Malaysia Stock Market Index Case Study

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1.0 OVERVIEW This chapter is focused on the co-integration between Malaysia stock market index with the ASEAN stock market index which are Indonesia, Philippines, Thailand, Singapore, China, South Korea and Japan from the Malaysian perspective. It starts off with a background of the study and continues with a problem discussion to create knowledge about the relevant of this research study. This chapter also determines objectives of the study, significant of study and the scope and limitation of the study. 1.1 BACKGROUND OF THE STUDY The issue of stock markets linkages has been extensively investigated in the literature of financial economies. The integration among the stock markets provides important implication for the potential benefits of the international portfolio…show more content…
1.3.2 Specific Research Questions 1.3.2 Is there any co-integration between Malaysia stock market index and Indonesia stock market index? 1.3.3 Is there any co-integration between Malaysia stock market index and Philippines stock market index? 1.3.4 Is there any co-integration between Malaysia stock market index and Thailand stock market index? 1.3.5 Is there any co-integration between Malaysia stock market index and Singapore stock market index? 1.3.6 Is there any co-integration between Malaysia stock market index and China stock market index? 1.3.7 Is there any co-integration between Malaysia stock market index and South Korea stock market index? 1.3.8 Is there any co-integration between Malaysia stock market index and Japan stock market index? 1.4 RESEARCH OBJECTIVES The objectives have been developed based on the research questions above. The general objective of this study is to determine the stock market co-integration among the ASEAN stock markets with the Malaysia stock market. The research objective can be divided into two, which

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