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Essay Details:
Essay text:
Although the investors can benefit a great deal from international diversification, the foreign investments expose them to additional risks such as political risks and currency exchange rate fluctuations. The paper will examine these risks in detail including how to manage them.
1. Introduction
The globalization of financial markets has reflected in the rapid growth of international investing. It arose from deregulation of foreign exchange and capital markets together with recent advance in telecommunication that facilitate cross-border transactions. The value invested in foreign equities by U...
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