industrial specialization and low international trade. As international portfolio diversification is limited and productivity is … advantage. Financial globalization then induces more specialization and more trade. The present framework yields explicit closed …-form solutions for the volume and the structure of trade. Empirical results support the implications of the theory. Trade in …

We study how mutual fund managers gain an edge in selecting stocks in an era of globalization. We use textual analysis … important source of fund manager skill, which is of particular importance in an era of globalization …