Brown Bag Seminar with Jesper Rangvid, Copenhagen Business School

On September 19, Jesper Rangvid will present the paper "Turning Local: Home-bias dynamics of relocating foreigners" as a (bring your own) lunch seminar

 
Monday, September 19, 2016 - 12:00 to 12:45

The Department of Finance is pleased to announce the upcoming Brown Bag Seminar with Jesper Rangvid, Copenhagen Business School.

Jesper Rangvid will present

Turning Local: Home-bias dynamics of relocating foreigners

The paper is joint work with Bjarne Florentsen, Ulf Nielsson, and Peter Raahauge, Copenhagen Business School.

ABSTRACT
Using a comprehensive dataset including the total adult population of a country (Denmark), in aggregate approximately 4.3 million individuals per year, we study private investors’ preferences for domestic stocks. We compare the equity home bias of foreigners recently relocated to Denmark to the equity home bias of other investors. We find that home bias of recently relocated foreigners is lower than home bias of other investors. Our main result is that when relocated foreigners’ duration of stay increases, their home bias also increases. After 7-8 years, home bias of relocated foreigners does not differ from home bias of other investors. We discuss implications for explanations of the home-bias puzzle.

The page was last edited by: Department of Finance // 09/02/2016