Migiro, Anthony. A Review of Stock Pinning and Its Potential Causes. University of Prince Edward Island, 2015, https://scholar2.islandarchives.ca/islandora/object/ir%3A12416.

Genre

  • Signature Project
Contributors
Author: Migiro, Anthony
Thesis advisor: Carrothers, Andrew
Date Issued
2015
Publisher
University of Prince Edward Island
Place Published
Charlottetown, P.E.I.
Extent
39
Abstract

This paper reviews the literature on stock pinning, discusses the relevant theoretical models and presents areas for future research. The literature on stock pinning makes the following conclusions. First, option trading impacts stock prices. Second, stock pinning is a real phenomenon, we see share prices cluster around particular strikes on option expiry days. Third, we see this phenomenon across a number of stocks. Fourth, non-optionable stocks are less likely to have their prices cluster around a predetermined price on any day. Finally, stock pinning is a product of delta-hedging by hedge traders.

Language

  • English

ETD Degree Name

  • Master of Business Administration

ETD Degree Level

  • Master

ETD Degree Discipline

  • School of Business
Degree Grantor
University of Prince Edward Island
Rights
Contact Author

Department

Permission Statement
In presenting this signature project report in partial fulfilment of the requirements for a Master of Business Administration degree from the University of Prince Edward Island, the author has agreed that the Robertson Library, University of Prince Edward Island, may make this signature project freely available for inspection and gives permission to add an electronic version of the signature project to the Digital Repository at the University of Prince Edward Island. Moreover the author further agrees that permission for extensive copying of this signature project report for scholarly purposes may be granted by the professor or professors who supervised the author's project work, or, in their absence, by the Dean of the School of Business. It is understood that any copying or publication or use of this signature project report or parts thereof for financial gain shall not be allowed without the author's written permission. It is also understood that due recognition shall be given to the author and to the University of Prince Edward Island in any scholarly use which may be made of any material in the author's report. Address: UPEI School of Business 550 University Avenue Charlottetown, PE C1A 4P3