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Опыт Использования Портфельных Концепций Менеджмента Для Анализа Распределения Инвестиционного Потенциала В Интегрированной Бизнес-Группе
[Using of the Portfolio Theory for the Analysis of the Investment Allocation within the Business Group]

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  • Kotov, Denis

Abstract

Using the portfolio theory we have investigated how portfolio investor and controlling shareholder appraise investment decisions on the on the distribution of investment resources among strategic business units in a business group. In order to apply the existing portfolio theory for the simulation of the investment behavior of strategic investors we have developed a specific ‘investment return’ measure which is defined as the multiple of the market multiplier (P/E) and the required return on capital invested (ROCE). We have found that the optimal structure of the investment distribution chosen by a portfolio investor can differ from the investment decision of a controlling shareholder. Application of theoretical findings was demonstrated for the Russian business groups “Interros” and “Sistema”.

Suggested Citation

  • Kotov, Denis, 2007. "Опыт Использования Портфельных Концепций Менеджмента Для Анализа Распределения Инвестиционного Потенциала В Интегрированной Бизнес-Группе [Using of the Portfolio Theory for the Analysis of the Inve," MPRA Paper 11659, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:11659
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    File URL: https://mpra.ub.uni-muenchen.de/11659/1/MPRA_paper_11659.pdf
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    References listed on IDEAS

    as
    1. Stein, Jeremy C, 1997. "Internal Capital Markets and the Competition for Corporate Resources," Journal of Finance, American Finance Association, vol. 52(1), pages 111-133, March.
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    More about this item

    Keywords

    Business groups; internal capital market; portfolio theory;
    All these keywords.

    JEL classification:

    • G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions

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