Tuesday , January 28 2020
Home / Constantin Gurdgiev: True Economics / 20/9/19: New paper: Systematic risk contagion from cyber events

20/9/19: New paper: Systematic risk contagion from cyber events

Summary:
Our new paper, "What the hack: Systematic risk contagion from cyber events" is now available at International Review of Financial Analysis in pre-print version here: https://www.sciencedirect.com/science/article/pii/S1057521919300274.Highlights include:We examine the impact of cybercrime and hacking events on equity market volatility across publicly traded corporations. The volatility generated due to cybercrime events is shown to be dependent on the number of clients exposed. Significantly large volatility effects are presented for companies who find themselves exposed to hacking events. Corporations with large data breaches are punished substantially in the form of stock market volatility and significantly reduced abnormal stock returns. Companies with lower levels of market

Topics:
[email protected] (TrueEconomics) considers the following as important: , , , , , , , , , ,

This could be interesting, too:

Lance Roberts writes Technically Speaking: “Coronavirus” Triggers Overdue Market Correction

Guest Author writes Michael Markowski: Wuhan Virus & The Potential Of A Market Crash

Lance Roberts writes Market Advance Stalls As Liquidity Begins To Slow

Lance Roberts writes MacroView: Elites View The World Through “Market Colored” Glasses


Our new paper, "What the hack: Systematic risk contagion from cyber events" is now available at International Review of Financial Analysis in pre-print version here: https://www.sciencedirect.com/science/article/pii/S1057521919300274.

Highlights include:

  • We examine the impact of cybercrime and hacking events on equity market volatility across publicly traded corporations.
  • The volatility generated due to cybercrime events is shown to be dependent on the number of clients exposed.
  • Significantly large volatility effects are presented for companies who find themselves exposed to hacking events.
  • Corporations with large data breaches are punished substantially in the form of stock market volatility and significantly reduced abnormal stock returns.
  • Companies with lower levels of market capitalisation are found to be most susceptible to share price reductions.
  • Minor data breaches appear to be relatively unpunished by the stock market.
20/9/19: New paper: Systematic risk contagion from cyber events

Leave a Reply

Your email address will not be published. Required fields are marked *