Banca de DEFESA: ALETHEIA JANUARIA ZANOW DE GOUVEA

Uma banca de DEFESA de MESTRADO foi cadastrada pelo programa.
DISCENTE : ALETHEIA JANUARIA ZANOW DE GOUVEA
DATA : 29/07/2016
HORA: 15:00
LOCAL: NEPSA II
TÍTULO:

INSIDER TRADING IN BRAZILIAN'S STOCK MARKET: CRIME PAYS?

PALAVRAS-CHAVES:

Insider Trading, Abnormal Returns, Financial Market Misconduct, Financial Market Regulation and Information Asymetry.

PÁGINAS: 45
GRANDE ÁREA: Ciências Sociais Aplicadas
ÁREA: Administração
RESUMO:

This study investigates the information content of insider trading in 32 judgement cases of insider trading in Brazilian's Stock during 2002-2015. The statistical method used was event study to assess the impact of a relevant event on the stocks return. The abnormal return gives the impact of an unanticipated event has on shareholder value versus the penalty risk for white-collar crime. The research findings show that: (i) it could have a significant statistic to incriminate the indicators for using privilege information to obtain abnormal returns in 19 judgment cases (59% of sample); (ii) however the Brazilian laws are not possible to incriminate all that cases. Only 11 judgement cases (34% of sample) have been punished with monetary penalty and only 2 cases added the administrative penalty. In addition, the probabilities associated with the judging results and abnormal return are the same. It means that statistical evidence of abnormal return may not be used as judge evidence, Brazilian first prison sentence case for insider trading ever was judged in 2011. The result may indicate that Brazilian regulation has a hard work to apply the enforcement. Other results have been found as: (iii) size and book-to-market index have a low statistic power of return's explanation, even so the explanatory variables have been kept in the model considering their importance; (iv) the chance of abnormal return in purchase transaction is 4.54 times greater than the selling transactions. The academic literature suggests that more important than regulation is the surveillance and enforcement, that could influence the average behavior of an insider, increasing the fraud detection risks. This research question is relevant not only to academics but also to regulators and corporate managers by shedding further light on the relationship between corporate governance and corporate risk-taking, since the illegal conduct impact on the integrity of Brazilian market. A better understanding of the issue will allow regulators to evaluate whether reforms in the rules and regulations (such as insider trading enforcement) are needed to promote investments and growth in the Brazilian market.

MEMBROS DA BANCA:
Presidente - 1802347 - VINICIO DE SOUZA E ALMEIDA
Interno - 1543333 - ANDERSON LUIZ REZENDE MOL
Externo à Instituição - PATRICIA MARIA BORTOLON - UFES