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Record W2217084901

Globalization and Convergence of International Equity Markets

2011· article· en· W2217084901 on OpenAlexaboutno aff
Ekaterina Dorodnykh

Bibliographic record

VenueSSRN Electronic Journal · 2011
Typearticle
Languageen
FieldEconomics, Econometrics and Finance
TopicFinancial Markets and Investment Strategies
Canadian institutionsnot available
Fundersnot available
KeywordsEquity (law)GlobalizationFinancial economicsStock market indexStock exchangeInterdependenceMarket integrationFinancial marketEconomicsStock marketConvergence (economics)Stock (firearms)BusinessMacroeconomicsGeographyFinanceMarket economyPolitical science
DOInot available

Abstract

fetched live from OpenAlex

The paper investigates the degree of sensitivity of international equity market returns, using MSCI indices as widely tracked global equity benchmarks of stock exchanges, traded throughout the world. In particular using a time-varying methodology, the research examines whether the returns of developed international stock exchange markets (Australia, Austria, Belgium, Canada, Denmark, Finland, France, Germany, Greece, Hong Kong, Ireland, Israel, Italy, Japan, the Netherlands, New Zealand, Norway, Portugal, Singapore, Spain, Sweden, Switzerland, the UK and the USA) are each associated with movements of MSCI World Index in order to see the level of bilateral influence between equity markets, affected by globalization processes. In this paper the author uses, first, the correlation analysis applied to stock exchange markets in order to highlight the dynamic of financial market globalization. Second, the author uses the estimation model of security markets convergence based on the bilateral differences of their returns, suggested and developed by Frazer (1994; 2008). The model contains the Kalman filter and, as a consequence, this model accommodates fundamental shifts in the bilateral relationships. However, there is no study where the Kalman filter methodology is used to examine time-varying convergence of international stock exchange market returns relative to MSCI World Index. The results of research show that all analyzed developed equity markets are moving toward greater integration in terms of increasing correlation. Moreover, all analyzed markets are interdependent and affected by globalization processes, showing strong and lasting relationships between each other. However, bilateral convergence of international equity markets is not an equal process, where different cluster of markets are engaged in different manners. Some of equity markets have less influence on other market’ returns in global context, suggesting that bilateral convergence is not a homogeneous process. Furthermore, the findings suggest including industry portfolio diversification approach instead of geographical diversification in asset-allocation models.

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

How this classification was reachedexpand

Full frame machine prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. The Gemma side is a direct model label for every work in the frame, read from the title-only record. The Codex side is a classifier learned from the 10,348 direct Codex labels and calibrated to design-weighted sample rates; fields without enough sample support carry no Codex call. Candidate is the union of the two sides; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels.

metaresearch head score (Codex)0.002
metaresearch head score (Gemma)0.014
Version: metacan-v3-hybrid-931329e0061cValidation status: machine_predicted_unvalidated
Candidate categoriesnone
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Observational · Consensus signal: Observational
GenreCandidate signal: Empirical · Consensus signal: Empirical
Teacher disagreement score0.002
Threshold uncertainty score0.013

Distilled classifier scores by category (both heads)

CategoryCodexGemma
Metaresearch0.0020.014
Meta-epidemiology (narrow)0.0000.000
Meta-epidemiology (broad)0.0000.000
Bibliometrics0.0020.001
Science and technology studies0.0000.001
Scholarly communication0.0020.002
Open science0.0000.002
Research integrity0.0000.000
Insufficient payload (model declined to judge)0.0020.000

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.028
GPT teacher head0.231
Teacher spread0.202 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it

Classification

machine, unvalidated

Machine predicted; a candidate call from one source (direct Gemma or distilled Codex), not a consensus.

The models applied no category: nothing in the taxonomy fit this work.
Study designObservational
Domainnot available
GenreEmpirical

How this classification was reached, model by model and score by score, is at the end of the page under "How this classification was reached".

Quick stats

Citations0
Published2011
Admission routes1
Has abstractyes

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