EUROPEAN UNION PENSION FUNDS AND THE HOME BIAS - Geographical asset allocation in light of the three goals set by the European C

Andere
2013
Melle
Bakker
This thesis examines whether European Union pension funds overweigh domestic assets in their portfolio and aims to determine why they have a so called home bias. Up to 79% of the 110 respondents of a secondary survey are shown to be biased towards domestic and European assets when compared to the capital asset pricing model. Part of the home bias can be explained by real exchange rate risks, asymmetric information and behavioural factors.
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