Study shows little evidence of portfolio pumping in S'pore stocks

Singapore

THE practice of driving up a stock's price at quarter-end or year-end to make fund returns over the period look better is sometimes cited as a reason for price movements in the local market around those key dates.

But a recent study by the CFA Institute argues that this phenomenon, called "portfolio pumping", has likely decreased over time and could now be less prevalent than thought.

The institute did find, though, that certain features of a stock make it more susceptible to portfolio pumping. These include having a market cap …