Did COVID-19 challenge the volatility of the sustainable stock market? An examination of Asian market

Authors

  • Nur Aji Cokro Darsono Susilo Universitas Muhammadiyah Yogyakarta, Yogyakarta, Indonesia https://orcid.org/0000-0003-1715-4148
  • Thang Le-Dinh Faculty of Mathematics, FPT University, Ho Chi Minh City, Vietnam https://orcid.org/0000-0003-1714-2753
  • Nguyen Trong Than Faculty of Graduate Studies, Academy of Finance, Hanoi, Vietnam
  • Wing Keung Wong College of Management, Asia University in Taiwan; The Hang Seng University of Hong Kong, Hongkong; China Medical University Hospital, Taiwan
  • Tran Thai Ha Nguyen Faculty of Banking and Finance, Van Lang University, Ho Chi Minh City, Vietnam https://orcid.org/0000-0003-2598-3720
  • Jenho Peter Ou Department of Finance, Fintech Center, and Big Data Research Center, Asia University

DOI:

https://doi.org/10.15549/jeecar.v10i7.1343

Keywords:

Sustainable Stock Market, Covid-19 Pandemic, Feasible Generalized Least Square, Stock Market Volatility, Asian Market

Abstract

The coronavirus outbreak at the end of 2019 hit many aspects of the financial sector, especially the stock market. This research examines the impacts of the COVID-19 pandemic, exchange rates, gold price, and the Brent oil price on the volatility of the Sustainable Stock Market in Asia. A quantitative research method is applied using average monthly panel data from March 2020 to April 2022, covering the COVID-19 pandemic period. We employed panel regressions and applied Feasible Generalized Least Square (FGLS) in the analysis, which also serves as a robustness check. This study contributes to the literature by examining the variables significantly impacting sustainable investing, particularly in the sustainable stock market. Empirical results find that COVID-19, gold price and the exchange rate have negatively affected sustainable stock market volatility, while the Brent oil price has a positive impact on the volatility of the sustainable stock market. This study's recommendations infer that both investors and managers should consider the increase of COVID-19 cases and frequency-varying exchange rates to the USD on the Asian sustainable stock market volatility.

Author Biographies

Nur Aji Cokro Darsono Susilo, Universitas Muhammadiyah Yogyakarta, Yogyakarta, Indonesia

Dr. Susilo Nur Aji Cokro Darsono obtained a Ph.D. degree from Department of Business Administration at Asia University, Taiwan. He is a lecturer of Economics Program at Faculty of Economics and Business, Universitas Muhammadiyah Yogyakarta in Indonesia. He teaches Sustainable Finance and International Finance subjects. In addition, he serves as managing editor for Jurnal Ekonomi & Studi Pembangunan (JESP) and the International Journal of Islamic Economics and Finance (IJIEF) and editor in Advances in Decision Sciences (ADS).

Thang Le-Dinh, Faculty of Mathematics, FPT University, Ho Chi Minh City, Vietnam

Dr. Thang Le-Dinh obtained a Ph.D degree from University of Economics Ho Chi Minh City. He is a lecturer of the Faculty of Mathematics, FPT University, Ho Chi Minh City, Vietnam. He teaches Econometrics, Research Methodology, and Applied Mathematics in Finance and Economics.

Nguyen Trong Than, Faculty of Graduate Studies, Academy of Finance, Hanoi, Vietnam

Dr. Nguyen Trong Than is an Associate Professor at the Faculty of Graduate Studies, Academy of Finance, Hanoi, Vietnam. He teaches and studies in Management of Public Finance, Finance and Banking.

Wing Keung Wong , College of Management, Asia University in Taiwan; The Hang Seng University of Hong Kong, Hongkong; China Medical University Hospital, Taiwan

Dr. Wing Keung Wong is the Chair Professor at the Department of Finance, College of Management, Asia University in Taiwan. Prof Wong serves as Editor in Chief of Advances in Decision Sciences Journal and as an editorial board member in many international reputable journals. His expertise is financial economics, econometrics, investment theory, risk management and operational research.

Tran Thai Ha Nguyen, Faculty of Banking and Finance, Van Lang University, Ho Chi Minh City, Vietnam

Dr. Tran Thai Ha Nguyen obtained a PhD degree from Department of Business Administration at Asia University, Taiwan. He is a lecture of the Faculty of Banking and Finance, Van Lang University, Ho Chi Minh City, Vietnam. He teaches Corporate Finance, Financial Analysis and Planning, Project Appraisal,  and does research in Sustainable Finance, Environmental Management and Sustainable Development subjects. In addition, he serves as editor for Jurnal Ekonomi & Studi Pembangunan (JESP), Journal of Accounting and Investment (JAI), and Advances in Decision Sciences (ADS) and be a reviewer of many international journals.

Jenho Peter Ou, Department of Finance, Fintech Center, and Big Data Research Center, Asia University

Dr. Jenho Peter Ou is an Associate Professor and Vice Dean of the International College at Asia University, Taiwan. He earned a degree from the Department of Business Administration, University of Delaware, USA. His expertise is financial management, money & banking and international finance.

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2023-12-03

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Susilo, N. A. C. D., Le-Dinh, T., Trong Than, N., Keung Wong , W., Ha Nguyen, T. T., & Peter Ou, J. (2023). Did COVID-19 challenge the volatility of the sustainable stock market? An examination of Asian market. Journal of Eastern European and Central Asian Research (JEECAR), 10(7), 989–1005. https://doi.org/10.15549/jeecar.v10i7.1343

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Vol. 10 No. 7 (2023): Journal of Eastern European and Central Asian Research

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