How distance, language, and culture influence stockholdings and trades

• 成果类型: Article
• 署名作者: Grinblatt, M; Keloharju, M
• 署名单位: University of California System; University of California Los Angeles; Aalto University
• 刊物名称: JOURNAL OF FINANCE
• ISSN/ISSBN: 0022-1082
• DOI: 10.1111/0022-1082.00355
• 发表日期: 2001
• 页码: 1053-1073
• 关键词: home bias

摘要

This paper documents that investors are more likely to hold, buy, and sell the stocks of Finnish firms that are located close to the investor, that communicate in the investor's native tongue, and that have chief executives of the same cultural background. The influence of distance, language, and culture is less prominent among the most investment-savvy institutions than among both households and less savvy institutions. Regression analysis indicates that the marginal effect of distance is less for firms that are more nationally known, for distances that exceed 100 kilometers, and for investors with more diversified portfolios.