JOURNAL OF ACCOUNTING AND FINANCE
Stock Market Volatility from a Neurofinance Perspective: New Zealand Experience
Author(s): Mathew Abraham
Citation: Mathew Abraham, (2018) "Stock Market Volatility from a Neurofinance Perspective: New Zealand Experience", Journal of Accounting and Finance, Vol. 18, ss. 9, pp. 11-22
Article Type: Research paper
Publisher: North American Business Press
Abstract:
Recently growing numbers of research in finance point to areas that encompass neuroscience and
psychology. Consequently, market sentiment has become an important focus in many behavioural finance studies in providing an alternative narrative for the apparent failure of standard finance theories. Tracing the price movements of the 50 shares included in the NZX50 Index around the Brexit referendum dates, this study demonstrates the role of market sentiment in triggering volatility in the New Zealand Stock Market. The results show that market sentiment can better explain the short-term movement in share prices.