The determinants of international equity investment: Do they differ between institutional and noninstitutional investors?
Autor(a) principal: | |
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Data de Publicação: | 2014 |
Outros Autores: | |
Tipo de documento: | Artigo |
Idioma: | eng |
Título da fonte: | Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
Texto Completo: | http://hdl.handle.net/11110/949 |
Resumo: | In this paper we investigate whether the determinants of international equity investment differ between investors with different degrees of sophistication. For this purpose, we analyse and compare the determinants of international equity investment of institutional and noninstitutional investors from 20 OECD countries (US not included) in the period 2001-2009. The results show that there are significant differences in the determinants of international equity investment between institutional and noninstitutional investors. In particular, noninstitutional investors tend to exhibit a more pronounced preference for equities of geographical nearby, contiguous and more transparent countries than institutional investors. The preference for more developed equity markets and the contrarian behaviour are also significantly more pronounced for noninstitutional than for institutional investors. These results support the argument that international equity investment of less sophisticated investors is more affected by information costs and familiarity than that of more sophisticated investors. Moreover, business cycles exert an influence on international equity investment decisions of both institutional and noninstitutional investors. |
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The determinants of international equity investment: Do they differ between institutional and noninstitutional investors?International equity investmentDeterminants of investmentInstitutional investorsNoninstitutional investorsBusiness cyclesIn this paper we investigate whether the determinants of international equity investment differ between investors with different degrees of sophistication. For this purpose, we analyse and compare the determinants of international equity investment of institutional and noninstitutional investors from 20 OECD countries (US not included) in the period 2001-2009. The results show that there are significant differences in the determinants of international equity investment between institutional and noninstitutional investors. In particular, noninstitutional investors tend to exhibit a more pronounced preference for equities of geographical nearby, contiguous and more transparent countries than institutional investors. The preference for more developed equity markets and the contrarian behaviour are also significantly more pronounced for noninstitutional than for institutional investors. These results support the argument that international equity investment of less sophisticated investors is more affected by information costs and familiarity than that of more sophisticated investors. Moreover, business cycles exert an influence on international equity investment decisions of both institutional and noninstitutional investors.Journal of Banking & Finance2016-01-27T16:54:14Z2014-12-01T00:00:00Zinfo:eu-repo/semantics/publishedVersioninfo:eu-repo/semantics/articlehttp://hdl.handle.net/11110/949oai:ciencipca.ipca.pt:11110/949eng0378-4266http://hdl.handle.net/11110/949metadata only accessinfo:eu-repo/semantics/openAccessRoque, VandaCortez, Céureponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãoinstacron:RCAAP2022-09-05T12:52:21Zoai:ciencipca.ipca.pt:11110/949Portal AgregadorONGhttps://www.rcaap.pt/oai/openaireopendoar:71602024-03-19T15:01:15.490839Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãofalse |
dc.title.none.fl_str_mv |
The determinants of international equity investment: Do they differ between institutional and noninstitutional investors? |
title |
The determinants of international equity investment: Do they differ between institutional and noninstitutional investors? |
spellingShingle |
The determinants of international equity investment: Do they differ between institutional and noninstitutional investors? Roque, Vanda International equity investment Determinants of investment Institutional investors Noninstitutional investors Business cycles |
title_short |
The determinants of international equity investment: Do they differ between institutional and noninstitutional investors? |
title_full |
The determinants of international equity investment: Do they differ between institutional and noninstitutional investors? |
title_fullStr |
The determinants of international equity investment: Do they differ between institutional and noninstitutional investors? |
title_full_unstemmed |
The determinants of international equity investment: Do they differ between institutional and noninstitutional investors? |
title_sort |
The determinants of international equity investment: Do they differ between institutional and noninstitutional investors? |
author |
Roque, Vanda |
author_facet |
Roque, Vanda Cortez, Céu |
author_role |
author |
author2 |
Cortez, Céu |
author2_role |
author |
dc.contributor.author.fl_str_mv |
Roque, Vanda Cortez, Céu |
dc.subject.por.fl_str_mv |
International equity investment Determinants of investment Institutional investors Noninstitutional investors Business cycles |
topic |
International equity investment Determinants of investment Institutional investors Noninstitutional investors Business cycles |
description |
In this paper we investigate whether the determinants of international equity investment differ between investors with different degrees of sophistication. For this purpose, we analyse and compare the determinants of international equity investment of institutional and noninstitutional investors from 20 OECD countries (US not included) in the period 2001-2009. The results show that there are significant differences in the determinants of international equity investment between institutional and noninstitutional investors. In particular, noninstitutional investors tend to exhibit a more pronounced preference for equities of geographical nearby, contiguous and more transparent countries than institutional investors. The preference for more developed equity markets and the contrarian behaviour are also significantly more pronounced for noninstitutional than for institutional investors. These results support the argument that international equity investment of less sophisticated investors is more affected by information costs and familiarity than that of more sophisticated investors. Moreover, business cycles exert an influence on international equity investment decisions of both institutional and noninstitutional investors. |
publishDate |
2014 |
dc.date.none.fl_str_mv |
2014-12-01T00:00:00Z 2016-01-27T16:54:14Z |
dc.type.status.fl_str_mv |
info:eu-repo/semantics/publishedVersion |
dc.type.driver.fl_str_mv |
info:eu-repo/semantics/article |
format |
article |
status_str |
publishedVersion |
dc.identifier.uri.fl_str_mv |
http://hdl.handle.net/11110/949 oai:ciencipca.ipca.pt:11110/949 |
url |
http://hdl.handle.net/11110/949 |
identifier_str_mv |
oai:ciencipca.ipca.pt:11110/949 |
dc.language.iso.fl_str_mv |
eng |
language |
eng |
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0378-4266 http://hdl.handle.net/11110/949 |
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metadata only access info:eu-repo/semantics/openAccess |
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metadata only access |
eu_rights_str_mv |
openAccess |
dc.publisher.none.fl_str_mv |
Journal of Banking & Finance |
publisher.none.fl_str_mv |
Journal of Banking & Finance |
dc.source.none.fl_str_mv |
reponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação instacron:RCAAP |
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Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
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RCAAP |
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RCAAP |
reponame_str |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
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Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
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Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
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1799129882687438848 |