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Foreign Shareholding: A Decomposition Analysis

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  • Ajay Shah
  • Ila Patnaik

Abstract

A decomposition in the ownership of shares by foreigners is offered into three parts: the change in insider shareholding, the change in market capitalisation and the change in the fraction of outside shareholding that is held by foreigners. As an example, this decomposition is applied to help understand the sharp change in for- eign ownership of Indian firms after 2001. [Working Paper No. 2010-74].

Suggested Citation

  • Ajay Shah & Ila Patnaik, 2010. "Foreign Shareholding: A Decomposition Analysis," Working Papers id:3176, eSocialSciences.
    • Handle: RePEc:ess:wpaper:id:3176
    Note: Institutional Papers
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    References listed on IDEAS

    as
    1. Bong‐Chan Kho & René M. Stulz & Francis E. Warnock, 2009. "Financial Globalization, Governance, and the Evolution of the Home Bias," Journal of Accounting Research, Wiley Blackwell, vol. 47(2), pages 597-635, May.
    2. René M. Stulz, 2007. "The Limits of Financial Globalization," Journal of Applied Corporate Finance, Morgan Stanley, vol. 19(1), pages 8-15, January.
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    More about this item

    Keywords

    firms; market capitalisation; ownership; equities; Home bias; foreign investors; shares; foreigners; shareholding; Indian;
    All these keywords.

    JEL classification:

    • G1 - Financial Economics - - General Financial Markets
    • G15 - Financial Economics - - General Financial Markets - - - International Financial Markets

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