Statistical Properties of the Returns of Stock Prices of International Markets

dc.creatorOh, GabJin
dc.creatorUm, Cheol-Jun
dc.creatorKim, Seunghwan
dc.date2006-01-18
dc.date.accessioned2026-07-07T12:07:42Z
dc.date.available2026-07-07T12:07:42Z
dc.descriptionWe investigate statistical properties of daily international market indices of seven countries, and high-frequency $S&P500$ and KOSDAQ data, by using the detrended fluctuation method and the surrogate test. We have found that the returns of international stock market indices of seven countries follow a universal power-law distribution with an exponent of $ζ\approx 3$, while the Korean stock market follows an exponential distribution with an exponent of $β\approx 0.7$. The Hurst exponent analysis of the original return, and its magnitude and sign series, reveal that the long-term-memory property, which is absent in the returns and sign series, exists in the magnitude time series with $0.7 \leq H \leq 0.8$. The surrogate test shows that the magnitude time series reflects the non-linearity of the return series, which helps to reveal that the KOSDAQ index, one of the emerging markets, shows higher volatility than a mature market such as the {S&P} 500 index.
dc.description5 pages, 5 figures
dc.identifierhttps://arxiv.org/abs/physics/0601126
dc.identifierhttp://arxiv.org/abs/physics/0601126
dc.identifier.urihttp://salesiana.dossiersoluciones.com/handle/123456789/209062
dc.subjectData Analysis, Statistics and Probability
dc.subjectStatistical Finance
dc.titleStatistical Properties of the Returns of Stock Prices of International Markets
dc.typetext

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