A Test of Fama and French Three Factor Model in Pakistan Equity Market

1
Beenish Ameer
Beenish Ameer BBA(HONS), MS(FINANCE)
2
Dr. moazzam jamil
Dr. moazzam jamil

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GJMBR Volume 13 Issue C7

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A Test of Fama and French Three Factor Model in Pakistan Equity Market Banner
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There is a view that investor who want to make investment in stock exchange should make a decision maximize their wealth. For this purpose the investor not only want to know which factor will impact the return but also want to understand the relative weight of various factors level, and which sub factor will impact more for giving factors. So they analyze all relevant factors while making decision that affect the return from investment in future. Variation in stock market return was determined by various theories. It was started with Sharp (1964), Linter (1965), Black (1972) who present Capital Asset Pricing Model (CAPM) which shows how to be related between the average return of stock and market risk factor. Other researcher did not agree because there is other factor more than one factor.

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No external funding was declared for this work.

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The authors declare no conflict of interest.

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No ethics committee approval was required for this article type.

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Beenish Ameer. 2013. \u201cA Test of Fama and French Three Factor Model in Pakistan Equity Market\u201d. Global Journal of Management and Business Research - C: Finance GJMBR-C Volume 13 (GJMBR Volume 13 Issue C7): .

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GJMBR Volume 13 Issue C7
Pg. 13- 16
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Crossref Journal DOI 10.17406/GJMBR

Print ISSN 0975-5853

e-ISSN 2249-4588

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July 15, 2013

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There is a view that investor who want to make investment in stock exchange should make a decision maximize their wealth. For this purpose the investor not only want to know which factor will impact the return but also want to understand the relative weight of various factors level, and which sub factor will impact more for giving factors. So they analyze all relevant factors while making decision that affect the return from investment in future. Variation in stock market return was determined by various theories. It was started with Sharp (1964), Linter (1965), Black (1972) who present Capital Asset Pricing Model (CAPM) which shows how to be related between the average return of stock and market risk factor. Other researcher did not agree because there is other factor more than one factor.

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A Test of Fama and French Three Factor Model in Pakistan Equity Market

Beenish Ameer
Beenish Ameer Birmingham City University ,United Kingdom
Dr. moazzam jamil
Dr. moazzam jamil

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