Annals of the University of Oradea: Economic Science (Jul 2016)
THE EFFECT OF MAJOR EVENTS ON BANK SHARE PRICE IN ROMANIA
Abstract
The aim of this paper is to investigate three main events which have influenced Banca Transilvania’s stock price movements. This paper employs the event study methodology. The expected returns are computed by using two different models: Market Model and Capital Asset Pricing Model (CAPM). Our results show that only for one event out of three the abnormal returns (ARs) were positive and statistically significant in the event day.