Determinants of stock returns in BRICS countries

  • Muhammad Naim Ramli Universiti Teknologi MARA (UiTM) Terengganu
  • A’tiqah Rashidah Abu Samah Universiti Teknologi MARA (UiTM) Terengganu
  • Roseziahazni Abdul Ghani Universiti Teknologi MARA (UiTM) Terengganu

Abstract

This paper investigates on determinants of stock return for BRICS countries. The relationship between stock market return and macroeconomic variables can be used to make nation’s macroeconomic policies and the performance of stock return can be a benchmark for a country to highlight the country is in well economic condition or not. This paper employs the test on pooled data from 2011 to 2015 on monthly basis, to examine the factors that affect stock return the most. Exchange rate, money supply, inflation and trade are selected as the macroeconomics variables factors that affect stock market return. All these factors lead to strong significant relationship towards stock market return by present or doing well towards each factor.


Keywords: stock return; exchange rate; money supply; CPI; trade

Author Biographies

Muhammad Naim Ramli, Universiti Teknologi MARA (UiTM) Terengganu

Faculty of Business and Management, University Teknologi MARA (Terengganu), 23000 Dungun, Terengganu, Malaysia.

A’tiqah Rashidah Abu Samah, Universiti Teknologi MARA (UiTM) Terengganu

Faculty of Business and Management, University Teknologi MARA (Terengganu), 23000 Dungun, Terengganu, Malaysia.

Roseziahazni Abdul Ghani, Universiti Teknologi MARA (UiTM) Terengganu

Faculty of Business and Management, University Teknologi MARA (Terengganu), 23000 Dungun, Terengganu, Malaysia.

Published
2018-01-09
How to Cite
RAMLI, Muhammad Naim; ABU SAMAH, A’tiqah Rashidah; ABDUL GHANI, Roseziahazni. Determinants of stock returns in BRICS countries. Terengganu International Finance and Economics Journal (TIFEJ), [S.l.], v. 5, n. 1, jan. 2018. ISSN 2232-0539. Available at: <http://myjms.mohe.gov.my/index.php/tifej/article/view/3172>. Date accessed: 19 oct. 2018.
Section
Articles