We show in a dynamic investment setting whether firms choose FDI or international portfolio investment (FPI) in the presence of stochastic productivity taking into account differences in flexibility of both investments. Isolated FPI and FDI investments are compared to combined FPI and FDI...

By using data from nine waves of the IMF Coordinated Portfolio Investment Survey, we explore the determinants of bilateral portfolio investments and their dynamics. The main goal of our analysis is that of understanding whether a diversifi cation motive can be found, among the various...

This paper provides empirical evidence on the determinants of foreign activities of German banks. We use regionally disaggregated panel data for the years 1981-98 and distinguish foreign direct investment from total foreign assets of domestic banks, of their foreign branches and their...

Objective: The objective of the article is to explore how new multinationals construct their FDI location portfolios and what the performance outcomes of these decisions are. Research Design & Methods: Building our conceptual framework on the organisational learning theory, we conduct regression...

Building on the vast literature, this paper focuses on the role of the structure of the international investment position (IIP) in affecting countries' external vulnerabilities. Using a sample of 73 advanced and emerging economies and new database on the IIP's currency composition, we find that...

This paper characterizes how firms' strategic interaction in product markets affects the industry dynamics of investment and expected returns. In imperfectly competitive industries, a firm's exposure to systematic risk is jointly affected by its own investment strategy and the investment...

This article remarks that the activities of the international capital flows and the foreign direct investment increase, influence the growth process of countries. The economies attach more importance to these two factors in each passing day. On the other hand, the exposure degrees of host...

We examine the differential impact of portfolio debt, portfolio equity, and FDI inflows on 37 manufacturing industries, 99 countries, 1991-2007, extending Rajan-Zingales (1998). We utilize external finance dependence measures in a series of cross-sectional regressions of manufacturing...

In recent decades, financial liberalization has been one of the most important strategies for Asian countries to promote growth. However, debate emerges following several financial crises on whether liberalizing financial markets and allowing for free access to international capital markets,...

The paper deals with the issues of attracting investments into venture capital and private equity funds in Latvia. The aim of the research is to assess changes in the venture capital and private equity industry and evaluate its condition in the post-crisis period. The period of analysis is the...