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SEC Trading Suspensions: Empirical Evidence

Published online by Cambridge University Press:  06 April 2009

John S. Howe and
Gary G. Schlarbaum
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Abstract

This article explores the price behavior of a sample of corporate securities in which trading was temporarily suspended by the SEC. Suspensions are found to coincide with substantial devaluations of the suspended securities. Further, significant and prolonged negative abnormal returns are observed in the postsuspension period, an apparent violation of semistrong form market efficiency.

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Type
Research Article
Information
Journal of Financial and Quantitative Analysis , Volume 21 , Issue 3 , September 1986, pp. 323 - 333
Copyright
Copyright © School of Business Administration, University of Washington 1986

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References

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