Research Purpose. The purpose of research is analyzing the effect foreign institutional ownership on cash holding, based precautionary motive. Method. This uses quantitative methods, with single independent variables (foreign ownership). Cash holding (dependent variable) measured using formula logaritma and equivalents. Population used in study all non-financial companies listed Indonesia Stock...

This study examines the impact of institutional investors' equity ownership stability and their investment horizon to determine on investee firms' mispricing. Mispricing represents difference between a firm’s market fundamental values. We treat investors as heterogenous group, i.e., dedicated, transient, or quasi-indexer defined by Bushee, 1998, 2001 since categorization determines trading stra...

We offer evidence that variations in firm idiosyncratic volatility are related to both behavior and fundamental factors. Using Japanese data from 1975 to 1999, we document that both institutional herding and the absolute value of firm earnings are positively related to idiosyncratic volatility. We find that institutional herding explains about 10% of the cross-sectional variation in idiosyncrat...

Foreign direct investment in developing countries has recently received a renewed attention as a major determinant of financial development. Indeed, where markets are financially constrained, foreign investment offers a viable financing opportunity assorted with a transfer of technological and managerial know-how. In this paper, we examine the determinants of foreign investors’ participation in...