Arbeitspapier
International diversification at home and abroad
We analyze foreigners' and domestic institutional investors' positions in U.S. equities. Controlling for many factors, we uncover a common preference for large firms and firms that are diversified internationally. The domestic preference for internationally diversified firms implies that investors might obtain substantial international diversification by investing at home. Using an international factor model, we show that exposure to foreign equity markets is indeed greater for domestic firms that are more diversified internationally, suggesting that at least some of the home-grown foreign exposure translates into international diversification benefits. After accounting for home-grown foreign exposure, the share of "foreign" equities in investors' portfolios nearly doubles, reducing (but not eliminating) the observed home bias.
- Sprache
-
Englisch
- Erschienen in
-
Series: Discussion Paper Series 1 ; No. 2005,06
- Klassifikation
-
Wirtschaft
Portfolio Choice; Investment Decisions
International Financial Markets
- Thema
-
home bias
international portfolio allocation
foreign exposure
Portfolio-Management
Internationaler Finanzmarkt
Bias
Vereinigte Staaten
Welt
- Ereignis
-
Geistige Schöpfung
- (wer)
-
Cai, Fang
Warnock, Francis E.
- Ereignis
-
Veröffentlichung
- (wer)
-
Deutsche Bundesbank
- (wo)
-
Frankfurt a. M.
- (wann)
-
2005
- Handle
- Letzte Aktualisierung
-
10.03.2025, 11:43 MEZ
Datenpartner
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.
Objekttyp
- Arbeitspapier
Beteiligte
- Cai, Fang
- Warnock, Francis E.
- Deutsche Bundesbank
Entstanden
- 2005
Ähnliche Objekte (12)
The Death of Cash? Not So Fast: Demand for U.S. Currency at Home and Abroad, 1990-2016
International Diversification at Home and Abroad
International diversification at home and abroad
International Diversification at Home and Abroad
The circulation of Deutsche Mark abroad
Income diversification in the German banking industry
Do exposures to sagging real estate, subprime or conduits abroad lead to contraction and flight to quality in bank lending at home?
Going multinational: What are the effects on home market performance?
At home abroad
The effect of investing abroad on investment at home: On the role of technology, tax savings, and internal capital markets
Informationsprospekt der Deutschen Bundesbank über die Möglichkeiten der Erkennung von Falschgeld
Bundesrepublik, Banknotentransportverpackung (Muster) für 200-DM-Scheine (4.000.000 DM)
The Death of Cash? Not So Fast: Demand for U.S. Currency at Home and Abroad, 1990-2016
International Diversification at Home and Abroad
International diversification at home and abroad
International Diversification at Home and Abroad
The circulation of Deutsche Mark abroad
Income diversification in the German banking industry
Do exposures to sagging real estate, subprime or conduits abroad lead to contraction and flight to quality in bank lending at home?
Going multinational: What are the effects on home market performance?
At home abroad
The effect of investing abroad on investment at home: On the role of technology, tax savings, and internal capital markets
Informationsprospekt der Deutschen Bundesbank über die Möglichkeiten der Erkennung von Falschgeld
Bundesrepublik, Banknotentransportverpackung (Muster) für 200-DM-Scheine (4.000.000 DM)
The Death of Cash? Not So Fast: Demand for U.S. Currency at Home and Abroad, 1990-2016
International Diversification at Home and Abroad
International diversification at home and abroad
International Diversification at Home and Abroad
The circulation of Deutsche Mark abroad
Income diversification in the German banking industry
Do exposures to sagging real estate, subprime or conduits abroad lead to contraction and flight to quality in bank lending at home?
Going multinational: What are the effects on home market performance?
At home abroad
The effect of investing abroad on investment at home: On the role of technology, tax savings, and internal capital markets
Informationsprospekt der Deutschen Bundesbank über die Möglichkeiten der Erkennung von Falschgeld