Santis, Roberto A. De; Ehling, Paul - European Central Bank - 2007
We analyze the interlinkages between foreign direct investment (FDI) and foreign portfolio investment (FPI) between … stock of FPI. Most importantly, we find that information about foreign fundamentals is revealed via direct investment. In … investors follow firms’ expected foreign investment decisions. JEL Classification: F21, F23, G11, G15 …