Risk Synchronization in International Stock Markets

We explore international risk synchronization in global stock markets over the last two decades. To this end, we construct global indices of risk synchronization based on individual estimations of market risk and their aggregation via spatial correlations. We then use these indices to analyze the ef...

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Detalles Bibliográficos
Autores: Chuliá Soler, Helena, Pinchao, Andrés D., Uribe Gil, Jorge Mario
Tipo de recurso: artículo
Estado:Versión aceptada para publicación
Fecha de publicación:2018
País:España
Institución:Universidad de Barcelona
Repositorio:Dipòsit Digital de la UB
OAI Identifier:oai:diposit.ub.edu:2445/122206
Acceso en línea:https://hdl.handle.net/2445/122206
Access Level:acceso abierto
Palabra clave:Risc (Economia)
Sincronització
Borsa de valors
Mercat financer
Correlació (Estadística)
Risk
Synchronization
Stock-exchange
Financial market
Correlation (Statistics)
Descripción
Sumario:We explore international risk synchronization in global stock markets over the last two decades. To this end, we construct global indices of risk synchronization based on individual estimations of market risk and their aggregation via spatial correlations. We then use these indices to analyze the effects of several financial crises on market risk synchronization. Our results reveal different risk-profile dynamics for mature and emerging markets. Contrary to general reports, we also find that not all financial crises induce a higher level of synchronization among markets, at least in relative terms. Indeed, some crises had the opposite effect, that is, a decoupling of market risk.