Download or read book International Portfolio Investment Theory Evidence and Institutional Framework written by Sohnke M. Bartram and Gunter Dufey and published by . This book was released on 2001 with total page 123 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book International Portfolio Investment written by Söhnke M. Bartram and published by . This book was released on 2019 with total page 124 pages. Available in PDF, EPUB and Kindle. Book excerpt: At first sight, the idea of investing internationally seems exciting and full of promise because of the many benefits of international portfolio investment. By investing in foreign securities, investors can participate in the growth of other countries, hedge their consumption basket against exchange rate risk, realize diversification effects and take advantage of market segmentation on a global scale. Even though these advantages might appear attractive, the risks of and constraints for international portfolio investment must not be overlooked. In an international context, financial investments are not only subject to currency risk and political risk, but there are many institutional constraints and barriers, significant among them a host of tax issues. These constraints, while being reduced by technology and policy, support the case for internationally segmented securities markets, with concomitant benefits for those who manage to overcome the barriers in an effective manner.

Download or read book International Portfolio Investment written by Söhnke M. Bartram and published by . This book was released on 2001 with total page 70 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Are Institutional Investors an Important Source of Portfolio Investment in Emerging Markets written by Punam Chuhan and published by World Bank Publications. This book was released on 1994 with total page 45 pages. Available in PDF, EPUB and Kindle. Book excerpt: Major institutional investors in five industrial countries invest cautiously, and very little, in emerging market securities. But only in Germany are regulations on foreign investment a significant constraint.

Download or read book Coordinated Portfolio Investment Survey Guide second edition written by International Monetary Fund and published by International Monetary Fund. This book was released on 2002-05-10 with total page 167 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper reviews the coordinated portfolio investment survey (CPIS) guide. The objectives of CPIS are to collect comprehensive information, with geographical detail on the country of residence of the issuer, on the stock of cross-border equities, long-term bonds and notes, and short-term debt instruments for use in the compilation or improvement of international investment position statistics on portfolio investment capital. This paper discusses the scope and modalities of the CPIS. It also presents key findings of the 1997 CPIS and 2001 CPIS.

Download or read book The Determinants of International Portfolio Holdings and Home Bias written by Shujing Li and published by International Monetary Fund. This book was released on 2004-02 with total page 32 pages. Available in PDF, EPUB and Kindle. Book excerpt: Despite the liberalization of foreign portfolio investment around the globe since the early 1980s, the home-bias phenomenon is still found to exist. Using a relatively new IMF survey dataset of cross-border equity holdings, this paper tests new structural equations from a consumption-based asset-pricing model on international portfolio holdings. Using of stock data allows us to provide new and clear-cut evidence on the determinants of international portfolio holdings. The empirical results show that an augmented gravity model performs remarkably well. The results indicate that market size, transaction cost, and information asymmetry are major determinants of cross-border portfolio choice. These findings shed light on alternative theories of international portfolio holdings, especially on the transaction and information cost-based explanations of home bias.

Download or read book ESG and Responsible Institutional Investing Around the World A Critical Review written by Pedro Matos and published by CFA Institute Research Foundation. This book was released on 2020-05-29 with total page 80 pages. Available in PDF, EPUB and Kindle. Book excerpt: This survey examines the vibrant academic literature on environmental, social, and governance (ESG) investing. While there is no consensus on the exact list of ESG issues, responsible investors increasingly assess stocks in their portfolios based on nonfinancial data on environmental impact (e.g., carbon emissions), social impact (e.g., employee satisfaction), and governance attributes (e.g., board structure). The objective is to reduce exposure to investments that pose greater ESG risks or to influence companies to become more sustainable. One active area of research at present involves assessing portfolio risk exposure to climate change. This literature review focuses on institutional investors, which have grown in importance such that they have now become the largest holders of shares in public companies globally. Historically, institutional investors tended to concentrate their ESG efforts mostly on corporate governance (the “G” in ESG). These efforts included seeking to eliminate provisions that restrict shareholder rights and enhance managerial power, such as staggered boards, supermajority rules, golden parachutes, and poison pills. Highlights from this section: · There is no consensus on the exact list of ESG issues and their materiality. · The ESG issue that gets the most attention from institutional investors is climate change, in particular their portfolio companies’ exposure to carbon risk and “stranded assets.” · Investors should be positioning themselves for increased regulation, with the regulatory agenda being more ambitious in the European Union than in the United States. Readers might come away from this survey skeptical about the potential for ESG investing to affect positive change. I prefer to characterize the current state of the literature as having a “healthy dose of skepticism,” with much more remaining to be explored. Here, I hope the reader comes away with a call to action. For the industry practitioner, I believe that the investment industry should strive to achieve positive societal goals. CFA Institute provides an exemplary case in its Future of Finance series (www.cfainstitute.org/research/future-finance). For the academic community, I suggest we ramp up research aimed at tackling some of the open questions around the pressing societal goals of ESG investing. I am optimistic that practitioners and academics will identify meaningful ways to better harness the power of global financial markets for addressing the pressing ESG issues facing our society.

