scholarly journals Biases in International Portfolio Allocation and Investor Protection Standards

2017 ◽  
Author(s):  
Frank Kwabi ◽  
Chandra Thapa ◽  
Krishna Paudyal ◽  
Emmanuel Adegbite
Keyword(s):  
Investor Protection ◽  
Portfolio Allocation ◽  
International Portfolio

scholarly journals Biases in international portfolio allocation and investor protection standards

2017 ◽  
Vol 53 ◽  
pp. 66-79 ◽  
Author(s):  
Frank O. Kwabi ◽  
Chandra Thapa ◽  
Krishna Paudyal ◽  
Emmanuel Adegbite
Keyword(s):  
Investor Protection ◽  
Portfolio Allocation ◽  
International Portfolio

scholarly journals Investor Protection, Equity Returns, and Financial Globalization

2009 ◽  
Vol 45 (1) ◽  
pp. 135-168 ◽  
Author(s):  
Mariassunta Giannetti ◽  
Yrjö Koskinen
Keyword(s):  
Stock Returns ◽  
Stock Price ◽  
Investor Protection ◽  
Portfolio Allocation ◽  
Equity Returns ◽  
Expected Returns ◽  
Home Equity ◽  
Controlling Shareholders ◽  
Home Equity Bias ◽  
Allocation Decisions

AbstractWe study the effects of investor protection on stock returns and portfolio allocation decisions. In our theoretical model, if investor protection is weak, wealthy investors have an incentive to become controlling shareholders. In equilibrium, the stock price reflects the demand from both controlling shareholders and portfolio investors. Due to the high demand from controlling shareholders, the price of weak corporate governance stocks is not low enough to fully discount the extraction of private benefits. Thus, stocks have lower expected returns when investor protection is weak. This has implications for domestic and foreign investors’ stockholdings. In particular, we show that portfolio investors’ participation in the domestic stock market and home equity bias are positively related to investor protection and provide original evidence in their support.

Access to information and international portfolio allocation

2013 ◽  
Vol 37 (7) ◽  
pp. 2255-2267 ◽  
Author(s):  
Chandra Thapa ◽  
Krishna Paudyal ◽  
Suman Neupane
Keyword(s):  
Portfolio Allocation ◽  
Access To Information ◽  
International Portfolio
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