• อัจฉรา ชีวะตระกูลกิจ
  • Boondhiva Cheewatragoongit


Stock Market Consolidation, Equity Home Bias, Equity Investment


In the last three decades, many stock markets around the world have consolidated their trade platforms or signed agreements to facilitate cross-country investments. The objective of this study is to investigate the effect of stock market consolidation on US equity home bias (HB) using Ordinary Least Square (OLS) panel regression controlling for numerous economic and stock market characteristics.
We distinguish two stages of market consolidation into (i) an announcement stage and (ii) an implementation stage. The samples include 22 stock markets under six stock market consolidation groups during the year 2001-2016. The results suggest that the stock market consolidation is not a significant factor that could reduce US HB towards the consolidation groups that include US markets. However, the stock market consolidation even increases US home bias toward the consolidation groups that exclude US markets implying that US investors are less interested in investing in the equity markets of other groups.
In addition, governance, indirect cost of investment, direct cost of investment, incentive of investment, financial crisis, and size are also important factors that impact HB.


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How to Cite

ชีวะตระกูลกิจ A. ., & Cheewatragoongit, B. . (2021). STOCK MARKET CONSOLIDATION AND US EQUITY HOME BIAS. Modern Management Journal, 19(1), 1–13. Retrieved from



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