TITLE:
The Impact of Home Equity and Housing Provident Fund on the Household’s Stock Investment
AUTHORS:
Hanjuan Zhu
KEYWORDS:
Home Equity, Housing Provident Fund, Stock Market Participation, Portfolio Choice
JOURNAL NAME:
Open Journal of Social Sciences,
Vol.7 No.8,
August
20,
2019
ABSTRACT: Based
on the (CHFS) data of Chinese household finance survey, this paper divides the
housing wealth of residents into housing net value and housing loan. On this
basis, adding the virtual variable of whether to own provident fund or not,
Probit model and Tobit model are used to investigate the change of housing net
value and the influence of owning housing provident fund on the participation
of family stock market. The empirical results show that the increase of net
housing value will significantly increase the proportion of households
participating in the stock market and the shareholding rate. Families with
provident fund accounts are also more willing to join the stock market than
those without provident fund accounts, and their shareholdings are higher.