Employees may feel less uncertain about the prospects of the company for which they work relative to other companies about which they know little. This may make them more comfortable about holding their company's stock - even at the cost of a poorly diversified and highly volatile portfolio.
Until 1980, Paris Club creditors on average signed no more than four agreements per year, applying the standard “classic terms”, whereby credits were rescheduled at the appropriate market rate. During these early years of the Paris Club, negotiations and agreements were more and more standardised, preparing this forum for the busy times that were to come.