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documented that diversification among risky assets in a particular country leads to risk reduction, but the potential gains are … limited due to high correlations within an economy. Therefore, international portfolio diversification, primarily in stocks … contracts to the international dimension. The findings lend support to the arguments in favor of international diversification …
Persistent link: https://www.econbiz.de/10013130535
this trend, Africa's integration lag may present opportunities for investors seeking regional diversification — and …
Persistent link: https://www.econbiz.de/10013085160
This paper examines the benefits of regionally and globally diversified portfolios from the perspective of investors holding domestic-only portfolios from different Asia-Pacific countries. Three groups of regional portfolio are constructed, with sorting based on relative strength ranking...
Persistent link: https://www.econbiz.de/10012905553
, most previous analysis has focused on regional diversification by applying the traditional mean-variance (MV) framework …
Persistent link: https://www.econbiz.de/10012940623
This paper examines the benefits of regionally and globally diversified portfolios from the perspective of investors holding domestic-only portfolios from different Asia-Pacific countries. Three groups of regional portfolio are constructed, with sorting based on relative strength ranking...
Persistent link: https://www.econbiz.de/10013043554
Diversification of financial securities is considered a substantial element of portfolio risk. In this context, the … individual portfolios and later compared to the hypothetical common equity index. The results show diversification benefits …35, FTSE MIB, and FTSE100. In contrast, DAX, MDAX, and CAC40 on average tend to be less diversified. The diversification …
Persistent link: https://www.econbiz.de/10013277308
-integration portfolios. The role of the least globally integrated US stocks in domestic and international portfolio diversification is … assessed. We show that these stocks can statistically and economically augment diversification potential, especially after 2000 …
Persistent link: https://www.econbiz.de/10014349350
2007 and 2021, this study aims to examine if there are any advantages to diversification in ASEAN markets for Vietnamese … period and a 12-month rolling correlation window. To assess the benefits of diversification, several portfolios are built … have risen between before and after crises. Diversification advantages are available to Vietnamese investors, although …
Persistent link: https://www.econbiz.de/10014429106
We show that the last few components in the principal component analysis of the correlation matrix of a group of stocks may contain useful financial insights by identifying highly correlated pairs or larger groups of stocks. The results of this type of analysis can easily be included in the...
Persistent link: https://www.econbiz.de/10011759755
We present four methods of assessing the diversification potential within a stock market, and two of these are based on … consistent picture. The potential for diversification declined almost monotonically in the three years prior to the 2008 …, the diversification potential declined even further in the 2011 European debt crisis and the American credit downgrade. …
Persistent link: https://www.econbiz.de/10011760308