The Analysis Of The Reaction Behavior Of Investors In China

According to the process of communication, this paper divided stock information into four categories. They are (1) Raw information,(2) Available information,(3) Decision-making information,(4) Subjective decision-making information. This article compared the differences between institutional investors and individual investors in the capacity of investigation resources, attention resources and rationality. While comparing the different scale of information that the two types of investors may enjoy, we analyzed the trading strategy and the reaction behavior of the Two in their respective information uncertainty. This paper argues that institutional investors have more access to stock information channels, is rich in attention resources, and also have strong ability in reasoning, so they are in a dominant position. Finally, the paper made an empirical test of the transaction data on the basis of A shares listed in SSE to verify the inferences of reaction behavior.