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Factors for surge in the international portfolio investment

List some factors which are responsible for recent surge in the international portfolio investment (IPI)?

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Recent surge in the international portfolio investments reflects the globalization of financial markets. Particularly, several countries have deregulated and liberalized their capital and foreign exchange markets in the recent years. Moreover, commercial and investment banks have facilitated international investments through introduction of products such as country funds and American Depository Receipts (ADRs). Additionally, recent advancements within the computer and telecommunication technologies led to the major reduction in the transaction and the information costs coupled with the international investments. Moreover, investors would have become much aware of potential gains from the international investments.

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