"Sticky" Cash Flows?
Posted: Fri Aug 19, 2011 2:02 pm
Hey guys,
I'm running a regression with cash flows in/out of a fund as my dependent variable and the S&P 500 and the VIX index as my independent variables. As part of my analysis, I would like to see if cash flows are sticky. My box-jenkins model states that when the VIX increases, cash flows positively increase . I want to know the following:
If the VIX increases and flows positively increase, but then the VIX suddenly decreases, will cash flows suddenly decrease too? Or are cash flows "sticky?"
How would you recommend I go about this in eviews?
Thanks
I'm running a regression with cash flows in/out of a fund as my dependent variable and the S&P 500 and the VIX index as my independent variables. As part of my analysis, I would like to see if cash flows are sticky. My box-jenkins model states that when the VIX increases, cash flows positively increase . I want to know the following:
If the VIX increases and flows positively increase, but then the VIX suddenly decreases, will cash flows suddenly decrease too? Or are cash flows "sticky?"
How would you recommend I go about this in eviews?
Thanks