RISK‐ADJUSTED RETURN IN EUROPEAN INDUSTRIAL STOCKS: A GLOBAL INVESTOR'S PERSPECTIVE

Abstract

Lowering of investment barriers between European nations has led to increasing integration of their capital markets. Consequently, global investors may be well‐advised to evaluate European stocks, not on the basis of the country of listing, but on the basis of the transnational industrial sector to which the stocks belong. This study utilizes performance measures, grounded in modern portfolio theory, to assess the risk‐adjusted return that has accrued to major transnational industrial sectors in Europe, such as consumer products, technology, utilities and financial services. The empirical documentation generated here can be used by international investors as input in decision making for sectorial allocation of funds in the European component of their global stock portfolios.

Citation

Samant, A. (1999), "RISK‐ADJUSTED RETURN IN EUROPEAN INDUSTRIAL STOCKS: A GLOBAL INVESTOR'S PERSPECTIVE", International Journal of Commerce and Management, Vol. 9 No. 1/2, pp. 1-19. https://doi.org/10.1108/eb047379