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Confidence level for the means of the countries’ returns are at 1%, 5% and 10% level of significance denoted by ***, **and *.

Table 4 Confidence level for the means of the countries’ returns are at 1%, 5% and 10% level of significance denoted by ***, **and *.

Related Figures (10)

Table 1: Markets and sampling design
Table 1: Markets and sampling design
Fig. 1: Relationship between Total Risk and Average Rolling Return on investment in Malaysia (KLCI) World Appl. Sci. J., 30 (Innovation Challenges in Multidiciplinary Research & Practice): 226-237, 2014
Fig. 1: Relationship between Total Risk and Average Rolling Return on investment in Malaysia (KLCI) World Appl. Sci. J., 30 (Innovation Challenges in Multidiciplinary Research & Practice): 226-237, 2014
‘ig. 2: Relationship between Total Risk and Average Rolling Returm on investment in Singapore (FSSTI)
‘ig. 2: Relationship between Total Risk and Average Rolling Returm on investment in Singapore (FSSTI)
Table 2: Total risk and average rolling return on investment in KLCI, FSSTI, HSI, TWSE and KOPSI (Holding period of 1 - 19 year)
Table 2: Total risk and average rolling return on investment in KLCI, FSSTI, HSI, TWSE and KOPSI (Holding period of 1 - 19 year)
Fig. 4: Relationship between Total Risk and Average Rolling Return on investment in Korea (KOPSI) Fig. 3: Relationship between Total Risk and Average Rolling Return on investment in Hong Kong (HIS) World Appl. Sci. J., 30 (Innovation Challenges in Multidiciplinary Research & Practice): 226-237, 2014
Fig. 4: Relationship between Total Risk and Average Rolling Return on investment in Korea (KOPSI) Fig. 3: Relationship between Total Risk and Average Rolling Return on investment in Hong Kong (HIS) World Appl. Sci. J., 30 (Innovation Challenges in Multidiciplinary Research & Practice): 226-237, 2014
Table 4: Basic statistics for the standard deviations associated with their holding period returns. Confidence level for the means of the countries’ standard deviations are at 1%, 5% and 10% level of significance denoted by ***, **and *.
Table 4: Basic statistics for the standard deviations associated with their holding period returns. Confidence level for the means of the countries’ standard deviations are at 1%, 5% and 10% level of significance denoted by ***, **and *.
Table 5: Buy-and-hold’s effect on value’ enhancing
Table 5: Buy-and-hold’s effect on value’ enhancing
* HP refers to holding period. E.g. HP19 = 19-year holding period Table 6: Buy-and-hold’s effect on risk reduction
* HP refers to holding period. E.g. HP19 = 19-year holding period Table 6: Buy-and-hold’s effect on risk reduction
Similarly, Table 6 shows the total risk reduction from holding an equity investment for the five countries above. The overall risk return reduction is derived by comparing the level of risk (denoted as the standard deviation of the holding period’s return) in holding period one and nineteen, then taking this value as a percentage to better illustrate the decline from period one through period nineteen (assuming that there were no rebalancing efforts taken throughout the periods studied). For example, the volatility for the Malaysian equity investment declines from 21.95% to 0.18% in year one to year nineteen of holding periods, giving a steep decline of volatility for about 99.18%. This is followed by the overall decline of volatility of approximately 90% in all five stock markets from year one through year 19 holding periods. The results imply that one will experience large decline in the risk due to the reduced dynamics of the averaged returns when adopting this strategy throughout the investment horizon. So, we could say that the buy-and-hold strategy proves effectiveness in equity risk reduction. An aggressive investor who is constantly searching for high returns will not benefit from this approach. The risk and return tradeoff is significantly shown in this analysis. Other supporting results were also gathered by Howie and Davies [21] proving longer stock holding leads to lower level of risk TL OT onde ewe Abe ew the ee ee a ere nbetinbginannl em mnrnnemnn World Appl. Sci. J., 30 (Innovation Challenges in Multidiciplinary Research & Practice): 226-237, 2014
Similarly, Table 6 shows the total risk reduction from holding an equity investment for the five countries above. The overall risk return reduction is derived by comparing the level of risk (denoted as the standard deviation of the holding period’s return) in holding period one and nineteen, then taking this value as a percentage to better illustrate the decline from period one through period nineteen (assuming that there were no rebalancing efforts taken throughout the periods studied). For example, the volatility for the Malaysian equity investment declines from 21.95% to 0.18% in year one to year nineteen of holding periods, giving a steep decline of volatility for about 99.18%. This is followed by the overall decline of volatility of approximately 90% in all five stock markets from year one through year 19 holding periods. The results imply that one will experience large decline in the risk due to the reduced dynamics of the averaged returns when adopting this strategy throughout the investment horizon. So, we could say that the buy-and-hold strategy proves effectiveness in equity risk reduction. An aggressive investor who is constantly searching for high returns will not benefit from this approach. The risk and return tradeoff is significantly shown in this analysis. Other supporting results were also gathered by Howie and Davies [21] proving longer stock holding leads to lower level of risk TL OT onde ewe Abe ew the ee ee a ere nbetinbginannl em mnrnnemnn World Appl. Sci. J., 30 (Innovation Challenges in Multidiciplinary Research & Practice): 226-237, 2014
Related topics:
Corporate Social ResponsibilityIslamic Banking And FinanceIslamic AccountingFinancial Accounting and ReportingBuy and HoldRisk and ReturnInternal Auditing And Governance
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