| Article ID: | iaor1989437 |
| Country: | United States |
| Volume: | 35 |
| Issue: | 9 |
| Start Page Number: | 1139 |
| End Page Number: | 1142 |
| Publication Date: | Sep 1989 |
| Journal: | Management Science |
| Authors: | Lau Hon-Shiang, Wingender John R., Lau Amy Hing-Ling |
| Keywords: | finance & banking, statistics: inference |
In recent years skewness has become a much-discussed factor in financial research, and many studies/models involve the skewness of various financial variables. This paper (i) points out the universal neglect in the finance literature of skewness’ sampling error and its significant consequences; (ii) presents a simple approach for roughly constructing a confidence interval for skewness estimated from lognormal populations; (ii) points out directions of further research for developing a comprehensive approach for estimating skewness reliably.