An Empirical Analysis of Friday Effect in NSE NIFTY Companies

S Poornima; V Chitra

doi:10.26703/jct.v9i1.149

Authors

Dr. S. Poornima Associate Professor, PSGR Krishammal College for Women, Coimbatore
Dr. V. Chitra Associate Professor, Karpagam Institute of Technology, Coimbatore

DOI:

https://doi.org/10.26703/jct.v9i1.149

Keywords:

Friday Effect, NSE, NIFTY, Rate of Return

Abstract

This study investigates whether Friday effect exist in NSE NIFTY. The weekend Effect or Day of the Week Effect has been a hot research topic among academicians for decades. The most popular Anomaly is the Friday Effect, meaning that the Friday’s Average Return is significantly higher than the Other Days’ Average Returns. The presence of Friday Effect defeats the basic premises of the Efficient Market Hypothesis. Besides, it has greater implications on the design of investment strategy in the long run. The outcome of the study initiate that there was Highest Mean Return recorded in Friday and the Lowest Mean Returns were recorded in Monday for the sample indices. The analysis of seasonality results point out there is no significant Friday Effect exists in NSE NIFTY during the study period.

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