1. Taru Maheshwari
    4 years & 5 months ago

    Dear sir,
    Greetings of the day…

    I am a research scholar working on event study. Following are the research queries if u plz provide a solution:
    i) In an event study analysis if the event is a economic or macro event and the date is preannounced , can the analysis be done. My question is whether an event analysis could be done if the date is preannounced because a confusion arises while reading researches.
    ii) What is the difference between a statistical model and economic model while estimating normal return.
    iii) What exactly is the benefit of event analysis ?

  2. Rob
    5 years & 1 month ago

    Hi,

    When calculating the return of the share you consider the return to be the difference in closing prices between T and T-1, divided by the closing price at T-1.

    Instead of using the closing price at T-1, is it not more appropriate to use the opening price at T?

    Given that the opening price is a better reflection of the starting price on day T, due to the possibility of price fluctuations between the markets closing (closing price at T-1) and the markets opening (opening price at T).

  3. Taniya
    5 years & 4 months ago

    Function s there in Excel. It’s there in YouTube video also how to calculate AR market model. Intercept(ri) ri is d firm returns. Slope(ri). Beta and alpha.

  4. Himanshu shrivastava
    5 years & 5 months ago

    The article is very helpful… How to get the beta and alpha values for for the window period. I am conducting research on the same ,kindly suggest.

  5. Arsha shaju
    5 years & 8 months ago

    sir
    while calculating the slope and intercept should i leave the event period that is if the event period is 41 window then while calculating the slope should i leave the pre 20 days from the calculation of slope?

  6. Mini k c
    6 years & 1 week ago

    Sir,
    How to calculate the standard deviation for the period(-5,-4),(-5,-3)(-5,-2)(-5,-1)(-5,-0)(-5,-1) and so on when cumulative Average Abnormal return(CAAR)/standard deviations is the statistical test
    Period AAR period CAAR Std devi
    -5 .40 (-5,-5) .40 ???
    -4 .77 (-5,-4) 1.16 ???
    -3 .81 (-5,-3) 1.97
    -2 -.18 (-5,-2) 1.80
    -1 .11 (-5,-1) 1.91
    -0 .27 (-5,0) 2.17
    1 -.30 (-5,1) 1.87
    2 -.78 (-5,2) 1.09
    3 -.93 (-5,3) 2.02
    4 .63 (-5,4) 2.64
    5 -.16 (-5,5) 2.48