Exchange Enquiry、Investor Concern And Stock Price Crash Risk Empirical Study

This paper studies the stock price collapse risk of individual stocks.The stock price crash risk mainly refers to the risk that the stock price will fall sharply in a short period of time.The stock price crash risk will not only adversely affect the investor’s related interests,but also The loss of confidence of investors,which in turn affects the smooth operation of the entire capital market.Therefore,it is important to study how the stock price collapse risk is formed and which aspects can affect the risk of the stock price crash.It is important to prevent and reduce the risk of the stock price collapse of the company,so as not only to protect the interests of investors to a certain extent.Damage will also have a positive impact on the development of the capital market and the real economy.The bad news is hidden,so that the company’s bad news accumulates more and more.When it is accumulated to a certain level,it will inevitably lead to a sharp drop in the stock price,thus increasing the risk of stock price collapse.If the company’s investors pay more attention,The efficiency of information collection and processing of the enterprise will also increase,and the more investors pay attention to a certain stock,the more attention the stock will receive.Due to the late establishment of China’s stock market,the relevant rules and regulations are not particularly perfect.Therefore,under such premise,what kind of role will investors pay attention to the stock price collapse risk? These issues deserve to be studied in depth.Moreover,since2014,China’s exchanges have begun to publish relevant information on inquiries to listed companies.The inquiry letter is specifically the exchange.In response to a letter from a listed company that has problems in information disclosure and accounting information,unclear or irregularities,it is required to make a targeted response within the specified time.Logically,due to the opportunistic behavior of management,for the bad news in the enterprise,the management will release the relevant information and choose not to publish it,which increases the possibility of stock price collapse caused by the concentrated release of bad news.The inquiry letter can promote the disclosure of more relevant information to the public to a certain extent,which not only reduces the behavior of managers not disclosing bad news,but also reduces the degree of information asymmetry,which in turn causes the company’s share price collapse risk to change.It is smaller.Therefore,in the face of China’s regulatory transformation today,it is of great significance to innovate to put exchange inquiry,investor concern and stock price collapse risk into a framework.this paper takes the relevant data of the GEM listed companies in 2015-2017 as a sample of research,and explores the relationship between investor concerns,exchange inquiry and stock price collapse risks.The study found that:(1)Under other conditions,the company that received the exchange inquiry letter is relatively less likely to have a stock price crash than the company that did not receive the inquiry letter.(2)Under other conditions,the higher the investor’s attention,the smaller the risk of stock price collapse.(3)The exchange inquiry letter was received compared with the company that did not receive the exchange inquiry letter.The negative correlation between investor concerns and stock price crash risks will be stronger.(4)Further,the analysis of the characteristics of the exchange inquiry letter found that the more inquiries the company receives from the exchange inquiry letter each year,the smaller the risk of stock price collapse.(5)Finally,after the relevant robustness test,the above conclusions are still valid.