ECB paper analyses risk-sharing in emerging markets


A working paper, published by the European Central Bank on July 11, studies the pro-cyclicality of capital gains in domestic equity markets, and suggests ways to reduce this effect.

The author, Martin Schmitz, analyses the co-movement of GDP and domestic capital gains in 22 emerging markets over the period 1996–2010, finding "strong evidence" of the pro-cyclicality of stock market movements. The researcher argues that countries can share this risk through foreign investment, reducing the

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here:

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: