Welcome to the InfoSci Platform
A Comparative Analysis on International Portfolio Flows to Asian Stock Markets With a Nonlinear Perspective

A Comparative Analysis on International Portfolio Flows to Asian Stock Markets With a Nonlinear Perspective

Ayben Koy
Copyright: © 2018 |Pages: 21
ISBN13: 9781522561149|ISBN10: 1522561145|EISBN13: 9781522561156
DOI: 10.4018/978-1-5225-6114-9.ch005
Cite Chapter Cite Chapter

MLA

Koy, Ayben. "A Comparative Analysis on International Portfolio Flows to Asian Stock Markets With a Nonlinear Perspective." Perspectives, Trends, and Applications in Corporate Finance and Accounting, edited by Constantin Zopounidis, et al., IGI Global, 2018, pp. 108-128. https://doi.org/10.4018/978-1-5225-6114-9.ch005

APA

Koy, A. (2018). A Comparative Analysis on International Portfolio Flows to Asian Stock Markets With a Nonlinear Perspective. In C. Zopounidis, A. Christopoulos, & P. Kalantonis (Eds.), Perspectives, Trends, and Applications in Corporate Finance and Accounting (pp. 108-128). IGI Global. https://doi.org/10.4018/978-1-5225-6114-9.ch005

Chicago

Koy, Ayben. "A Comparative Analysis on International Portfolio Flows to Asian Stock Markets With a Nonlinear Perspective." In Perspectives, Trends, and Applications in Corporate Finance and Accounting, edited by Constantin Zopounidis, Apostolos G. Christopoulos, and Petros Kalantonis, 108-128. Hershey, PA: IGI Global, 2018. https://doi.org/10.4018/978-1-5225-6114-9.ch005

Export Reference

Mendeley
Favorite

Abstract

After the Asian financial crisis was solved by International Monetary Fund in late 1997, the recovery in Asian economies begun by 1999. Most of the countries affected by the crisis needed to change their exchange rate policies. This chapter brings insight on how the international portfolio flows to Asian stock markets are affected from the shocks on EUR/USD parity. The weekly observations between 01/01/2010 to 21/04/2017 belong to India, Indonesia, Philippine, South Korea, Thailand, Malaysia, and Vietnam. Use of Markov regime switching vector autoregressive models presents the relationship according to the different regimes of the markets in the study. The results indicate that (1) the international portfolio flows through Asian stock markets are governed by a long run, nonlinear relation; (2) the shocks on EUR/USD parity have positive effects on the countries' portfolio flows except Malaysia; and (3) the responses to the shocks vary according to the market regimes or according to the countries.

Request Access

You do not own this content. Please login to recommend this title to your institution's librarian or purchase it from the IGI Global bookstore.