Effekten av svenska storbankernas köprekommendationer : En kvantitativ studie baserad på storbankernas köprekommendationer

Sammanfattning: The primary purpose of this paper is to analyse the effect of the market reaction to stock recommendations published by Swedish banks. The market price reactions will also be compared to the OMXSPI index to analyse if it is possible to earn higher returns by following the recommendations. Previous studies suggest that the effect of stock recommendations leads to higher trading volumes and returns. While previous studies suggest that there is an effect, the effect from stock recommendation is not long lasting. The data collected consist of 659 stock recommendations from the biggest banks in Sweden. The results of the paper are in line with previous studies on the subject. The results suggest that buy recommendations lead to increased trading volumes and returns on the publication day. We also find that the cumulative average return from the recommendations is slightly higher than the index on the publication date.