Browsing by Author "Obura, John Mark,"

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    Investor behavior towards IPOs in Kenya :
    (Advances in Social Sciences Research Journal, 2020-10-25) Obura, John Mark,; Ombok, B. O.; Owiye, O. P
    The period 2000-2013 witnessed a tremendous rise in investor participation in IPOs in Kenya. A number of IPOs have resulted in over subscription. Outstanding cases include; Kenya-Re (334%), Kengen (236%), Eveready (800%), Safaricom (363%), Mumias Sugar (200%), Access Kenya (300%), Scan Group (520%) and Telkom (300%). The purpose of this study was to empirically investigate factors influencing investor behavior towards IPOs in Kenya. The study had, as its target population people residing in Kenya who have previously participated in any one or more of the following IPOs; Mumias Sugar, Safricom, Kengen, Telkom, Eveready, Kenya- Re, Access Kenya, and Scan Group. Simple Random Sampling was used to select a sample of respondents from the target population. Factor Analysis was used to analyze data collected from the respondents to generate understanding of the main motivation to the hightened interest in IPOs by investors. A number of factors thought to be driving investor’s interests towards initial public offers in Kenya were identified. These factors were conveniently categorized into three in order of significance, general state of the economy, confidant’s opinions, and leading communication from government sources.
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    RELATIONSHIP BETWEEN INTEREST RATES AND PERFORMANCE OF NAIROBI SECURITIES EXCHANGE MARKET
    (International Journal of Economics, Commerce and Management, 2021-03-03) Obura, John Mark,
    Performance of Nairobi Securities Exchange market has remained unpredictable as observed in February, 2006 when the index rose from 4057 to 5774 in January, 2007 and declined to 2475 in February, 2009. This could have led to past investor losses that led to collapse of some investment firms leaving investors in despair. However, literature links interest rates with securities market performance. Further, stable interest rates attract investors who may be oblivious of risks involved in securities trading. Despite this, interest rates have hitherto not been considered as influencing securities market performance. The purpose of the study was to determine the relationship between interest rates and performance of Nairobi Securities exchange market. The specific objectives were to establish the relationship between lending rates as well as deposit rates and market performance. Correlational design and Secondary data between January, 2006 and December, 2010 was utilized. Results indicated that lending rates was negative but not significant predictor (β1=-0.166, p>0.05) while deposit rates was negative and significant predictor (ß2=-0.678, p<0.05), interest rates explained 65.7% of the variance in market performance (Adj. R2=.657). The study concluded that there exist an inverse relationship between interest rate and market performance.