Do cannabis stocks present high idiosyncratic risk and other lottery-stock characteristics??

Resumo

The cannabis industry is still recent and undeveloped. As a highly regulated insurgent sector, a significant portion of the risk faced by cannabis companies is specific to the industry and has very few to do with the company’s past performance and balance sheet or systematic risk. As such, the intent of this paper is to investigate how cannabis stocks’ idiosyncratic risk compares to non-cannabis stocks traded in the Canadian stock exchanges and to investigate rather cannabis stocks are more likely to be considered lottery- stocks than non-cannabis stocks, potentially reflecting that the excitement and uncertainty surrounding this emerging industry may somewhat be reflected in observable lottery stock characteristic, potentially instigating the desire for gambling that, according to KUMAR, 2009 “is deeply rooted in the human psyche.”.

Ficha do documento

Tipo

Dissertação

Ano

2021

Instituição

Fundação Getulio Vargas

Fonte

Repositório da FGV

Idioma

Inglês

Acesso

Acesso aberto

Identificador

oai:repositorio.fgv.br:10438/31194

Temas

EconomiaDesenvolvimento Econômico

Palavras-chave

Cannabis industryStock marketLottery stocksIndústria de CannabisMercado de açõesAções de loteriaEconomiaAções (Finanças) - PreçosAvaliação de riscosMercado de capitaisVolatilidade (Finanças)Maconha - Indústria