The Impact of Investor Types on the Stock Return Volatility During the Covid-19 Pandemic in Indonesia

DOI

10.2991/aebmr.k.211117.032How to use a DOI?

Keywords

Covid-19 pandemic; volatility; Indonesian capital market; foreign ownership; domestic ownership

Abstract

This study investigates the impact of foreign and domestic investors on the stock return volatility during the Covid-19 pandemic in the Indonesian capital market. Using a panel data regression method, we find that foreign institutional and individual investors cannot be proven to affect stock return volatility during the Covid-19 pandemic. This study finds that domestic investors, both institutional and individual investors, play a significant role in reducing the stock return volatility during the Covid-19 pandemic. The government’s strategic role, which is expected to reduce stock return volatility, is not supported. These findings suggest that broadening the local investor base is needed to strengthen the Indonesian capital market.

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.

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TY  - CONF
AU  - Wening Naraswari
AU  - Viverita
PY  - 2021
DA  - 2021/11/23
TI  - The Impact of Investor Types on the Stock Return Volatility During the Covid-19 Pandemic in Indonesia
BT  - Proceedings of the Seventh Padang International Conference On Economics Education, Economics, Business and Management, Accounting and Entrepreneurship (PICEEBA 2021)
PB  - Atlantis Press
SP  - 33
EP  - 40
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.211117.032
DO  - 10.2991/aebmr.k.211117.032
ID  - Naraswari2021
ER  -