The Impact of Special Purpose Companies on the Performance of the Financial Market : An Econometric Study of the Impact of Cagamas MBS Publications on the Performance of the General Index of the Malaysian stock Market during the Period 2004-2018

Abstract

This study aims to clarify the impact of special purpose companies on the performance of the Malaysian financial market the period 2004-2018, by studying the relationship between Cagamas MBS issues and the performance of the general index of the Malaysian financial market  Kuala Lumpur composit which is one of the most important financial indicators in Malaysia, using autoregressive approach for the periods of slowness distributed During the study period. The study concluded that there is a long-term equilibrium relationship between the two variables of the study, in addition to the negative impact of special purpose vehicle issues on the general index of the Malaysian financial market,due to weak investor confidence in the financial markets after the mortgage crisis.