TY - JOUR
T1 - Foreign Direct Investments in the German Stock Market from China and the Gulf States
AU - Achleitner, Ann Kristin
AU - Bazhutov, Dmitry
AU - Betzer, André
AU - Keppler, Henry
N1 - Publisher Copyright:
© 2021, Duncker und Humblot GmbH. All rights reserved.
PY - 2021
Y1 - 2021
N2 - We document empirical evidence that the investment patterns of the two most relevant investor groups from regions with hierarchical structures in the German stock market, namely China (including Hong Kong) and the Gulf Cooperation Council, differ substan-tially. Chinese investors buy large shares in relatively small, but not necessarily young, companies. Since their objective is often to gain control, they appear to pay higher pre-miums when acquiring large equity stakes. Investors from the Gulf states purchase small-er shareholdings in notably larger, older, and more international companies. They seem to seek long-term benefits rather than short-term profits. Our findings are mainly attri-butable to industrial policies pursued by Chinese and Gulf investors, which mirror the different political and economic goals in these two regions.
AB - We document empirical evidence that the investment patterns of the two most relevant investor groups from regions with hierarchical structures in the German stock market, namely China (including Hong Kong) and the Gulf Cooperation Council, differ substan-tially. Chinese investors buy large shares in relatively small, but not necessarily young, companies. Since their objective is often to gain control, they appear to pay higher pre-miums when acquiring large equity stakes. Investors from the Gulf states purchase small-er shareholdings in notably larger, older, and more international companies. They seem to seek long-term benefits rather than short-term profits. Our findings are mainly attri-butable to industrial policies pursued by Chinese and Gulf investors, which mirror the different political and economic goals in these two regions.
KW - China
KW - Corporate Governance
KW - Event Study
KW - Foreign Direct Investments
KW - Gulf States
UR - http://www.scopus.com/inward/record.url?scp=85125506288&partnerID=8YFLogxK
U2 - 10.3790/ccm.54.4.563
DO - 10.3790/ccm.54.4.563
M3 - Article
AN - SCOPUS:85125506288
SN - 2199-1227
VL - 54
SP - 563
EP - 587
JO - Credit and Capital Markets
JF - Credit and Capital Markets
IS - 4
ER -