested both selection and market timing skills of the fund managers. We have used six measures; average return, Sharpe ratio, Treynor ratio, Information ratio, Jensen’s alpha and M square; to confirm the selection skill of fund managers and found no selection skill persistent to most of the fund managers (excluding Aims 1st M.F, ICB AMCL 2nd NRB M.F. and 6th ICB M.F.). In addition, the negative values of alpha indicate that fund managers become not only failed to add value to their portfolio, but also pool wrong assets which hurt the return resulting negative profit. On the other hand, we have employed two popular methodologies; Treynor and Mazuy [24] and Henriksson and Merton [10]; to test the market timing skill of fund managers and found no market...

Research paper thumbnail of Is Tax-Loss Selling Hypothesis Valid in Bangladesh?

THE JOURNAL OF APPLIED BUSINESS AND ECONOMICS, 2013

This paper tests the tax-loss selling hypothesis in Dhaka Stock Exchange (DSE) in Bangladesh. Thi... more This paper tests the tax-loss selling hypothesis in Dhaka Stock Exchange (DSE) in Bangladesh. This study uses monthly data from DSE All Share Price Index (DSI) for the period of 1987 to 2012. Under the hypothesis rational investors offsets taxable income against the capital losses to realize the losses at the end of the tax year which eventually causes significant positive returns in January or July as the tax selling pressure ends after the fiscal year. Empirical results do not support the tax-loss selling hypothesis as an explanation for the high June return at the end of the tax year in Bangladesh.

Research paper thumbnail of Business Leaders' Perceptions on Tax, and Finance Policy for Improving the Investment Climate in Bangladesh

The Indian Economic Journal, 2012

Research paper thumbnail of Margin requirements and rtock market volatility in Bangladesh

SDMIMD journal of management, Sep 1, 2012

Officially margin requirements in bourses in Bangladesh were initiated on April 28, 1999, to limi... more Officially margin requirements in bourses in Bangladesh were initiated on April 28, 1999, to limit the amount of credit available for the purpose of buying stocks. The goal of this paper is to measure the impact of changing margin requirement on stock returns' volatility in Dhaka Stock Exchange (DSE). The impact of margin requirement on stock price volatility has been extensively studied with mixed and ambiguous results. Using daily stock returns, we found mixed evidence that SEC's margin requirements have significant impact on market volatility in DSE.

Research paper thumbnail of Herding in Dhaka Stock Exchange

Journal of Applied Business and Economics, 2013

Research paper thumbnail of Is Tax-Loss Selling Hypothesis Valid in Bangladesh?

This paper tests the tax-loss selling hypothesis in Dhaka Stock Exchange (DSE) in Bangladesh. Thi... more This paper tests the tax-loss selling hypothesis in Dhaka Stock Exchange (DSE) in Bangladesh. This study uses monthly data from DSE All Share Price Index (DSI) for the period of 1987 to 2012. Under the hypothesis rational investors offsets taxable income against the capital losses to realize the losses at the end of the tax year which eventually causes significant positive returns in January or July as the tax selling pressure ends after the fiscal year. Empirical results do not support the tax-loss selling hypothesis as an explanation for the high June return at the end of the tax year in Bangladesh.

Research paper thumbnail of Is Demutualization of Dhaka Stock Exchange Desirable?

Demutualization is the current trend among stock exchanges all over the globe. Bangladesh has sta... more Demutualization is the current trend among stock exchanges all over the globe. Bangladesh has started its journey to get her exchanges demutualized in 2011. The purpose of this study is to examine the post-demutualization performance of the stock exchanges and offer some recommendations for stock exchanges in Bangladesh. In our study we examine the performance of three different stock exchanges that have already demutualized: Bursa Malaysia, Hong Kong Stock Exchange and London Stock Exchange. We found evidence that the performance of all the three demutualized exchanges have improved in terms of operational profitability and efficiencies along with governance scale. We have also identified some challenges associated with demutualization.

