Prof. Matteo Maggiori of Stanford University on investor beliefs, trading, and global capital flows
Scientific Sense ®
00:00
The Home Bias in Bonds
Investors tend to disproportionately invest in securities issued by domestic firms. In or american stand to disproportionately issue up old bonds issued by American firms, compared to the weight of those bonds in the world market portfolio. The currency is something that really separates the bonds away from the equity and we found extremely large discrepancies.
Transcript
Play full episode
