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Institutional investment in Central and Eastern Europe: investment criteria of Western portfolio managers

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  • Köke, Jens

Abstract

This study provides detailed evidence on the transistion state of Central and Eastern Europe (CEE) countries. It draws on data from a survey conducted among portfolio managers of Western investment funds thereby making use of the knowledge of experts in CEE markets. The approach of the study is two-fold : First, criteria for portfolio investment and current barriers to higher investment in CEE countries are identified. Second, the CEE portfolio structure is explained making use of detailed grading data from the survey. The results suggest that a reduction in general and macroeconomic risk tends to increase investment and that the potential of high returns and low risk from the setting of financial markets contributes to signifficantly higher investment in some countries.

Suggested Citation

  • Köke, Jens, 1999. "Institutional investment in Central and Eastern Europe: investment criteria of Western portfolio managers," ZEW Discussion Papers 99-37, ZEW - Leibniz Centre for European Economic Research.
    • Handle: RePEc:zbw:zewdip:5250
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    Cited by:

    1. Anthony Bende-Nabende & Jim Slater, 2003. "Private capital formation: Short- and long-run crowding-in (out) effects in ASEAN, 1971-99," Economics Bulletin, AccessEcon, vol. 3(28), pages 1-16.
    2. Groh, Alexander P. & Liechtenstein, Heinrich & Canela, Miguel A., 2008. "Limited partners' perceptions of the Central Eastern European venture capital and private equity market," IESE Research Papers D/727, IESE Business School.
    3. Volkhart Vincentz, 2002. "Entwicklungen und Tendenzen der Finanzsysteme in Osteuropa," Working Papers 237, Leibniz Institut für Ost- und Südosteuropaforschung (Institute for East and Southeast European Studies).
    4. Groh, Alexander P. & Liectenstein, Heinrich, 2009. "The first step of the capital flow from institutions to entrepreneurs: The criteria for sorting venture capital funds," IESE Research Papers D/795, IESE Business School.
    5. repec:ebl:ecbull:v:3:y:2003:i:28:p:1-16 is not listed on IDEAS

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    More about this item

    Keywords

    Central and Eastern Europe; institutional investors; portfolio investment;
    All these keywords.

    JEL classification:

    • G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions
    • G23 - Financial Economics - - Financial Institutions and Services - - - Non-bank Financial Institutions; Financial Instruments; Institutional Investors
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General

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