Factors Affecting Investment Behaviour of Foreign Institutional Investors

Factors Affecting Investment Behaviour of Foreign Institutional Investors PDF Author: Mrunal Joshi
Publisher:
ISBN:
Category :
Languages : en
Pages : 13

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Book Description
Liberalization of economic policies in 1992 allowed foreign institutional investors investing in Indian capital markets. Though FII permitted to invest Indian stock markets in 1992, they actually started investing in India from 1997 and factual growth of FII investment came after 2002. Since then participation of FII in Indian stock market has continuously increased. They have emerged to be one of the largest investors and have acquired ownership of substantial proportion of non-promoter shares. They have also emerged to be dominant market players contributing very high proportion 41.73% of total stock exchange turnover of BSE and NSE combined. In Indian markets, FII are perceived to be very large and sophisticated investors with very high impact on stock market returns. Many investors and market participants tend to make their stock market strategy based on investment pattern of FII and base their stock market analysis on their perception about factors considered by FII in their investment decision. In this context this paper studies perception of market participants about major determinants of FII investment decision and extent to which investors are influenced by FII investment.

Factors Affecting Investment Behaviour of Foreign Institutional Investors

Factors Affecting Investment Behaviour of Foreign Institutional Investors PDF Author: Mrunal Joshi
Publisher:
ISBN:
Category :
Languages : en
Pages : 13

Get Book Here

Book Description
Liberalization of economic policies in 1992 allowed foreign institutional investors investing in Indian capital markets. Though FII permitted to invest Indian stock markets in 1992, they actually started investing in India from 1997 and factual growth of FII investment came after 2002. Since then participation of FII in Indian stock market has continuously increased. They have emerged to be one of the largest investors and have acquired ownership of substantial proportion of non-promoter shares. They have also emerged to be dominant market players contributing very high proportion 41.73% of total stock exchange turnover of BSE and NSE combined. In Indian markets, FII are perceived to be very large and sophisticated investors with very high impact on stock market returns. Many investors and market participants tend to make their stock market strategy based on investment pattern of FII and base their stock market analysis on their perception about factors considered by FII in their investment decision. In this context this paper studies perception of market participants about major determinants of FII investment decision and extent to which investors are influenced by FII investment.

Portfolio Preferences of Foreign Institutional Investors

Portfolio Preferences of Foreign Institutional Investors PDF Author: Reena Aggarwal
Publisher: World Bank Publications
ISBN:
Category : Foreign exchange
Languages : en
Pages : 47

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Book Description


ESG and Responsible Institutional Investing Around the World: A Critical Review

ESG and Responsible Institutional Investing Around the World: A Critical Review PDF Author: Pedro Matos
Publisher: CFA Institute Research Foundation
ISBN: 1944960988
Category : Business & Economics
Languages : en
Pages : 80

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Book Description
This survey examines the vibrant academic literature on environmental, social, and governance (ESG) investing. While there is no consensus on the exact list of ESG issues, responsible investors increasingly assess stocks in their portfolios based on nonfinancial data on environmental impact (e.g., carbon emissions), social impact (e.g., employee satisfaction), and governance attributes (e.g., board structure). The objective is to reduce exposure to investments that pose greater ESG risks or to influence companies to become more sustainable. One active area of research at present involves assessing portfolio risk exposure to climate change. This literature review focuses on institutional investors, which have grown in importance such that they have now become the largest holders of shares in public companies globally. Historically, institutional investors tended to concentrate their ESG efforts mostly on corporate governance (the “G” in ESG). These efforts included seeking to eliminate provisions that restrict shareholder rights and enhance managerial power, such as staggered boards, supermajority rules, golden parachutes, and poison pills. Highlights from this section: · There is no consensus on the exact list of ESG issues and their materiality. · The ESG issue that gets the most attention from institutional investors is climate change, in particular their portfolio companies’ exposure to carbon risk and “stranded assets.” · Investors should be positioning themselves for increased regulation, with the regulatory agenda being more ambitious in the European Union than in the United States. Readers might come away from this survey skeptical about the potential for ESG investing to affect positive change. I prefer to characterize the current state of the literature as having a “healthy dose of skepticism,” with much more remaining to be explored. Here, I hope the reader comes away with a call to action. For the industry practitioner, I believe that the investment industry should strive to achieve positive societal goals. CFA Institute provides an exemplary case in its Future of Finance series (www.cfainstitute.org/research/future-finance). For the academic community, I suggest we ramp up research aimed at tackling some of the open questions around the pressing societal goals of ESG investing. I am optimistic that practitioners and academics will identify meaningful ways to better harness the power of global financial markets for addressing the pressing ESG issues facing our society.

