01985cas a2200253 a 4500 AALejournalIMF006122 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451873863 1018-5941 BD-DhAAL BD-DhAAL Hesse, Heiko. Sovereign Wealth Funds and Financial Stability-An Event Study Analysis / Heiko Hesse, Tao Sun. Washington, D.C. : International Monetary Fund, 2009. 1 online resource (17 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper examines financial stability issues that arise from the increased presence of sovereign wealth funds (SWFs) in global financial markets by assessing whether and how stock markets react to the announcements of investments and divestments to firms by SWFs using an event study approach. Based on 166 publicly traceable events collected on investments and divestments by major SWFs during the period from 1990 to 2009, the paper evaluates the short-term financial impact of SWFs on selected public equity markets in which they invest. The impact is analyzed on different sectors (financial and nonfinancial), actions (buy and sell), market types (developed and emerging markets), and level of corporate governance (high and low score). Results, based on these 166 events, show that there was no significant destabilizing effect of SWFs on equity markets, which is consistent with anecdotal evidence. Mode of access: Internet Sun, Tao. IMF Working Papers; Working Paper ; No. 2009/239 Full text available on IMF http://elibrary.imf.org/view/journals/001/2009/239/001.2009.issue-239-en.xml IMF e-Library