IBM buys treasury bonds from the UK as part of its investment portfolio. This is an example of:

Question

Quizplus · Accepted Answer

This is an example of foreign portfolio investment, as IBM is purchasing securities (treasury bonds) from the UK as part of its investment portfolio. Foreign direct investment involves a company investing in and managing operations in a foreign country, which is not the case here. Importing and exporting refer to the cross-border transfer of physical goods.

IBM Buys Treasury Bonds from the UK as Part of Its