Advances in Economics, Management and Political Sciences
- The Open Access Proceedings Series for Conferences
Proceedings of the 2nd International Conference on Financial Technology and Business Analysis
Series Vol. 61 , 28 December 2023
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Access | Article
The Investigation of China Stock in Fama-French Model Based on High-end Equipment Manufacturing Industry
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Abstract
This study investigates the elements of return and chance in the very good-quality hardware manufacturing sector by directing empirical research and far-reaching analysis. The research centers around building six portfolios considering market esteem scale and book-to-market ratio to explore the relevance of the Fama-French factor analysis model. Our discoveries uncover important patterns, including a backward connection between the book-to-market ratio and rates of return, as well as higher paces of return for bigger scope portfolios, featuring a scale impact. The meaning of positive month-to-month yields across all portfolio blends underlines the business' general profitability from 2015 to 2021. Thorough stationarity tests approve our relapse analysis, where market risk factor(MKT), scale factor (SMB), and book-to-market ratio factor (HML) altogether impact stock portfolio returns. By adjusting our discoveries to past writing and featuring the model's viability in various sectors, our review adds to a more extensive comprehension of asset pricing and illuminates powerful investment methodologies custom-fitted to explicit market elements.
Keywords
High-end equipment manufacturing, Fama-French three-factor model, Investment portfolios, Market dynamics, Systematic risk-return relationships
References
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Data Availability
The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.
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- Volume Title
- Proceedings of the 2nd International Conference on Financial Technology and Business Analysis
- ISBN (Print)
- 978-1-83558-223-7
- ISBN (Online)
- 978-1-83558-224-4
- Published Date
- 28 December 2023
- Series
- Advances in Economics, Management and Political Sciences
- ISSN (Print)
- 2754-1169
- ISSN (Online)
- 2754-1177
- DOI
- 10.54254/2754-1169/61/20230847
- Copyright
- 28 December 2023
- Open Access
- This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited