Darvas, Zsolt, Schoenmaker, Dirk , (2017), “Institutional investors and home bias in Europe’s Capital Markets Union”, Bruegel, Μάρτιος
We highlight that existing indicators of equity home bias in the literature suffer from incomplete coverage because they consider only listed equities. We also consider unlisted equites and show that equity home bias is much higher than previous studies perceived. We also analyse home bias in debt securities holdings, and euro area bias.
We conclude that European Union membership may foster financial integration and reduce information barriers, which sometimes limit cross-country diversification.
We calculate home bias indicators for the aggregate of the euro area as if the euro area was a single country and report remarkable similarity between the euro area and the United States in terms of equity home bias, while there is a higher level of debt home bias in the United States than in the euro area as a whole.
Σχετικές Αναρτήσεις
- Valiante, Diego, (2016), “Europe’s Untapped Capital Market: Rethinking integration after the great financial crisis”, Final Report of the European Capital Markets Experts Group, Ceps, Φεβρουαρίος
- Valiante, Diego, (2015), “Light and shadows in Europe’s new Action Plan for Capital Markets Union”, ECMI Commentary, No. 40, Ceps, 6 Οκτωβρίου