Foreign portfolio investors before and during a crisis
AbstractDifferent categories of foreign portfolio investors in Korea have differences as well as similarities in their trading behavior before and during the currency crisis. First, non-resident institutional investors are always positive feedback traders, whereas resident investors were negative feedback (contrarian) traders before the crisis but switch to be positive feedback traders during the crisis. Second, individual investors herd significantly more than institutional investors. Non-resident (institutional as well individual) investors herd significantly more than their resident counterparts. Third, differences in the Western and Korean news coverage are correlated with differences in net selling by non-resident investors relative to resident investors ... Les investisseurs en portefeuille Ã©trangers en CorÃ©e prÃ©sentent, selon les types, des diffÃ©rences et des similitudes dans leur comportement en matiÃ¨re de gestion de portefeuille avant et pendant la crise monÃ©taire. Tout dâabord, si les effets de retour sont toujours positifs pour les investisseurs institutionnels non-rÃ©sidents, ils sont nÃ©gatifs avant la crise pour les investisseurs rÃ©sidents puis deviennent positifs au cours de la crise. DeuxiÃ¨mement, les investisseurs individuels ont beaucoup plus tendance que les investisseurs institutionnels Ã adopter un comportement grÃ©gaire sur les marchÃ©s, comme câest aussi le cas des non-rÃ©sidents (institutionnels et individuels) par rapport aux rÃ©sidents. TroisiÃ¨mement, les diffÃ©rences dans la couverture par la presse occidentale et corÃ©enne des informations en provenance de la CorÃ©e sont en corrÃ©lation avec les diffÃ©rences dans les ventes nettes entre les investisseurs non-rÃ©sidents et rÃ©sidents ...
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Bibliographic InfoArticle provided by Elsevier in its journal Journal of International Economics.
Volume (Year): 56 (2002)
Issue (Month): 1 (January)
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Web page: http://www.elsevier.com/locate/inca/505552
Other versions of this item:
- Woochan Kim & Shang-Jin Wei, 1999. "Foreign Portfolio Investors before and during a Crisis," CID Working Papers 6, Center for International Development at Harvard University.
- Woochan Kim & Shang-Jin Wei, 1999. "Foreign Portfolio Investors Before and During a Crisis," NBER Working Papers 6968, National Bureau of Economic Research, Inc.
- Wei, S.J. & Kim, W., 1999. "Foreign Portfolio Investors Before and During a Crisis," Papers 6, Chicago - Graduate School of Business.
- Woochan Kim & Shang-Jin Wei, 1999. "Foreign Portfolio Investors Before and during a Crisis," OECD Economics Department Working Papers 210, OECD Publishing.
- F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
- F3 - International Economics - - International Finance
- G15 - Financial Economics - - General Financial Markets - - - International Financial Markets
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