Skip to main content
Article thumbnail
Location of Repository

Patterns of International Capital Raisings

By Juan Carlos Gozzi, Ross Levine and Sergio L. Schmukler


This paper documents several new patterns associated with firms issuing stocks and bonds in foreign markets that motivate the need for and help guide the direction of future research. Three major patterns stand out. (1) A large and growing fraction of capital raisings, especially debt issuances, occurs in international markets, but a very small number of firms accounts for the bulk of international capital raisings, highlighting the cross-firm heterogeneity in financial globalization. (2) Changes in firm performance following equity and debt issuances in international markets are qualitatively similar to those following domestic issuances, suggesting that capital raisings abroad are not intrinsically different from those in domestic markets. (3) Firms continue to issue securities both abroad and at home after accessing international markets, suggesting that international and domestic markets are complements, not substitutes. Existing theories do not fully account for these patterns.

OAI identifier:

Suggested articles


  1. (2003). ADRs, analysts, and accuracy. Does cross listing in the United States improve a firm's information environment and increase market value?
  2. (1987). Asset pricing and dual listing on foreign capital markets: A note.
  3. (2007). Capital account liberalization: Theory, evidence, and speculation.
  4. (2006). Competitive implications of cross-border banking, in:
  5. (1998). Earnings management and the long-run market performance of initial public offerings.
  6. (1998). Earnings management and the performance of seasoned equity offerings.
  7. (2006). Financial globalization and debt maturity in emerging economies.
  8. (2009). Financial globalization: A reappraisal.
  9. (2005). Firm characteristics and the impact of emerging market liberalizations.
  10. (2008). Firm-specific information and the efficiency of investment.
  11. (2007). Firms in international trade.
  12. (2007). Fundamentals, market timing, and seasoned equity offerings.
  13. (2004). Global Capital Markets: Integration, Crises, and Growth.
  14. (1999). Globalization, corporate finance, and the cost of capital.
  15. (2005). Home Abroad Total % abroad Home Abroad Total % abroad Home Abroad Total % abroad (a) (b) (c)=(a)+(b) (d) (e) (f)=(d)+(e) (g)=(a)+(d) (h)=(b)+(e) (i)=(g)+(h)
  16. (2003). How representative are firms that are cross-listed in the United States? An analysis of accounting quality.
  17. (1985). International asset pricing under mild segmentation: Theory and test.
  18. (1974). International capital market equilibrium with investment barriers.
  19. (1998). International cross-listing and order flow migration: Evidence from an emerging market.
  20. (2007). International financial integration through equity markets: Which firms from which countries go global?
  21. (2006). Internationalization and stock market liquidity.
  22. (2008). Internationalization and the evolution of corporate valuation.
  23. (2007). Is the corporate loan market globally integrated? A pricing puzzle.
  24. (1977). Market imperfections, capital market equilibrium, and corporate finance.
  25. (2002). Market timing and capital structure.
  26. (2007). Migration, liquidity spillovers, and trade diversion: The effects of internationalization on stock market activity.
  27. (2008). Motivations for public equity offers: An international perspective.
  28. (2002). Protection of minority shareholder interests, crosslistings in the United States, and subsequent equity offerings.
  29. (2002). Racing towards the top? The impact of cross-listings and stock market competition on international corporate governance. Columbia Law Review
  30. (2004). Risk sharing and asset prices: Evidence from a natural experiment.
  31. (1999). The effects of market segmentation and investor recognition on asset prices: Evidence from foreign stocks listing in the United States.
  32. (2000). The equity share in new issues and aggregate stock returns.
  33. (2002). The geography of equity listing: Why do companies list abroad?
  34. (2007). The microeconomic evidence on capital controls: No free lunch, in:
  35. (1995). The new issues puzzle.
  36. (1997). The operating performance of firms conducting seasoned equity offerings.
  37. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure.
  38. (2004). Why are firms that list in the U.S. worth more?
  39. (1998). Why do companies go public? An empirical analysis.
  40. (1974). Why not diversify internationally rather than domestically?
  41. (2006). World markets for raising new capital.

To submit an update or takedown request for this paper, please submit an Update/Correction/Removal Request.