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An Analysis of Manipulation Strategies in Stock Markets

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  • Rasim Ozcan

Abstract

Manipulative transactions, which affect both the supply and demand side of the markets, have been studied by academic circles and it was concluded that manipulation exerts negative impact on markets. A market with manipulation is considered as less trustworthy and credible compared to a market without manipulation, which in turn, affects demand. Manipulations affecting both the supply and demand should be closely monitored by stock market investors as well as legislative, executive, and regulatory institutions. This paper aims to review economic and financial studies on manipulation in order to reveal what has done so far and what should and can be done. This paper, which compares different types of manipulation, also discusses main empirical studies on manipulation types.

Suggested Citation

  • Rasim Ozcan, 2012. "An Analysis of Manipulation Strategies in Stock Markets," Istanbul Stock Exchange Review, Research and Business Development Department, Borsa Istanbul, vol. 13(49), pages 19-37.
    • Handle: RePEc:bor:iserev:v:13:y:2012:i:49:p:19-37
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    References listed on IDEAS

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    More about this item

    Keywords

    Manipulation; Stock Exchange; Empirical Study;
    All these keywords.

    JEL classification:

    • G1 - Financial Economics - - General Financial Markets
    • G14 - Financial Economics - - General Financial Markets - - - Information and Market Efficiency; Event Studies; Insider Trading
    • G15 - Financial Economics - - General Financial Markets - - - International Financial Markets

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