2017-05-07 06:39:00 Sun ET
stock market gold oil stock return s&p 500 asset market stabilization asset price fluctuations stocks bonds currencies commodities funds term spreads credit spreads fair value spreads asset investments
While the original five-factor asset pricing model arises from a quasi-lifetime of top empirical research by Nobel Laureate Eugene Fama and his long-time co-author Kenneth French, the sixth factor is hypothetical in nature and stems from bullish-versus-bearish investor sentiment on social media.
In addition to the conventional fundamental factors such as size, value, market risk, operating profitability, and asset growth, the social media factor serves as a new measure of investor sentiment.
All these factors help explain the time-series variation in most U.S. stock returns relative to the risk-free rate.
Whether this additional social media factor represents exposure to systematic risk remains a debatable controversy because there is now minimal consensus on this open issue.
Several financial economists recommend raising the empirical hurdle for novel fundamental factors such as this social media measure of investor sentiment.
On balance, it is informative for most stock market investors to recognize that social media conveys pivotal information about at least part of the time variation in the vast majority of U.S. stock portfolio returns ceteris paribus.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2017-04-19 17:37:00 Wednesday ET

Apple is now the world's biggest dividend payer with its $13 billion dividend payout and surpasses ExxonMobil's dividend payout record. Despite the
2024-02-04 08:28:00 Sunday ET

Our proprietary alpha investment model outperforms most stock market indexes from 2017 to 2024. Our proprietary alpha investment model outperforms the ma
2017-08-25 13:36:00 Friday ET

The U.S. Treasury's June 2017 grand proposal for financial deregulation aims to remove several aspects of the Dodd-Frank Act 2010 such as annual macro s
2017-04-25 06:35:00 Tuesday ET

This nice and clear infographic visualization helps us better decipher the main memes and themes of President Donald Trump's first 100 days in office.
2020-10-13 08:27:00 Tuesday ET

Agile lean enterprises strive to design radical business models to remain competitive in the face of nimble startups and megatrends. Carsten Linz, Gunter
2018-10-15 09:33:00 Monday ET

Several pharmaceutical companies now switch their primary focus from generic prescription drugs to medical specialties such as cardiovascular medications an