Measures of global uncertainty and carry-trade excess returns

B-Tier
Journal: Journal of International Money and Finance
Year: 2018
Volume: 88
Issue: C
Pages: 212-227

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

Asset market participants generally do not like uncertainty. In studying the cross-section of carry-trade-generated currency excess returns and their exposure to macroeconomic uncertainty, we find it also to be true for those participating in this market. A global, news-based measure of macroeconomic uncertainty is negatively and robustly priced into these excess returns, which is consistent with the existence of a global uncertainty factor.

Technical Details

RePEc Handle
repec:eee:jimfin:v:88:y:2018:i:c:p:212-227
Journal Field
International
Author Count
2
Added to Database
2026-01-24