Purchase Solution

The Concept of International Portfolio Diversification

Not what you're looking for?

Ask Custom Question

How would three different Global Funds have been able to use the concept of International Portfolio Diversification to successfully invest?

Purchase this Solution

Solution Summary

The 275 word solution offers four ideas for global diversification including two articles cited for further discussion.

Solution Preview

A global fund (both domestic and international) as opposed to an international fund (no domestic) generally has a higher risk/return correlation than a US equity fund.

A global fund might invest in emerging growth economies in developing countries as a methodology to increase returns. High country risk can mean high gain.

Another global fund might invest in smaller foreign countries which may not be integrated into world capital markets. The concept of regional index investing could be used in this ...

Purchase this Solution


Free BrainMass Quizzes
Employee Orientation

Test your knowledge of employee orientation with this fun and informative quiz. This quiz is meant for beginner and advanced students as well as professionals already working in the HR field.

Understanding Management

This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.

Team Development Strategies

This quiz will assess your knowledge of team-building processes, learning styles, and leadership methods. Team development is essential to creating and maintaining high performing teams.

Cost Concepts: Analyzing Costs in Managerial Accounting

This quiz gives students the opportunity to assess their knowledge of cost concepts used in managerial accounting such as opportunity costs, marginal costs, relevant costs and the benefits and relationships that derive from them.

Production and cost theory

Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.