Working Papers in full text
2009
2008
2007
2006
2005
2004
2003
2002
2001
2000
1999
1998
1997
All
Other research-related activities and publications of the IMF can be found at IMF Research
|
Free Email Notification
Receive emails when we post new
items of interest to you.
Subscribe or
Modify your profile
|
|
|
|
Valuation of Unlisted Direct Investment Equity
|
Author/Editor: |
Kumah, Emmanuel | Damgaard, Jannick | Elkjaer, Thomas |
| Authorized for Distribution: |
November 1, 2009 |
|
Electronic Access: |
Free Full Text (PDF file size is 1,146KB)
Use the free Adobe Acrobat Reader to view this PDF file.
|
|
|
|
Disclaimer: This Working Paper should not be reported as representing the views of the IMF. The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate.
|
|
Summary: This paper analyzes the seven valuation methods for unlisted direct investment equity included in the recently adopted IMF Balance of Payments and International Investment Position Manual, Sixth Edition (BPM6). Based on publicly available Danish data, we test the three methods that are generally applicable and find that the choice of valuation method and estimation technique can have a highly significant impact on the international investment position, pointing to the need for further harmonization. The results show that the price-to-book value method generates more robust market value estimates than the price-to-earnings method. This finding suggests that the valuation basis for the forthcoming Coordinated Direct Investment Survey - own funds at book value -will provide useful information for compiling the international investment position.
|
|
|
|
Order a print copy
|
|
Series: |
Working Paper No. 09/242 |
|
Subject(s): |
Corporate sector | Economic models | Foreign direct investment | Pricing policy | Stock markets | Stock prices |
|
Author's keyword(s): |
Valuation methods
| FDI
| international investment position
| macroeconomic statistical methodology
| estimation techniques
|
|
|
|
|
| |
Published: |
|
November 1, 2009 |
|
|
|
|
| |
|
|
|
|
Format: |
|
Paper |
| |
Stock No: |
|
WPIEA2009242 |
|
Pages: |
|
72 |
| |
Price: |
|
US$18.00 (Academic Rate: US$18.00 )
|
|
|
|
|
|
|
