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The Impact of Information Transparency and Market Capitalisation on Out-Performance in Asian Property Companies

Author/s: Graeme Newell, Liow Kim Hiang, Joseph Ooi, Zhu Haihong

Date Published: 1/01/2005

Published in: Volume 11 - 2005 Issue 4 (pages 393 - 411)

Abstract

With an increased emphasis on international property investment and an improved economic outlook for Asia, Asian property companies potentially provide an important property investment opportunity for international property fund managers. Using an information transparency index, 180 property companies in 10 Asian countries are assessed over 1997-2003 for their levels of information transparency. Whilst information transparency is seen to be important, market capitalisation is seen to be more significantly associated with Asian property company out-performance. Investing more in the larger property companies than the smaller property companies in Asia is seen to be a more effective property investment strategy for international property fund managers over this period.

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Keywords

Asian Property Companies - Information Transparency - International Investors - Investment Strategy - Market Capitalisation - Out-Performance

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