Footnote:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments May 6, 2023 erstellt
Description:
We investigate the relationship between media negativity on foreign countries and flows to country-specific international mutual funds in the US. We find that the media negativity together with the media attention given to a foreign country is negatively correlated with the flows to international mutual funds targeting the country. The correlation is more pronounced in non-economics-related media coverage, in the abnormal negative media coverage of the Wall Street Journal following the Murdoch acquisition, in retail fund flows as opposed to institutional fund flows. These findings indicate that slanted media negativity towards foreign countries adversely affects domestic investors' international asset allocation