Les r\'eservations et les suspensions de cotation sont-elles un frein \`a l'efficience informationnelle des march\'es ?

TL;DR

This paper examines whether trading halts and suspensions hinder market informational efficiency, analyzing theoretical debates and empirical evidence which show mixed results and lack clear conclusions.

Contribution

It provides an empirical analysis of trading halts' impact on market efficiency, highlighting the scattered and inconclusive nature of existing evidence.

Findings

Results are scattered and inconclusive

Trading halts may both aid and hinder market efficiency

No definitive conclusion on trading halts' effectiveness

Abstract

The use of the trading halts is a practice common to all markets. However, the advantages and the disadvantages of the measurements are regularly discussed. The partisans think that the trading suspensions or the price limits make it possible to the investors to have time to react to the new information. The detractors think that the trading halts are barriers with the trade. A theorical debate thus continued with an empirical discussion. The results of this study appear relatively scattered. It is today difficult to draw a general conclusion as for the effectiveness of the trading halts.