Research On The Correlation Between Regulatory Investigation Announcements Based On Financial Irregularities And Investor's Trading Behavior

According to government public information, the listed companies in China each year are hundreds of violations, but because of limitations of human, material and financial resources, the companies finally real punished were the only dozens. No punishment does not mean no impact Instead, listed companies to disclose violations is much higher than average abnormal returns punishment day. Visible, market abuse and information on early response stronger, more wealth loss caused to investors. However, the losses to investors caused bythe regulatory investigation announcements lack recognition and supervision, regulatory and compensation mechanisms are not perfect. The fixed-income research model based on event study, the first to use to text mining method to collect the notice of initiation events for your keywords from the source text before and after the investigation and file the original notice of initiation media reports and other codes, the binding CSMAR database provided by the "China listed companies violation processing database " illegal type classification rules, listed companies to initiate an investigation to explore the reasons for non-compliance, combined with literature research group will be divided into financial irregularities and non-financial irregularities group, sort of listed companies in 2002--2013 investigation of listed companies as samples, and based on the packet based on field samples into financial irregularities investigation and survey of a sample group of investors to initiate an investigation based on non-financial irregularities sample group, followed by empirical research, testing filing financial irregularities cast acts the role of reason and grouped compare financial irregularities and non-financial irregularities reason, investigation and punishment of the reasons why discrepancies role for investors trading behavior.Contents of this paper is divided into the following six chapters: The first chapter is the introduction, describes the overall research background, content and research methods. The second chapter is the foundation literature review and theory, efficient market theory, agency theory, information asymmetry theory and financial contract theory of the sort, and the market reaction to the announcement of financial penalties for violations, filing financial irregularities related literature market reaction announcements and investor behavior influence factors were summarized theory. The third chapter text mining methods financial irregularities of listed companies to initiate an investigation of the reasons for extraction, and the study sample group financial irregularities and non-financial irregularities. The fourth chapter of financial irregularities notice of initiation of investor behavior research design, including the assumptions, data sources, research methods Construction of introduction and models. The fifth chapter, event study on investor behavior financial irregularities notice of initiation of an empirical analysis. The sixth chapter is close to investor behavior filing announcement difference, using regression analysis method difference test of investor behavior.