Investor invest lion’s share of fund in domestic securities, Financial Management

Assignment Help:

Why do investors invest the lion’s share of their funds in domestic securities?

Answer: Investors invest greatly in their domestic securities since there are major barriers to investing overseas. The barriers may contain excessive transaction costs, legal and institutional restrictions, information costs for foreign securities, extra taxes, exchange risk and political risk related with overseas investments, etc.


Related Discussions:- Investor invest lion’s share of fund in domestic securities

What is affiliated company, Q. What is Affiliated Company? Affiliated C...

Q. What is Affiliated Company? Affiliated Company - Company or other organization related through common ownership,common control of management or owners or through some other

Describes the techniques of work breakdown structure, Due to the complexity...

Due to the complexity of the tasks involved in many projects, communication of responsibility for those tasks is often helped by means of graphical planning techniques.

Gordon''s dividend capitalization method, formula and explanation for Gordo...

formula and explanation for Gordon''s dividend capitalization method

Advantages of floating rate notes, Advantages of Floating rate notes: W...

Advantages of Floating rate notes: We know that the coupon rate is fixed for fixed rate bonds and that throughout its tenure the investor receives coupons at a predetermined in

Trouble in determination of cost of capital, Q. Trouble in Determination of...

Q. Trouble in Determination of Cost of Capital? Trouble in Determination of Cost of Capital:- 1. Historic Cost as well as Future Cost: - One main problem in the determinatio

Define is it preferable to use an import quota or a tariff, Suppose the gov...

Suppose the government wants to limit imports of a certain good.  Is it preferable to use an import quota or a tariff?  Why? Modification in domestic consumer and producer surp

Bank credit, Definition of 'Bank Credit': The amount of credit availab...

Definition of 'Bank Credit': The amount of credit available to a business or individual from the banking system. It is the aggregate of the amount of funds financial instituti

Return on equity, Your quantitative analysis will describe the financial st...

Your quantitative analysis will describe the financial strength of you company using the metrics we discussed in class. You may use other measures at your discretion, but the follo

Show repayment of principal, Your company is preparing to borrow $1,750,000...

Your company is preparing to borrow $1,750,000 on a 3-year, 10%, annual payment, fully amortized term loan. What fraction of the payment made at the end of the second year will sho

Write the format to place the order, Write the format to place the order. W...

Write the format to place the order. What are the risks involved in the delivery of products. Format of the order: ? Purchase order ? Acknowledgement form ? Material requisitio

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd