Emerging markets: investing with political risk

Clark, Ephraim A. and Tunaru, Radu (2001) Emerging markets: investing with political risk. Multinational Finance Journal, 5 (3) . pp. 155-173. ISSN 1096-1879 [Article]


This paper presents a model that measures the impact of political risk on portfolio investment when the political risks are multivariate and correlated across countries. The multivariate approach generalizes the single country
model but retains most of its characteristics in terms of its ability to price political risk based on the stochastic process of exposure to loss and the expected frequency of loss causing events. The methodology is compatible with
modern portfolio theo ry, straightforward to apply and can accommodate the traditional techniques in political risk assessment for the estimation of the relevant parameters.

Item Type: Article
Research Areas: A. > Business School > Accounting and Finance
A. > Business School > Economics
Item ID: 155
Useful Links:
Depositing User: Repository team
Date Deposited: 23 Oct 2008 14:22
Last Modified: 13 Oct 2016 14:11
URI: https://eprints.mdx.ac.uk/id/eprint/155

Actions (login required)

View Item View Item


Activity Overview
6 month trend
6 month trend

Additional statistics are available via IRStats2.