Does political risk matter for sovereign wealth funds? International evidence
| Autor: | Wael Rouatbi, Chiraz Labidi, Jocelyn Grira |
|---|---|
| Rok vydání: | 2022 |
| Předmět: |
040101 forestry
Economics and Econometrics Government 050208 finance Political risk Financial economics media_common.quotation_subject 05 social sciences Sample (statistics) 04 agricultural and veterinary sciences Democracy Investment decisions Sovereign wealth fund 0502 economics and business Economics 0401 agriculture forestry and fisheries Portfolio Cultural bias Finance media_common |
| Zdroj: | International Review of Financial Analysis. 81:101236 |
| ISSN: | 1057-5219 |
| DOI: | 10.1016/j.irfa.2018.07.013 |
| Popis: | We investigate the impact of political risk on the investment decisions of sovereign wealth funds (SWFs). Using an international sample of 302 targets involved in 427 SWFs' deals, we find that political risk matters in determining SWFs' portfolio strategies. Among the four dimensions of political risk, we show that conflicts and democratic tendencies are the main components that explain variations in SWF behaviour, whereas the quality of institutions and government action matter less. Our results are robust to a battery of sensitivity tests, alternative model specifications, subsample analysis, and cultural bias. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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