Foreign ownership in emerging stock markets

Jonathan A. Batten, Xuan Vinh Vo

Research output: Contribution to journalArticleResearchpeer-review

32 Citations (Scopus)

Abstract

We use several firm characteristics to establish the extent that information asymmetry impacts the level of foreign ownership in Vietnam. The findings indicate that foreign investors adopt a long term investment horizon and employ a buy and hold strategy to exploit potential growth prospects. These investors also avoid firms with riskier financial management practices and where information asymmetries provide advantages to domestic investors. Overall, these findings support the importance of linking deregulation with financial market openness and transparency to enhance and encourage international portfolio investment.

Original languageEnglish
Pages (from-to)15-24
Number of pages10
JournalJournal of Multinational Financial Management
Volume32-33
DOIs
Publication statusPublished - 1 Dec 2015

Keywords

  • Firm attributes
  • Foreign ownership
  • Portfolio investment
  • Vietnam

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