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Is Portfolio Diversification Achievable Within The Mexican Stock Market?

Author

Listed:
  • Iván Aguayo Guajardo

    (Tecnológico de Monterrey, Campus Monterrey)

Abstract

La diversificación es la mayoría de las veces considerada una característica de cualquier mercado de valores. Sin embargo, investigación reciente cuestiona este tema específicamente con respecto a los mercados emergentes dada la sincronía en los rendimientos de sus instrumentos y México es puesto en el ojo de la tormenta dentro de los 10 con más alta sincronía. Este análisis encuentra, con el uso de un modelo específico, que los inversionistas pueden reducir alrededor del 50% de la desviación estándar de los rendimientos de un portafolio al aumentar el número de acciones contenidas. Así que esta preocupación no debería ser una razón para que los inversionistas eviten invertir en la BMV.

Suggested Citation

  • Iván Aguayo Guajardo, 2005. "Is Portfolio Diversification Achievable Within The Mexican Stock Market?," Remef - Revista Mexicana de Economía y Finanzas Nueva Época REMEF (The Mexican Journal of Economics and Finance), Instituto Mexicano de Ejecutivos de Finanzas, IMEF, vol. 4(1), pages 65-72, Marzo 200.
    • Handle: RePEc:imx:journl:v:4:y:2005:i:1:p:65-72
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    References listed on IDEAS

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    1. Ron Bird & Mark Tippett, 1986. "Note---Naive Diversification and Portfolio Risk---A Note," Management Science, INFORMS, vol. 32(2), pages 244-251, February.
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    3. Harvey, Campbell R, 1995. "Predictable Risk and Returns in Emerging Markets," The Review of Financial Studies, Society for Financial Studies, vol. 8(3), pages 773-816.
    4. Statman, Meir, 1987. "How Many Stocks Make a Diversified Portfolio?," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 22(3), pages 353-363, September.
    5. Bhattacharya, Utpal & Daouk, Hazem & Jorgenson, Brian & Kehr, Carl-Heinrich, 2000. "When an event is not an event: the curious case of an emerging market," Journal of Financial Economics, Elsevier, vol. 55(1), pages 69-101, January.
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    More about this item

    Keywords

    Portfolio Choice; Investment Decisions; International Financial Markets; Financial Economics;
    All these keywords.

    JEL classification:

    • G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions
    • G15 - Financial Economics - - General Financial Markets - - - International Financial Markets
    • N26 - Economic History - - Financial Markets and Institutions - - - Latin America; Caribbean

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