Investing in another country's stocks or bonds without taking direct control of those investments is called ________.

Question

Quizplus · Accepted Answer

Portfolio investment refers to investing in stocks, bonds or other securities of a foreign country without taking direct control of them. Direct foreign investment (A) involves taking a significant ownership stake in a foreign company, while a sovereign wealth fund (B) is a state-owned investment fund that invests in various assets including stocks, bonds, and real estate. Offshore financing (D) refers to borrowing funds in a foreign currency or country to reduce tax liabilities or gain access to a larger pool of investors.

Investing in Another Country's Stocks or Bonds Without Taking Direct