Empirical Study On Investors' Attention And Stock Market Performance Of Listed Banks

Under the hypothesis of the rational person,the traditional financial theory holds that the whole market is valid,and all the information that exists in the market will be included in the price.At the same time,it reflects that the participants in the market can change their own focus on a variety of external information.However,with the constant innovation and development of the entire financial market,some financial phenomena that can not be explained by traditional finance.As a result,people are puzzled by traditional finance and raised many questions.With the founding and development of behavioral finance,the new perspective of financial research has been opened up and the traditional finance has played a supplementary role.People gradually come to realize that individual attention is a limited resource.In the face of all kinds of information in the external world,investors will only pay attention to the information that is useful to individuals.Therefore,more and more scholars regard investor attention as one of the key research directions.Based on the review of academic reports,we find that there are many ways to measure the investor attention,such as the excess return on assets,the turnover,the news about listed companies,financial indicators,etc.However,these methods can not reasonably depict the psychological expectations and changes of investors.And at the same time it can not directly measure the degree of concern.At the same time,based on China's A-share market that the majority of small and medium-sized investors dominate,the main channel for obtaining information is the Internet search engine.Baidu search engine has got most of the market share in China,therefore,the majority of small investors will use Baidu search engine to obtain the relevant information of listed companies,at the same time,when investors use Baidu search engine to obtain the relevant information of listed companies,namely The listed company has got a certain degree of attention.This concern will have an impact on investors in the process of market participation,and finally will also affect the stocks of listed companies.This article,under the theoretical framework of Behavioral Finance,using the Baidu Index statistics can measure the degree of investor attention and study its relationship with the stocks of listed banks.First of all,suppose the investors'attention degree quantified by the statistics of Baidu Index is positively correlated with the turnover and the turnover rate of the listed bank's stocks.The empirical results show that the assumption is established,which lays the foundation for further research below.Second,assuming that the degree of investor attention quantified with the Baidu Index statistic will have a positive amplification effect on the volume and turnover of the listed bank's shares,and the empirical data shows that the assumption is true.Then,supposing that the investor's attention quantified by Baidu Index statistic has a positive impact on the current rate of return of the listed bank's shares,but then it will have a negative impact.The result of the research proves that the hypothesis is valid.This shows that investors' yield has a positive effect in the current period,but there will be a reversal effect in the short run.Finally,the degree of investor attention quantified with the Baidu Index statistic is positively correlated with the volatility of the stocks of listed banks,and empirical studies show that the hypothesis is valid.At the same time,in the face of the majority of small and medium-sized investors in the A-share market,the empirical process and the results of this article can provide some reference for the small and medium-sized investors in the A-share market.In the process of investment transactions,it can avoid the corresponding investment risk,improve its trading strategy and increase the return on its securities investment.At the same time,this article can also provide some reference value for the corresponding securities regulatory authorities and make a contribution to the development and improvement of China's A-share market.