managers by allocating reduced risk budgets to each manager, which helps to compensate for the suboptimal diversification that … results; sponsors also benefit from alpha diversification when employing multiple fund managers. Overall, our results provide …

contracts are relatively difficult to enforce. International diversification can thus yield substantial gains, but they may …

financial development has important consequences for the efficiency and specialization (or diversification) of investments, in a …

We study empirically the effect of focus (specialization) versus diversification on the return and the risk of banks …) focus and diversification using a unique data set that is able to identify individual bank loan exposures to different … expansion into newer or competitive industries. We find that industrial loan diversification reduces bank return while …

We study IPOs by focusing on the degree of portfolio diversification of the shareholders taking the company public. We … detailed at the stock level, for both private and public companies. We construct several proxies for portfolio diversification … predicted, the degree of diversification explains a significant (economically and statistically) part of the probability of …

-spreading (diversification) that the economy can achieve. The desire to avoid highly risky investments slows down capital accumulation and the … equilibrium is inefficient because individuals do not take into account their impact on the diversification opportunities of …