文章基本信息

标题：An Empirical Analysis of the Impact of Demutualization on Stock Exchange Performance: Lessons for Zimbabwe
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作者：Davis Nyangara ; Tariro P Musikavanhu
期刊名称：International Journal of Economics & Management Sciences
电子版ISSN：2162-6359
出版年度：2014
卷号：3
期号：1
DOI：10.4172/2162-6359.1000161
语种：English
出版社：OMICS International
摘要：This paper evaluates the impact of ownership structure on stock exchange performance using data from 50 stock exchanges for the period 1990 to 2011. The study adopts the Least Squares Dummy Variable (LSDV) regression model to examine the nature and significance of the relationship between stock exchange ownership structure and performance. The findings indicate that demutualized exchanges tend to perform better than mutual exchanges in terms of value of trades, market capitalization, and listings. Surprisingly, the study reveals that while combining demutualization and automation has a positive effect on market capitalization, automation is associated with reduced trading volumes and listings, ostensibly due to information efficiency effects of automation. While the general trend globally has been that automation precedes demutualization, Zimbabwe has plans to automate and demutualize its stock exchange around the same time. Given the clearly negative effect of automation on listings and volumes of trades, questions are raised regarding the efficacy of the model that Zimbabwe has adopted to boost domestic and foreign investor participation on its bourse. The study contributes immensely to the mounting evidence on demutualization, and the contemporary debate on the merits of demutualizing and automating the Zimbabwe Stock Exchange.
关键词：Demutualization