Investor portfolios are notoriously over weighted in home country stocks.This is commonly called ________.

Question

Quizplus · Accepted Answer

Home country bias refers to the tendency of investors to have an overemphasis on the stocks of their home country in their investment portfolios, even though there may be better opportunities for diversification and investment in other markets. A and D are not commonly used terms in finance, while B is a broader concept that may encompass home country bias, but is not specific to it.

Investor Portfolios Are Notoriously Over Weighted in Home Country Stocks