Chapter 10 Flashcards
0
Q
What are the six primary disadvantages and risks of international investing?
A
Expenses Liquidity risk Legal and accounting basis Shareholder communications Foreign exchange risk Sovereign risk
1
Q
There are three primary reasons for investing internationally
A
Diversification
Exposure to emerging markets
Exposure to unique companies
2
Q
What are the three primary ways for investors to invest internationally?
A
Direct investment
Mutual funds
Exchange traded funds