Table 5.

Impact on the returns on stock in BRIC countries: 1995 to 2014 by Extreme Bounds Analysis.

	beta.lowest	beta.highest	beta.mean	tstat.mean
CORR	−0.005	−0.001	−0.003	1.602
LO	0.001	0.004	0.002	1.499
DA	0.0005	0.002	0.001	1.401
BQ	−0.002	0.004	0.0003	0.529
RT	0.001	0.003	0.002	1.632
ET	−0.002	0.002	0.0004	0.47
PI	−0.021	0.011	0.0001	0.375
PI10	−0.023	0.01	−0.002	0.649
SC	−0.001	0.001	0.00002	0.339
IP	−0.001	−0.0005	−0.001	1.123
BQ	−0.002	0.004	0.0003	0.529
LEX	−0.0002	−0.0001	−0.0002	2.372
EM	0.12	0.132	0.124	11.021
riskBRIC	0.007	0.029	0.022	2.568
GM	−0.015	0.146	0.133	8.467

Note: These coefficients are not to be interpreted in the same way as those in Table 2, Table 3, Table 4. These give sensitivity of return when each of these variables is included one by one.

IC – internal conflict, GS – government stability, EC - external conflict, MP - military in politics, RT - religion in politics, ET – ethnic tensions, PI – political instability, PI10 – highest level of PI, SC – socioeconomic conditions, IP – investment profile, LEX – exchange rate, EM – emerging market comovement, riskBRIC – BRIC’s risk, GM – global market comovement, CORR – corruption, LO - law and order, DA – democratic accountability, BQ – bureaucratic accountability.