Research paper thumbnail of Impact of Hartal on Stock Return and Turnover: Evidence from Bangladesh

Hartal or strike has become a constitutionally recognized weapon for realizing any political dema... more Hartal or strike has become a constitutionally recognized weapon for realizing any political demand in Bangladesh. In spite of sensing very well about the mammoth economic cost attributable to hartal, politicians in Bangladesh are calling hartal repeatedly. This study mainly considers daily DSE General Index (DGEN) return and turnover (TK) for the sample period of June 1, 2010 to May 16, 2013 to examine the impact hartal on the stock market performance in terms of market return and turnover. Using dummy variable combined with linear regression analysis, we found evidence that hartal has little or no impact on the stock market performance.

Research paper thumbnail of An Empirical Study on Market Reaction around the Bonus Issues Announcements in Bangladesh

International Journal of Economics and Finance, 2013

Research paper thumbnail of Influence of Capital Structure on Firm Performance: Evidence from Bangladesh

International Journal of Business and Management, 2014

Research paper thumbnail of Does January Effect Exist in Bangladesh?

International Journal of Business and Management, 2013

Research paper thumbnail of Stock Market Performance under Different Government Periods: Evidence from Bangladesh

Universal Journal of Accounting and Finance

Research paper thumbnail of Effects of Misinformation on the Stock Return: A Case Study

Advances in Economics and Business, 2013

Research paper thumbnail of Sectoral decomposition of the announcement effect of rights offerings: evidence from Bangladesh

Investment management & financial innovations, 2017

Purpose of this study is to explore the stock price reaction to the announcement of right issues ... more Purpose of this study is to explore the stock price reaction to the announcement of right issues offered by different firms in Dhaka Stock Exchange (DSE), Bangladesh. Information of 83 right issues from 2006 to 2012 combined with the standard event study methodology has been used for this purpose. Findings reveal statistically significant abnormal returns on the announcement and surrounding dates. Sectoral decomposition of daily abnormal returns shows that textile sector provides the maximum abnormal return while banking sector delivers the least. The results of this study imply that DSE is not semi-strong form efficient with respect to past information on right issue announcements. Also information leakage before the announcement of right issues raises serious questions against efficiency in regulation and effectiveness of supervision in DSE.

Research paper thumbnail of Can Mutual Funds Outguess the Market: Evidence from Bangladesh?

Journal of Finance and Accounting, 2016

This study principally analyzes the fund managers’ ability to outguess the market in Bangladesh. ... more This study principally analyzes the fund managers’ ability to outguess the market in Bangladesh. We perform the investigation on weekly data of 25 mutual funds for the period of May 16, 2010 to April 28, 2016. To serve our objective, we tested both selection and market timing skills of the fund managers. We have used six measures; average return, Sharpe ratio, Treynor ratio, Information ratio, Jensen’s alpha and M square; to confirm the selection skill of fund managers and found no selection skill persistent to most of the fund managers (excluding Aims 1st M.F, ICB AMCL 2nd NRB M.F. and 6th ICB M.F.). In addition, the negative values of alpha indicate that fund managers become not only failed to add value to their portfolio, but also pool wrong assets which hurt the return resulting negative profit. On the other hand, we have employed two popular methodologies; Treynor and Mazuy [24] and Henriksson and Merton [10]; to test the market timing skill of fund managers and found no market...

Research paper thumbnail of Is Tax-Loss Selling Hypothesis Valid in Bangladesh?

THE JOURNAL OF APPLIED BUSINESS AND ECONOMICS, 2013

This paper tests the tax-loss selling hypothesis in Dhaka Stock Exchange (DSE) in Bangladesh. Thi... more This paper tests the tax-loss selling hypothesis in Dhaka Stock Exchange (DSE) in Bangladesh. This study uses monthly data from DSE All Share Price Index (DSI) for the period of 1987 to 2012. Under the hypothesis rational investors offsets taxable income against the capital losses to realize the losses at the end of the tax year which eventually causes significant positive returns in January or July as the tax selling pressure ends after the fiscal year. Empirical results do not support the tax-loss selling hypothesis as an explanation for the high June return at the end of the tax year in Bangladesh.

