We study how firms’ ESG performance affects domestic and foreign institutional investment and rebalancing. Country-by-country post-double-LASSO estimates reveal heterogeneous marginal effect of ESG on firm-level institutional ownership. At the …
We propose an explanation for default risk linkages based on a Lucas model with across independent debt-financed borrowers. The transmission mechanism is that variation in the size of a borrower impacts the default decision for all borrowers. If a …
We exploit the increasing availability of international stock holdings data to examine ownership by different stakeholders in 46 markets. Home bias varies across countries, investor types, and is still much higher in emerging markets (EMs). …