Find a copy online
Links to this item
National Bureau of Economic Research
Volltext kostenfrei
Find a copy in the library
Finding libraries that hold this item...
Details
Genre/Form: | History Treaties |
---|---|
Material Type: | Internet resource |
Document Type: | Book, Internet Resource |
All Authors / Contributors: |
William N Goetzmann; Andrey Ukhov; National Bureau of Economic Research. |
OCLC Number: | 60249231 |
Notes: | "April 2005." |
Description: | 55, [2] pages : illustrations ; 22 cm. |
Series Title: | Working paper series (National Bureau of Economic Research), working paper no. 11266. |
Responsibility: | William N. Goetzmann, Andrey D. Ukhov. |
Abstract:
"Many scholars have asked whether British investors benefited from overseas investment investing in the 19th century and whether this export of capital had negative effects. We re-visit the issue using modern portfolio theory. We examine the set of investment opportunities available to British investors, the developments in information transmission technology, and advances in financial and investment theory at the time. We use mean-variance optimization techniques to take into account the risk and return characteristics of domestic and international investments available to a British investor, and to quantify the beneifts from international diversification. Evidence suggests that capital export was a consequence of both the opportunity and the understanding of diversification. foreign assets offered higher rates of return, but equally important, they offered significant diversification benefits. Even when--by setting expected return on each foreign asset class equal to that of the corresponding UK asset class--we put foreign assets at a disadvantage, we find that it was rational for a British investor to include foreign debts and equity in the portfolio"--National Bureau of Economic Research web site.
Reviews
User-contributed reviews
Add a review and share your thoughts with other readers.
Be the first.
Add a review and share your thoughts with other readers.
Be the first.


Tags
Add tags for "British investment overseas 1870-1913 : a modern portfolio theory approach".
Be the first.
Similar Items
Related Subjects:(12)
- United States -- Foreign relations -- Treaties.
- Investments, Foreign -- Great Britain -- History.
- Portfolio management -- Great Britain -- History.
- Diplomatic relations.
- Investments, Foreign.
- Portfolio management.
- Great Britain.
- United States.
- Außenpolitik.
- Geschichte.
- Großbritannien.
- USA.