Economic Integration and Country Allocation in Europe

Eckhard Freimann

Financial Analysts Journal, 1998, vol. 54, issue 5, 32-41

Abstract: The impact of European integration—at the company and macro levels—on correlations between stock market returns is analyzed. A new procedure based on randomization methodology is introduced to test for the absence of country-systematic differences in the return patterns of two stock markets. The results indicate that stock market integration in Europe is not yet complete, but the comovement of European markets has increased substantially and is likely to continue to grow. Therefore, top-down managers of European equity portfolios need to look for a new strategy other than country-based allocation.

Date: 1998
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.2469/faj.v54.n5.2210 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:ufajxx:v:54:y:1998:i:5:p:32-41

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/ufaj20

DOI: 10.2469/faj.v54.n5.2210

Access Statistics for this article

Financial Analysts Journal is currently edited by Maryann Dupes

More articles in Financial Analysts Journal from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().