Download or read book International Portfolio Diversification written by Muhammad Khan and published by . This book was released on 2017 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This study investigated the investment opportunities offered by the frontier equity markets to international portfolio investor. We examine eleven portfolios and efficient frontiers by using the Morgan Stanley Capital International (MSCI) classification of developed, emerging and frontier markets. Allowing exposure to the frontier markets permits international investors to expand combinations in the risk-return space. The results confirms that frontier markets are negatively correlated to the developed and developing countries, offer most optimal risk, and returns combination. These results are consistent both in case of short selling and without short selling. Such findings might be helpful to construct optimal portfolios as well as empirical applications in investment theory.

Download or read book Information Advantage and Institutional Investors Performance in Foreign Markets written by Mark Fedenia and published by . This book was released on 2017 with total page 41 pages. Available in PDF, EPUB and Kindle. Book excerpt: Traditional portfolio theory predicts that investors' portfolios should be diversified across international markets. In contrast, empirical studies document that investors are more likely to invest in their home country and in familiar foreign markets. These findings imply that investors do not take advantage of international diversification opportunities. This study focuses specifically on foreign market asset allocations and examines empirically whether the familiarity driven foreign portfolio investment is a rational choice attributed to information advantage. Using a sample of over 46,000 institutional investors from 46 countries, we show that investors overweight foreign markets that are familiar but also earn higher risk-adjusted returns in those markets. Furthermore, we document that more skilled investors benefit the most from familiarity based allocations.

Download or read book Portfolio Preferences of Foreign Institutional Investors written by Reena Aggarwal and published by World Bank Publications. This book was released on 2003 with total page 47 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Portfolio Investment Flows to Emerging Markets written by Sudarshan Gooptu and published by . This book was released on 1993 with total page 78 pages. Available in PDF, EPUB and Kindle. Book excerpt: It is important that policymakers know the source of portfolio inflows to their countries-- to help them gauge whether they are temporary, and to make policy decisions for dealing with large future inflows and outflows.

Download or read book Proceedings of the 8th Global Conference on Business Management and Entrepreneurship GCBME 2023 written by Ratih Hurriyati and published by Springer Nature. This book was released on 2024 with total page 1331 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Asset Allocation and International Investments written by G. Gregoriou and published by Springer. This book was released on 2006-11-17 with total page 263 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book relates to strategic asset allocation for institutional investors. It consists of a collection of edited papers from academics worldwide on the latest developments in asset allocation, portfolio management and international investments. These expert studies can improve the risk and return characteristics of your investment portfolio.

Download or read book Foreign Direct Investment written by I. Moosa and published by Springer. This book was released on 2002-01-29 with total page 328 pages. Available in PDF, EPUB and Kindle. Book excerpt: Foreign direct investment is an important issue that has attracted the attention of academic and professional economists as well as politicians and policy makers. In Foreign Direct Investment , Imad A. Moosa presents a survey of the vast body of literature and ideas relating to foreign direct investment that will be invaluable as a reference work for all these groups. He provides concise definition and analysis of the theories behind foreign direct investment, and considers factors affecting its implementation. The impact of foreign direct investment on economic development, host countries and the growth of multinationals, together with methods for evaluating foreign direct investment projects are discussed. The book is based on the experiences of and the empirical evidence pertaining to foreign direct investment in a large number of countries, and includes case studies on specific projects.

Download or read book International Investments written by Bruno H. Solnik and published by Addison Wesley Publishing Company. This book was released on 1988 with total page 408 pages. Available in PDF, EPUB and Kindle. Book excerpt: This text provides students and practitioners with coverage of international investments.

Download or read book International Investment Performance written by Allan Timmermann and published by . This book was released on 2020 with total page 44 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper analyses the international equity holdings of a large panel of UK pension funds. We find considerable evidence of market timing activity, as illustrated by the funds' decision to scale back investments in the US stock market during the 1990s. To explain this, we jointly model time-varying conditional moments and portfolio weight dynamics. Past returns do not adequately explain the funds' international portfolio flows and only matter for the short run. Instead we find that a substantial part of the evolution in portfolio weights is explained by time-varying conditional expected returns, volatilities and covariances with domestic equity returns. However, once we control for publicly known state variables, there is no evidence of extra market-timing skills and most funds appear to have earned small but negative returns from international market timing.

Download or read book Culturally Motivated Information Asymmetry written by Katherine Cusack and published by . This book was released on 2014 with total page 38 pages. Available in PDF, EPUB and Kindle. Book excerpt: Portfolio theory suggests that international diversification increases returns and decreases risk. Consequently, investors should diversify their portfolios across international markets. In practice, however, investors hold globally under-diversified portfolios. This study examines a novel cause of US-based institutional investors' foreign portfolio deviations from perfect diversification. We attribute the deviation to cultural similarity between the locales in which the US financial institutions operate and the foreign countries in which they invest. Specifically, we measure cultural similarity between each US institutional investor's local market and every possible investment option outside the US, directly based on 2010 US Census and the ethnicity of the foreign markets. We show that portfolio allocation increases with higher cultural similarity in US states and zip codes and foreign markets. We also show that higher cultural proximity can increase performance in foreign investments.