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Corporate international diversification and the cost of equity: European evidence

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  • R. Joliet

    (LEM - Lille - Economie et Management - Université de Lille, Sciences et Technologies - CNRS - Centre National de la Recherche Scientifique)

  • G. Hübner

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  • R. Joliet & G. Hübner, 2008. "Corporate international diversification and the cost of equity: European evidence," Post-Print hal-00787167, HAL.
    • Handle: RePEc:hal:journl:hal-00787167
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    1. Errunza, Vihang R & Senbet, Lemma W, 1984. "International Corporate Diversification, Market Valuation, and Size-Adjusted Evidence," Journal of Finance, American Finance Association, vol. 39(3), pages 727-743, July.
    2. Patrick F. Rowland & Linda L. Tesar, 2004. "Multinationals and the Gains from International Diversification," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 7(4), pages 789-826, October.
    3. Fatemi, Ali M, 1984. "Shareholder Benefits from Corporate International Diversification," Journal of Finance, American Finance Association, vol. 39(5), pages 1325-1344, December.
    4. Daniel Sullivan, 1994. "Measuring the Degree of Internationalization of a Firm," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 25(2), pages 325-342, June.
    5. J Markham Collins, 1990. "A Market Performance Comparison of U.S. Firms Active in Domestic, Developed and Developing Countries," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 21(2), pages 271-287, June.
    6. Moerman, Gerard, 2004. "Diversification in euro area stock markets: country versus industry," Working Paper Series 327, European Central Bank.
    7. Brewer, H. L., 1981. "Investor Benefits from Corporate International Diversification," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 16(1), pages 113-126, March.
    8. Foort HAMELINK, & Hélène HARASTY & Pierre HILLION, 2001. "Country, Sector or Style: What Matters Most When Constructing Global Equity Portfolios? An Empirical Investigation from 1990-2001," FAME Research Paper Series rp35, International Center for Financial Asset Management and Engineering.
    9. Ravi Jagannathan & Zhenyu Wang, 1993. "The CAPM is alive and well," Staff Report 165, Federal Reserve Bank of Minneapolis.
    10. Karen Chambliss & Jeff Madura & Francis W. Wright, 1994. "The Changing Risk Profile Of U.S.‐Based Multinational Corporations Exposed To European Community Markets," Journal of Financial Research, Southern Finance Association;Southwestern Finance Association, vol. 17(1), pages 133-146, March.
    11. Froot, Kenneth A. & Dabora, Emil M., 1999. "How are stock prices affected by the location of trade?," Journal of Financial Economics, Elsevier, vol. 53(2), pages 189-216, August.
    12. Stephen E. Christophe, 2002. "The Value of U.S. MNC Earnings Changes from Foreign and Domestic Operations," The Journal of Business, University of Chicago Press, vol. 75(1), pages 67-94, January.
    13. Patricia Fraser & Foort Hamelink & Martin Hoesli & Bryan Macgregor, 2004. "Time-varying betas and the cross-sectional return-risk relation: evidence from the UK," The European Journal of Finance, Taylor & Francis Journals, vol. 10(4), pages 255-276.
    14. Griffin, John M. & Andrew Karolyi, G., 1998. "Another look at the role of the industrial structure of markets for international diversification strategies," Journal of Financial Economics, Elsevier, vol. 50(3), pages 351-373, December.
    15. Francesca Carrieri & Vihang Errunza & Sergei Sarkissian, 2004. "Industry Risk and Market Integration," Management Science, INFORMS, vol. 50(2), pages 207-221, February.
    16. Mark Grinblatt & Matti Keloharju, 2001. "How Distance, Language, and Culture Influence Stockholdings and Trades," Journal of Finance, American Finance Association, vol. 56(3), pages 1053-1073, June.
    17. Groenewold, Nicolaas & Fraser, Patricia, 1999. "Time-varying estimates of CAPM betas," Mathematics and Computers in Simulation (MATCOM), Elsevier, vol. 48(4), pages 531-539.
    18. Javier Estrada & Mark Kritzman & Simon Myrgren & Sébastien Page, 2005. "Countries versus industries in Europe: A normative portfolio approach," Journal of Asset Management, Palgrave Macmillan, vol. 6(2), pages 85-103, August.
    19. Michael Steliaros & Dylan C Thomas, 2006. "The cross-sectional variability of stock-price returns: Country and sector effects revisited," Journal of Asset Management, Palgrave Macmillan, vol. 7(3), pages 273-290, September.
    20. Chambliss, Karen & Madura, Jeff & Wright, Francis W, 1994. "The Changing Risk Profile of U.S.-Based Multinational Corporations Exposed to European Community Markets," Journal of Financial Research, Southern Finance Association;Southwestern Finance Association, vol. 17(1), pages 133-146, Spring.
    21. Miguel Almeida Ferreira & Miguel Ângelo Ferreira, 2006. "The Importance of Industry and Country Effects in the EMU Equity Markets," European Financial Management, European Financial Management Association, vol. 12(3), pages 341-373, June.
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    Cited by:

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    2. Krapl, Alain A., 2015. "Corporate international diversification and risk," International Review of Financial Analysis, Elsevier, vol. 37(C), pages 1-13.

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