Financial Derivatives: Implications for the Indian Capital Market: Impact & Implications of Financial Derivatives - Softcover

Narang, Sunita

Softcover

ISBN 10: 3659518719 ISBN 13: 9783659518713

Publisher: LAP LAMBERT Academic Publishing, 2014

Synopsis

Capital market volatility is a significant indicator of effect of derivative trading. High volatility can cause mis-allocation of resources in spot market and lead to losses. In extreme case, it can destabilize the market to an extent that a crisis-like situation can develop. Hence, regulators and policy makers in India have always been interested in knowing the status of volatility, especially, after introduction of derivative trading in India. This work proposes to use GARCH and three asymmetric models viz., TGARCH, EGARCH, PGARCH models to evaluate the long-term impact and implications of derivatives. It gives a comprehensive analysis of impact of derivatives and its expiration on all the three popular variables of capital market, viz., return, volume and volatility using both primary and secondary data. Not only this, we also explore the impact on inter-play of these variables, i.e., we also explore the volume-return link, volume-volatility link and risk-return relationship.

About this title

About the Author

Sunita Narang did her PhD on the topic titled “Financial Derivatives – Implications for the Indian Capital Market” from Faculty of Management Studies, University of Delhi, India in 2013. She is currently working as Assistant Professor in Department of Computer Science, Acharya Narendra Dev College, University of Delhi, India.

Edition details

• Publisher: LAP LAMBERT Academic Publishing
• Publication date: 2014
• ISBN 10: 3659518719
• ISBN 13: 9783659518713
• Binding: Paperback
• Language: English
• Number of pages: 264