IDEAS home Printed from https://ideas.repec.org/p/sea/wpaper/wp11.html

Capital Market Development and Emergence of Institutional Investors in the Asia-Pacific Region

Author

Listed:
  • Hans Genberg

    (South East Asian Central Banks (SEACEN) Research and Training Centre)

Abstract

Bank credit is traditionally the largest source of finance in the Asia-Pacific region, but the role of capital markets has increased over time. There is substantial heterogeneity across countries, however. For capital markets to develop further, macroeconomic stability, strong property rights and enforcement of securities laws have been identified as particularly important considerations together with building of a state of the arts financial infrastructure including trading platforms, clearing and settlement systems, and transparent information sharing arrangements. Institutional investors tend to have long investment horizons and as such contribute to the stability of the local market. It may therefore be appropriate to explore ways to increase their presence in the domestic bond and equity markets. One way to do so is to promote savings through national pension funds and insurance companies. Promoting the participation of institutional investors in the domestic market may also be pursued via enhanced access for foreign institutional investors, being mindful of the risks to domestic financial stability associated with greater openness to international capital flows. Policy makers may also explore ways to take advantage of the emerging field of impact investment for the support of funding for projects with environmental, social, and infrastructure content.

Suggested Citation

  • Hans Genberg, 2015. "Capital Market Development and Emergence of Institutional Investors in the Asia-Pacific Region," Working Papers wp11, South East Asian Central Banks (SEACEN) Research and Training Centre.
    • Handle: RePEc:sea:wpaper:wp11
    as

    Download full text from publisher

    File URL: https://www.seacen.org/publications/RePEc/702003-100378-PDF.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Susumu Ito, 2018. "PPP vs ODA revisited: key issues for PPP infrastructure development in the Philippines," Philippine Review of Economics, University of the Philippines School of Economics and Philippine Economic Society, vol. 55(1 and 2), pages 56-86, June and .
    2. Hans Genberg, 2017. "Financial Integration in Asia," Working Papers wp22, South East Asian Central Banks (SEACEN) Research and Training Centre.
    3. Hyeladi Stanley Dibal & Habila Abel Haruna & Chinyere C. Onyejiaku & Ogbole Friday Ogbole & Josaphat Uchechukwu J. Onwumere, 2024. "Pension Fund Investments and Capital Market Development in Nigeria: The Moderating Role of Inflation," Global Journal of Emerging Market Economies, Emerging Markets Forum, vol. 16(2), pages 248-269, May.
    4. Michael Regan, 2017. "Capital Markets, Infrastructure Investment and Growth in the Asia Pacific Region," IJFS, MDPI, vol. 5(1), pages 1-28, February.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    JEL classification:

    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • F34 - International Economics - - International Finance - - - International Lending and Debt Problems
    • G15 - Financial Economics - - General Financial Markets - - - International Financial Markets
    • G23 - Financial Economics - - Financial Institutions and Services - - - Non-bank Financial Institutions; Financial Instruments; Institutional Investors

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sea:wpaper:wp11. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Azharin (email available below). General contact details of provider: https://edirc.repec.org/data/seacemy.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.