This paper uses the segmented dual-class shares issued by several dozen Chinese firms---A shares to local Chinese investors and H shares to foreign investors---to compare reactions of local and foreign investors to the same public news. We find that local investors react more strongly to...

Financial markets in developing countries have become integrated with the rest of the world. This paper seeks to examine the degree of integration of the Indian stock market with the rest of the world. First, it looks at the impact of foreign portfolio investment on stock price movements....