The impact of sovereign wealth fund ownership on the financial performance of firms: the evidence from emerging markets

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dc.contributor.author Urban, Dariusz
dc.contributor.other Ekonomická fakulta cs
dc.date.accessioned 2017-10-02
dc.date.available 2017-10-02
dc.date.issued 2017-10-02
dc.identifier.issn 1212-3609
dc.identifier.uri https://dspace.tul.cz/handle/15240/20922
dc.description.abstract Sovereign Wealth Funds have been regarded as investment vehicles established in order to manage, in a rational and profit-oriented way, pools of national wealth for future generations. SWFs are among the most important financial institutions in global financial markets, and constitute a solid element in the architecture of the international financial safety net. Similarly to other institutional investors, Sovereign Wealth Funds possess huge amounts of capital. What distinguishes them the most from other financial institutions is the fact that they are owned, managed and controlled by sovereign states, have limited liquidity needs, a lower-than-market-average-level of redemption risk, a long-term, intergenerational investment horizon and relatively high risk tolerance. The question of whether investment from Sovereign Wealth Funds determines changes in corporate financial performance of a targeted firm is still unanswered question in the literature. This study tests empirically the impact of Sovereign Wealth Funds’ ownership on the financial performance of targeted companies. Using the data of companies listed on the Warsaw Stock Exchange, we employ regression to analyze the relationship between the funds’ investment and accounting, as well as the market outcomes of the firm. The empirical findings of this research suggest that Sovereign Wealth Funds’ ownership has a positive influence on the price to book value of the firm. This article contributes to ongoing research in the field of studies related to financial aspects of SWF’s investment behavior. The empirical findings of this research can also serve as a useful reference for companies and academics concerning themselves with investment decision making in emerging markets, as well as the role of institutional investors. en
dc.format text
dc.format.extent 13 s. cs
dc.language.iso en
dc.publisher Technical university of Liberec, Czech Republic en
dc.publisher Technická Univerzita v Liberci cs
dc.relation.ispartof Ekonomie a Management cs
dc.relation.ispartof Economics and Management en
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dc.rights CC BY-NC
dc.subject sovereign wealth funds en
dc.subject institutional investor en
dc.subject financial performance en
dc.subject investing en
dc.subject emerging economies en
dc.subject.classification G11
dc.subject.classification G23
dc.subject.classification C13
dc.subject.classification F21
dc.title The impact of sovereign wealth fund ownership on the financial performance of firms: the evidence from emerging markets en
dc.type Article en
dc.publisher.abbreviation TUL
dc.relation.isrefereed true
dc.identifier.doi 10.15240/tul/001/2017-3-012
dc.identifier.eissn 2336-5604
local.relation.volume 20
local.relation.issue 3
local.relation.abbreviation E+M cs
local.relation.abbreviation E&M en
local.faculty Faculty of Economics
local.citation.spage 176
local.citation.epage 188
local.access open
local.fulltext yes


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