Investor Attention Has Impact On Stock Market Performance

In recent years,green development has become a hot topic in China's economic development,which has led to green development concept stocks receiving widespread attention from investors.This article combines real-world hotspot issues and uses the Baidu Index as a proxy variable for investor attention to study the impact of investors' attention on green development issues and then on green development stocks.This article first sorts out domestic and foreign research related to investor attention,mainly focusing on three aspects: investor attention and stock market,investor attention and information dissemination efficiency,investor attention and asset pricing.Then reviewed theories of investor attention,such as selective attention theory,cognitive resource theory and made a comparative analysis of the indicators of investor attention.On this basis,it was proposed that investor attention has a positive impact on stock market performance and investor attention There is a hypothesis of leading-lag effect between different stock returns.In terms of empirical analysis,the panel data's fixed-effect model regression and vector autoregressive model were used to regress the Baidu index and green development concept stocks from January 1,2016 to December 31,2019.Through analysis,it is found that investors' attention to green development issues has a significant positive impact on the market performance of green development concept stocks(trading volume,turnover rate,and yield),that is,increased attention means that green development concept stocks are active Increase,increase income.In addition,this article finds that investors' attention to high and low differences will slowly spread industry information among green development concept stocks,resulting in a lead between investors focusing on high stocks and investors focusing on low stock returns in green development concept stocks.-Hysteresis.Finally,on the basis of the research conclusions,combined with the reality of China,the corresponding policy recommendations are proposed for small and medium investors,entering regulatory agencies,and the government.