An Empirical Analysis of the Contagion Risk in the Stock Markets: Evidence with E-GARCH VaR Model

This paper examines contagion risk among both current Eurozone Crisis and Asian Crisis in 1997 with daily stock prices during the crisis periods. Three types of financial markets are included to check the risk spillover, which are developed countries (G7 group), emerging countries (BRICs countries)...

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Main Author: Gao, Song
Format: Dissertation (University of Nottingham only)
Language:English
Published: 2014
Subjects:
Online Access:https://eprints.nottingham.ac.uk/27157/
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author Gao, Song
author_facet Gao, Song
author_sort Gao, Song
building Nottingham Research Data Repository
collection Online Access
description This paper examines contagion risk among both current Eurozone Crisis and Asian Crisis in 1997 with daily stock prices during the crisis periods. Three types of financial markets are included to check the risk spillover, which are developed countries (G7 group), emerging countries (BRICs countries) and benchmark countries (Spain, Portugal, Greece and Ireland for Eurozone Crisis, while Indonesia, South Korea and Thailand for Asian Crisis). E-GARCH (1, 1) VaR model with Generalized Error Distribution (GED) is applied for each stock index for evaluating the volatility. Also, Granger Causality test is used to check whether there exists risk spillover. It is found that there is statistically significant evidence of contagion effect contagion risk among both current Eurozone Crisis and Asian Crisis.
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format Dissertation (University of Nottingham only)
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institution University of Nottingham Malaysia Campus
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language English
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publishDate 2014
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spelling nottingham-271572022-03-21T16:11:43Z https://eprints.nottingham.ac.uk/27157/ An Empirical Analysis of the Contagion Risk in the Stock Markets: Evidence with E-GARCH VaR Model Gao, Song This paper examines contagion risk among both current Eurozone Crisis and Asian Crisis in 1997 with daily stock prices during the crisis periods. Three types of financial markets are included to check the risk spillover, which are developed countries (G7 group), emerging countries (BRICs countries) and benchmark countries (Spain, Portugal, Greece and Ireland for Eurozone Crisis, while Indonesia, South Korea and Thailand for Asian Crisis). E-GARCH (1, 1) VaR model with Generalized Error Distribution (GED) is applied for each stock index for evaluating the volatility. Also, Granger Causality test is used to check whether there exists risk spillover. It is found that there is statistically significant evidence of contagion effect contagion risk among both current Eurozone Crisis and Asian Crisis. 2014 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/27157/1/SONG_GAO-4202651.pdf Gao, Song (2014) An Empirical Analysis of the Contagion Risk in the Stock Markets: Evidence with E-GARCH VaR Model. [Dissertation (University of Nottingham only)] (Unpublished) Contagion Risk; E-GARCH Modelling; Value-at-Risk (VaR); Backtesting; Granger Causality in Risk
spellingShingle Contagion Risk; E-GARCH Modelling; Value-at-Risk (VaR); Backtesting; Granger Causality in Risk
Gao, Song
An Empirical Analysis of the Contagion Risk in the Stock Markets: Evidence with E-GARCH VaR Model
title An Empirical Analysis of the Contagion Risk in the Stock Markets: Evidence with E-GARCH VaR Model
title_full An Empirical Analysis of the Contagion Risk in the Stock Markets: Evidence with E-GARCH VaR Model
title_fullStr An Empirical Analysis of the Contagion Risk in the Stock Markets: Evidence with E-GARCH VaR Model
title_full_unstemmed An Empirical Analysis of the Contagion Risk in the Stock Markets: Evidence with E-GARCH VaR Model
title_short An Empirical Analysis of the Contagion Risk in the Stock Markets: Evidence with E-GARCH VaR Model
title_sort empirical analysis of the contagion risk in the stock markets: evidence with e-garch var model
topic Contagion Risk; E-GARCH Modelling; Value-at-Risk (VaR); Backtesting; Granger Causality in Risk
url https://eprints.nottingham.ac.uk/27157/