recent euro area stock markets data, we find clear evidence that diversification over industries yields more efficient … portfolios than diversification over countries. We show that this result is robust with respect to the information technology … and a different sample period, that country diversification strategies are superior. We regard this paper as a robustness …

We study how financial market efficiency affects a measure of diversification of output across industrial sectors … and for various levels of disaggregation, we construct a benchmark measure of diversification as the set of allocations of … patterns disappear when we employ "naive" measures of diversification based on the equal spreading of output across sectors. …

belief that higher reserve levels should go along with higher diversification to minimize the opportunity costs from holding … diversification is optimal or not. We estimate for a panel of 20 countries the determinants of the currency composition of reserves …