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Financial globalization, governance, and the evolution of the home bias

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Financial globalisation, governance and the evolution of the home bias

Kho, Bong-Chan; Stulz, René M.; Warnock, Francis E. - 2006

Despite the disappearance of formal barriers to international investment across countries, we find that the average home bias of US investors towards the 46 countries with the largest equity markets did not fall from 1994 to 2004 when countries are equally weighted but fell when countries are...