Investment Property Diversification Over Different Economic Phases in New Zealand

Autor:	Zhi Dong, Ningkun Li
Rok vydání:	2012
Předmět:	Property (philosophy) Financial economics Sharpe ratio Economics Portfolio Sample (statistics) Diversification (marketing strategy) Investment (macroeconomics) General Economics Econometrics and Finance
Zdroj:	Pacific Rim Property Research Journal. 18:106-128
ISSN:	2201-6716 1444-5921
DOI:	10.1080/14445921.2012.11104354
Popis:	This study empirically investigates the enhancement of cross-sector diversification for investment properties in a small economy, where there are only a few regional choices. It also examines the distinct effects of optional diversification strategies over different economic phases. The study constructs investment property return indices using a unique listed investment property database in New Zealand, which compares the Sharpe ratio of optional investment portfolios under different diversification strategies.It is found that a portfolio of industrial properties in Auckland is preferable to any other property portfolios over the entire sample period in New Zealand. The findings support a prior strategy to prudently select properties in a major city in this small economy. The findings recommend direct or indirect property investors prioritize the locational choice in a small economy. The findings imply that the best diversification strategy may not be consistent over different economic phases. Thi...
Databáze:	OpenAIRE
Externí odkaz:	https://explore.openaire.eu/search/publication?articleId=doi_________::45fcdc7be7db9fb1fb21dd16c597e24a https://doi.org/10.1080/14445921.2012.11104354 Zobrazit plný text záznamu