THE IMPACT OF ONLINE NEWS ON INVESTOR DECISION-MAKING IN FRONTIER MARKETS– EVIDENCE FROM THE VIETNAMESE MARKET

Tóm tắt

This study analyzes the information impacts from online news on investment decisions in the context of a frontier market. Sentiment extracted from online news posts has a clear effect on the investment behavior of individual investors. Accordingly, optimistic news promotes an increase in returns. In this study, 3-factor Fama-French model is used. The research period is divided into four phases to better see the impact of online news in different economic conditions. Government support policies also have a positive impact, help to stabilize the economy and create favorable conditions for businesses to develop, thereby boost stock prices. However, pessimism during a crisis, such as the COVID-19 pandemic, has a stronger and more lasting effect. In conclusion, this study provides another important empirical evidence of the relationship between online news and investor decision-making in frontier markets.