doi:10.1080/13504851.2016.1192266engFerruz, L.Badía, G.Adapting and testing the Fama and French model, with some variations of company characteristicsART-2017-97857We examine whether the Fama and French (1992) (F&F) model can be adapted to become a more versatile and flexible tool, capable of incorporating variations of company characteristics in a more dynamic form. For this, the risk factors are reconstructed at the end of each reading of monthly data. We argue that, over time, the evaluation of a company may change as a result of variations in its market price, size or book price, and we are aware that the F&F model does not accurately reflect these dynamics. Our results show that the adapted model is able to capture the behaviour of a greater number of stocks than the original F&F model and risk factors are more significant when building them through our procedure. In addition, we carry out these adaptations during a period of instability in financial markets.2017http://zaguan.unizar.es/record/6159210.1080/13504851.2016.1192266http://zaguan.unizar.es/record/61592oai:zaguan.unizar.es:61592info:eu-repo/grantAgreement/ES/DGA/17030G-5423-440030-11101info:eu-repo/grantAgreement/ES/DGA/17030G-5423-440030-91101APPLIED ECONOMICS LETTERS 24, 5 (2017), 342-345All rights reservedhttp://www.europeana.eu/rights/rr-f/info:eu-repo/semantics/openAccess