Theoretical Perspectives on Financial Globalization: Trade Costs and Home Bias

Fiche du document

Auteur
Date

2013

Discipline
Type de document
Périmètre
Langue
Identifiants
Source

Archive ouverte de Sciences Po (SPIRE)

Relations

Ce document est lié à :
info:eu-repo/semantics/altIdentifier/hdl/2441/2adscff7129rlp0u1vsls6nho4

Collection

Sciences Po - SPIRE

Organisation

Sciences Po

Mots-clés En

Consumption home bias Hedging motives International portfolios Portfolio home bias Trade costs

Sujets proches En

Bias

Citer ce document

Nicolas Coeurdacier, « Theoretical Perspectives on Financial Globalization: Trade Costs and Home Bias », Archive ouverte de Sciences Po (SPIRE), ID : 10670/1.r4iio8

Métriques

Partage / Export

Résumé 0

Standard theory would predict that investors hold a well diversified portfolio of equities across the world but despite the process of `financial globalization,' investors still hold a disproportionate share of local equities in their portfolio: the `equity home bias.’ Their consumption basket is also tilted toward domestic goods: the `consumption home bias.’ In the data, these two biases are positively correlated across countries. We review the different theories that can explain this pattern of the data: hedging motives in portfolio decisions and frictions in international financial markets.

document thumbnail

Par les mêmes auteurs

Sur les mêmes sujets

Sur les mêmes disciplines

Exporter en