Journal ArticleDOI
Portfolio Flows Into India : Do Domestic Fundamentals Matter?
Poonam Gupta,James P. F. Gordon +1 more
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In this paper, the factors affecting portfolio equity flows into India using monthly data were analyzed and it was shown that portfolio flows are determined by both external and domestic factors, while the primary domestic determinants are the lagged stock return and changes in credit ratings.Abstract:
This paper analyzes the factors affecting portfolio equity flows into India using monthly data. Flows to India are small compared to other emerging markets, but seem to be relatively less volatile. They also seem to be quite resilient. The paper shows that portfolio flows are determined by both external and domestic factors. Among external factors, LIBOR and emerging market stock returns are important, while the primary domestic determinants are the lagged stock return and changes in credit ratings. In quantitative terms, both external and domestic factors are found to be about equally important.read more
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A Study of Exchange Rates Movement and Stock Market Volatility
TL;DR: In this paper, the relationship between Nifty returns and Indian rupee-US Dollar Exchange Rates has been analyzed and several statistical tests have been applied in order to study the behavior and dynamics of both the series.
Journal ArticleDOI
Foreign Portfolio Investment Flows to India: Determinants and Analysis
Reetika Garg,Pami Dua +1 more
TL;DR: The authors analyzes the macroeconomic determinants of portfolio flows to India and finds that lower exchange rate volatility and greater risk diversification opportunities are conducive to portfolio flows, however, higher equity returns of other emerging markets discourage these flows.
Journal ArticleDOI
Determinants of foreign institutional investment in india: the role of return, risk, and inflation
Kulwant Rai,N. R. Bhanumurthy +1 more
TL;DR: In this paper, the authors examined the determinants of foreign institutional investments (FII) in India and found that FII inflow depends on stock market returns, inflation rates (both domestic and foreign), and ex-ante risk.
Journal ArticleDOI
Human capital, technological progress and trade: What explains India's long run growth?
TL;DR: In this article, the authors used an improved growth accounting framework and ARDL-based co-integration techniques to identify the factors that drive long run productivity growth in India and found that both domestic technology capability building and foreign technology spillovers are important forces in determining India's long run growth.
Book
Pro-poor macroeconomics : potential and limitations
TL;DR: In this article, the authors discuss the potential and limitations of Pro-Poor Macroeconomics in the globalized economy and propose safety nets for the poor in the context of macroeconomic policies.
References
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ReportDOI
Investor Diversification and International Equity Markets
TL;DR: The authors used a simple model of investor preferences and behavior to show that current portfolio patterns imply that investors in each nation expect returns in their domestic equity market to be several hundred basis points higher than returns in other markets.
Journal ArticleDOI
The impact of institutional trading on stock prices
TL;DR: In this paper, the authors used new data on the holdings of 769 tax-exempt (predominantly pension) funds, to evaluate the potential effect of their trading on stock prices.
Journal ArticleDOI
“Capital Inflows and Real Exchange Rate Appreciation in Latin America: The Role of External Factors
TL;DR: The characteristics of recent capital inflows into Latin America are discussed in this paper, where it is argued that these inflows are partly explained by conditions outside the region, like the recession in the United States and lower international interest rates.
Journal ArticleDOI
Trying to Explain Home Bias in Equities and Consumption
TL;DR: In this paper, the authors discuss the potential relationship between consumption home bias and foreign equities and show that consumption growth rates tend to co-move across countries even when output growth rates do not.
Journal ArticleDOI
International Portfolio Investment Flows
Michael J. Brennan,H. Henry Cao +1 more
TL;DR: In this paper, the authors developed a model of international equity portfolio investment flows based on differences in informational endowments between foreign and domestic investors, and showed that when domestic investors possess a cumulative information advantage over foreign investors about their domestic market, investors tend to purchase foreign assets in periods when the return on foreign assets is high and to sell when the returning is low.
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