The Impact of $1.9 Trillion Covid Relief Bill on the Return by Different Moving Average Strategy
These authors contributed equally.
- DOI
- 10.2991/assehr.k.211209.107How to use a DOI?
- Keywords
- Momentum Effect; Moving Average Strategy; President Joe Biden’s $1.9 Trillion Relief Bill; Strategies of Investing
- Abstract
Since the epidemic outbreak and spread of COVID-19 had worsened the public’s expectation of the global economy, President Joe Biden tried to stimulate economic development with his $1.9 trillion relief bill. This research studied the performance and following effects of momentum strategies in the mid- and short-term, comparing relative returns of moving average investing strategies. As shown by the empirical results, the medium-term MA strategy performed relatively better compared to the short-term MA strategy subsequent to the relief bill, indicating the momentum effect was more pronounced with the longer-term MA strategy(proof of a more active market, which confirms the effectiveness of President Biden’s relief bill). Under the current situation of an active market and epidemic normalization, the investors should elastically adjust the portfolio and strategies, longing for the medium- and long-term momentum investment and releasing those with shorter maturity terms.
- Copyright
- © 2021 The Authors. Published by Atlantis Press International B.V.
- Open Access
- This is an open access article under the CC BY-NC license.
Cite this article
TY - CONF AU - Haoyu Cheng AU - Wanqi Zheng PY - 2021 DA - 2021/12/15 TI - The Impact of $1.9 Trillion Covid Relief Bill on the Return by Different Moving Average Strategy BT - Proceedings of the 2021 3rd International Conference on Economic Management and Cultural Industry (ICEMCI 2021) PB - Atlantis Press SP - 655 EP - 661 SN - 2352-5428 UR - https://doi.org/10.2991/assehr.k.211209.107 DO - 10.2991/assehr.k.211209.107 ID - Cheng2021 ER -