Global Investment Competitiveness Report 2019/2020

Global Investment Competitiveness Report 2019/2020 PDF Author: World Bank Group
Publisher: World Bank Publications
ISBN: 1464815437
Category : Business & Economics
Languages : en
Pages : 321

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Book Description
The Global Investment Competitiveness Report 2019-2020 provides novel analytical insights, empirical evidence, and actionable recommendations for governments seeking to enhance investor confidence in times of uncertainty. The report's findings and policy recommendations are organized around "3 ICs" - they provide guidance to governments on how to increase investments' contributions to their country's development, enhance investor confidence, and foster their economies' investment competitiveness. The report presents results of a new survey of more than 2,400 business executives representing FDI in 10 large developing countries: Brazil, China, India, Indonesia, Malaysia, Mexico, Nigeria, Thailand, Turkey, and Vietnam. The results show that over half of surveyed foreign businesses have already been adversely affected by policy uncertainty, experiencing a decrease in employment, firm productivity, or investment. Foreign investors report that supporting political environments, stable macroeconomic conditions, and conducive regulatory regimes are their top three investment decision factors. Moreover, the report's new global database of regulatory risk shows that predictability and transparency increase investor confidence and FDI flows. The report also assesses the impact of FD! on poverty, inequality, employment, and firm performance using evidence from various countries. It shows that FDI in developing countries yields benefits to their firms and citizens-including more and better-paid jobs-but governments need to be vigilant about possible adverse consequences on income distribution. The report is organized in S chapters: Chapter 1 presents the results of the foreign investor survey. Chapter 2 explores the differential performance and development impact of greenfield FDI, local firms acquired by multinational corporations {i.e. brownfield FDI), and domestically-owned firms using evidence from six countries. Chapter 3 assesses the impact of FDI on poverty, inequality, employment and wages, using case study evidence from Ethiopia, Turkey and Vietnam. Chapter 4 presents a new framework to measure FDI regulatory risk that is linked to specific legal and regulatory measures. Chapter S focuses on factors for increasing the effectiveness of investment promotion agencies.

New Voices in Investment

New Voices in Investment PDF Author: Maria Laura Gómez Mera
Publisher: World Bank Publications
ISBN: 9781464803710
Category : Business & Economics
Languages : en
Pages : 0

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Book Description
This study analyzes the characteristics, motivations, strategies, and needs of FDI from emerging markets. It draws from a survey of investors and potential investors in Brazil, India, South Korea, and South Africa.

Dividend Policy and Stock Price Volatility

Dividend Policy and Stock Price Volatility PDF Author: David E. Allen
Publisher:
ISBN: 9781863422581
Category : Dividends
Languages : en
Pages : 36

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Book Description


Capital Inflows and Real Exchange Rate Appreciation in Latin America

Capital Inflows and Real Exchange Rate Appreciation in Latin America PDF Author: Guillermo A. Calvo
Publisher:
ISBN:
Category : Capital movements
Languages : en
Pages : 70

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Book Description


Bank-based and Market-based Financial Systems

Bank-based and Market-based Financial Systems PDF Author: Asl? Demirgüç-Kunt
Publisher: World Bank Publications
ISBN:
Category : Bancos
Languages : en
Pages : 73

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Book Description


Herd Behavior in Financial Markets

Herd Behavior in Financial Markets PDF Author: Sushil Bikhchandani
Publisher:
ISBN:
Category : Capital market
Languages : en
Pages : 38

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Book Description


Economics of Sovereign Wealth Funds

Economics of Sovereign Wealth Funds PDF Author: Mr.Udaibir S. Das
Publisher: International Monetary Fund
ISBN: 1589069277
Category : Business & Economics
Languages : en
Pages : 330

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Book Description
The book covers a wide range of topics of relevance to policymakers in countries that have sovereign wealth funds (SWFs) and those that receive SWF investments. Renowned experts in the field have contributed chapters. The book is organized around four themes: (1) the role and macrofinancial linkages of SWFs, (2) institutional factors, (3) investment approaches and financial markets, and (4) the postcrisis outlook. The book also discusses the challenges facing sovereign wealth funds in the coming years, from an inside perspective on countries, including Canada, Chile, China, Norway, Russia, and New Zealand. Economics of Sovereign Wealth Funds will contribute to a further understanding of the nature, strategies and behavior of SWFs and the environment in which they operate, as their importance is likely to grow in the coming years.