| dc.description.abstract | This study utilizes data from companies in Taiwan to investigate the impact of corporate governance and market sentiment on stock price volatility during the COVID19. The study employs the Component GARCH model to decompose stock price standard deviation (total volatility) into the Permanent component (long-term volatility) and the Transitory component (short-term volatility) to analyze the short-term and longterm effects on stock price volatility. In terms of market sentiment, the model is divided into two types: margin balance ratio and three institutional investors. The empirical results reveal that the COVID-19 variable has a significant positive impact on stock price volatility, indicating that stock prices experienced greater volatility during the COVID-19 pandemic compared to previous periods. Regarding ownership structure, the interaction term of institutional shareholding has a significant negative effect on stock price volatility. In terms of board structure, the interaction term of the ratio of family directors have a significant positive impact on stock price volatility. The interaction term of employee turnover rate has a significant negative impact on stock price volatility. In terms of market sentiment, both the interaction terms of margin balance ratio and dealer have a significant positive impact on stock price volatility.However, the interaction term of foreign investment has a significant negative impact
on stock price volatility.
Furthermore, in the analysis of the short-term and long-term components of stock price volatility, the results suggest that corporate governance performance influences stock price standard deviation and the Permanent component, but it has less influence on the Transitory component. In terms of market sentiment, it has an impact on all stock price volatility. | en_US |