Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/283576 
Year of Publication: 
2023
Series/Report no.: 
CEPIE Working Paper No. 01/23
Publisher: 
Technische Universität Dresden, Center of Public and International Economics (CEPIE), Dresden
Abstract: 
This paper investigates the effect of arbitral proceedings on bilateral portfolio equity investments in emerging markets. Investment disputes may deter foreign investors as they reveal a government's poor behavior towards foreign investors. The analysis investigates the effects of the first initiation of arbitral proceedings, the first outcome in favor of the investor, and the first outcome in favor of the respondent state of arbitration proceedings. The database is an unbalanced panel of 55 home and 36 host countries from 2001 to 2018. Estimations do not reveal an unconditionally significant effect of arbitral proceedings on bilateral portfolio equity holdings. The impact becomes significant considering the interplay with bilateral investment treaties and political risk.
Subjects: 
Investment disputes
Arbitration proceeding
Bilateral portfolio investment
Bilateral investment treaty
Investment protection
Emerging markets
JEL: 
F32
F53
G15
K33
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

Files in This Item:
File
Size
531.12 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.