Research paper thumbnail of Business Leaders' Perceptions on Tax, and Finance Policy for Improving the Investment Climate in Bangladesh

The Indian Economic Journal, 2012

Research paper thumbnail of Margin requirements and rtock market volatility in Bangladesh

SDMIMD journal of management, Sep 1, 2012

Officially margin requirements in bourses in Bangladesh were initiated on April 28, 1999, to limi... more Officially margin requirements in bourses in Bangladesh were initiated on April 28, 1999, to limit the amount of credit available for the purpose of buying stocks. The goal of this paper is to measure the impact of changing margin requirement on stock returns' volatility in Dhaka Stock Exchange (DSE). The impact of margin requirement on stock price volatility has been extensively studied with mixed and ambiguous results. Using daily stock returns, we found mixed evidence that SEC's margin requirements have significant impact on market volatility in DSE.

Research paper thumbnail of Herding in Dhaka Stock Exchange

Journal of Applied Business and Economics, 2013

Research paper thumbnail of Is Tax-Loss Selling Hypothesis Valid in Bangladesh?

This paper tests the tax-loss selling hypothesis in Dhaka Stock Exchange (DSE) in Bangladesh. Thi... more This paper tests the tax-loss selling hypothesis in Dhaka Stock Exchange (DSE) in Bangladesh. This study uses monthly data from DSE All Share Price Index (DSI) for the period of 1987 to 2012. Under the hypothesis rational investors offsets taxable income against the capital losses to realize the losses at the end of the tax year which eventually causes significant positive returns in January or July as the tax selling pressure ends after the fiscal year. Empirical results do not support the tax-loss selling hypothesis as an explanation for the high June return at the end of the tax year in Bangladesh.

Research paper thumbnail of Is Demutualization of Dhaka Stock Exchange Desirable?

Demutualization is the current trend among stock exchanges all over the globe. Bangladesh has sta... more Demutualization is the current trend among stock exchanges all over the globe. Bangladesh has started its journey to get her exchanges demutualized in 2011. The purpose of this study is to examine the post-demutualization performance of the stock exchanges and offer some recommendations for stock exchanges in Bangladesh. In our study we examine the performance of three different stock exchanges that have already demutualized: Bursa Malaysia, Hong Kong Stock Exchange and London Stock Exchange. We found evidence that the performance of all the three demutualized exchanges have improved in terms of operational profitability and efficiencies along with governance scale. We have also identified some challenges associated with demutualization.

Research paper thumbnail of Impact of Hartal on Stock Return and Turnover: Evidence from Bangladesh

Hartal or strike has become a constitutionally recognized weapon for realizing any political dema... more Hartal or strike has become a constitutionally recognized weapon for realizing any political demand in Bangladesh. In spite of sensing very well about the mammoth economic cost attributable to hartal, politicians in Bangladesh are calling hartal repeatedly. This study mainly considers daily DSE General Index (DGEN) return and turnover (TK) for the sample period of June 1, 2010 to May 16, 2013 to examine the impact hartal on the stock market performance in terms of market return and turnover. Using dummy variable combined with linear regression analysis, we found evidence that hartal has little or no impact on the stock market performance.

Research paper thumbnail of An Empirical Study on Market Reaction around the Bonus Issues Announcements in Bangladesh

International Journal of Economics and Finance, 2013

Research paper thumbnail of Influence of Capital Structure on Firm Performance: Evidence from Bangladesh

International Journal of Business and Management, 2014

Research paper thumbnail of Does January Effect Exist in Bangladesh?

International Journal of Business and Management, 2013