The element of risk into investing in foreign assets is greater with ________ exchange rates.

Name: The element of risk into investing in foreign assets is greater with ________ exchange rates.
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Question

Quizplus · Accepted Answer

Floating exchange rates introduce an additional element of risk into investing in foreign assets. Adverse exchange rate movements that floating rates create can transform otherwise profitable investments into unprofitable investments.

The Element of Risk into Investing in Foreign Assets Is