No abstract

This paper investigates the motives, behavior, and characteristics shaping mutual fund managers' willingness to incorporate Environmental, Social and Governance (ESG) issues into investment decision making. Using survey evidence from fund managers from five different countries, we demonstrate that this predisposition is the stronger, the shorter their average forecasting horizon and the higher their level of reliance on business risk in portfolio management is. We also find that the propensity to incorporate ESG factors is positively related to an increasing level of risk aversion, an increasing importance of salary change and senior management approval/disapproval as motivating factors as well as length of professional experience in current fund and increasing significance of assessment by superiors in remuneration. Overall, our evidence suggests that ESG diligence among fund managers serves mainly as a method for mitigating risk and is typically motivated by herding; it is much less important as a tool for additional value creation. The prevalent use of ESG criteria in mitigating risk is in contrast with traditional approach, but it is in line with behavioral finance theory. Additionally, our results also show a strong difference in the length of the forecasting horizon between continental European and Anglo-Saxon fund managers.

Beyond the cluster: how wine drives regional economy to success: "Oenopolis", the case of Rioja Mikel Larreina Ricardo Aguado Article information:To cite this document: Mikel Larreina Ricardo Aguado, (2008),"Beyond the cluster: how wine drives regional economy to success", Abstract Purpose -This paper aims to analyse how the economic impact of wine in producing regions can be measured. It also seeks to show the relationship between wine cluster performance and regional economic development, through the study of Rioja's recent success in both wine market and distribution of wealth. Design/methodology/approach -The paper uses the input-output analyses to estimate the economic impact of the wine cluster and its role in regional economy. The case of Rioja is taken as example of regions where wine is the driving economic force. Findings -The paper finds that Rioja wine cluster specificities may be the cause of the recent outperformance of Riojan economy, in which the wine cluster accounts for a fifth of regional GDP. The increase in wine sales in this region is simultaneous to the spread of welfare among the local population. Originality/value -The paper shows the extremely deep impact that changes in wine market may arise in wine producing regions' welfare, thus enabling wine sector's main actors to measure wine impact on regional economy.

Abstract:The wine industry has experienced dramatic changes since the 80's. The surge of New Producing Countries challenging the Euro-centred status quo, the decline of consumption in traditional markets, the permanent large imbalances in the sector resulting in global overproduction, the apparition of new consumers, the development of wine tourism… In this period of time, Rioja, a region producing wines since the Middle Ages, has been able to use all its strengths to increase its market share in the wine global market, driving the regional economy to higher and more widespread social welfare. This paper shows the main features of this relation between wine and territory at Rioja, and the reasons for the successful performance of this sector, using a number of approaches (cluster, agro-industrial district, oenopolis) that progressively enlarge the scope of the analysis up to including all potential relations between the main regional sector and the society itself.

The wine market is a very important source of economic wealth in Rioja region and a major employment provider that creates a powerful foreign trade. Thus, it is an interesting sector for investment for both local and foreign capitals. Our paper tries to analyse the impact of the entire wine sector which, from our point of view, has a value of up to 9000 million euros. We will follow different ways in order to study the subject: a financial market analysis for the wineries, and the vineyard prices for the producing sector.