Daftar Isi:
  • Information is investor’s basic need for investing decision. It can decrease the uncertainty, so the decision that has been made will achieve the purpose. Including such of information is the announcement of right issue. It will be so much valuable if the existence of the information cause the investor makes trading in the stock market and that will be reflected from abnormal return and trading volume activity. The purpose of this study was to determine the difference of abnormal return and trading volume activity before and after right issue event. It is intended to help investors in response information of corporate action in the stock market. In this study, the sample used were 33 companies that listed in Indonesia Stock Exchange (IDX) for period 2010-2012 and meet the criteria of this study. The samples were determined based on purposive sampling method. Data obtained by the method of secondary data. The results of this study showed that there is not significant difference in abnormal return mean. This means that no information in right issue event. But there was significant difference in trading volume activity mean. It means that right issue event is having sufficient information content, with evident of the market responses to the event.