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Herd Behavior in Emerging Equity Markets: Evidence from Vietnam

Author

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  • Vo Xuan Vinh

    (School of Banking, University of Economics, Ho Chi Minh City and CFVG Ho Chi Minh City; and 279 Nguyen Tri Phuong Street, District 10, Ho Chi Minh City, Vietnam)

  • Phan Dang Bao Anh

    (Faculty of Tax and Customs, University of Finance and Marketing, Ho Chi Minh City; 2/4 Tran Xuan Soan Street, District 7, Ho Chi Minh City, Vietnam)

Abstract

This study examines the herd behavior in Vietnam stock market using a sample of firms listed on the Ho Chi Minh City Stock Exchange covering the time period 2005–2015. We find evidence of herding in both rising and falling market employing the common least squares estimation. Further analysis by applying quantile regression method also confirms the evidence of herding during the whole period. The results are robust when we split the data into two sub-periods.

Suggested Citation

  • Vo Xuan Vinh & Phan Dang Bao Anh, 2016. "Herd Behavior in Emerging Equity Markets: Evidence from Vietnam," Asian Journal of Law and Economics, De Gruyter, vol. 7(3), pages 369-383, December.
    • Handle: RePEc:bpj:ajlecn:v:7:y:2016:i:3:p:369-383:n:2
    DOI: 10.1515/ajle-2016-0020
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    References listed on IDEAS

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    Cited by:

    1. Tran Huong Thi Thanh & Le Ha Thi Thu, 2021. "The Impact of Financial Inclusion on Poverty Reduction," Asian Journal of Law and Economics, De Gruyter, vol. 12(1), pages 95-119, April.
    2. Vo, Xuan Vinh & Phan, Dang Bao Anh, 2019. "Herd behavior and idiosyncratic volatility in a frontier market," Pacific-Basin Finance Journal, Elsevier, vol. 53(C), pages 321-330.
    3. Vo, Xuan Vinh & Phan, Dang Bao Anh, 2019. "Herding and equity market liquidity in emerging market. Evidence from Vietnam," Journal of Behavioral and Experimental Finance, Elsevier, vol. 24(C).
    4. Nguyen, Huu Manh & Bakry, Walid & Vuong, Thi Huong Giang, 2023. "COVID-19 pandemic and herd behavior: Evidence from a frontier market," Journal of Behavioral and Experimental Finance, Elsevier, vol. 38(C).
    5. Xuan Vinh Vo, Thi Tuan Anh Tran and Van Thang Nguyen, 2020. "Investigating the Economic Relationship between Provinces in Vietnam:A Spatial Regression Approach," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 45(1), pages 47-60, March.
    6. Quang Dung Truong, Hai Quang Nguyen and Dang Khoa Tran, 2020. "Elasticity of Market Demand between Modes of Transport in Vietnam by Price and Income," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 45(1), pages 83-96, March.
    7. Dung Phuong Hoang and Thong Huy Vu, 2020. "Debit Card Usage as a Rational Choice: The Moderating Effect of Cash Habit," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 45(1), pages 159-183, March.
    8. Le Ha Thi Thu, 2020. "The Impact of Auditor Specialization and Banks’ Listing Status on Earnings Management in Vietnamese Commercial Banks," Asian Journal of Law and Economics, De Gruyter, vol. 11(1), pages 1-16, April.

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