--%>

Investors investing within the lion’s share

Explain why do investors invest within the lion’s share of their funds within the domestic securities?

E

Expert

Verified

Investors invest greatly in their domestic securities since there are considerable barriers in order to invest the overseas. Barriers includes information costs, excessive transaction costs, for the foreign securities, legal and institutional restrictions, exchange risk, extra taxes and political risk associated with the overseas investments, so on.

   Related Questions in Financial Accounting

  • Q : Investment approach of Bill Miller

    Investment approach of Bill Miller: In comparison to both Warren Buffet and Peter Lynch, Miller is considered to be a slightly more aggressive investor.  Miller believed in playing big which meant that he used

  • Q : What are Impersonal accounts What are

    What are Impersonal accounts and how it is classified?

  • Q : Characteristics of straight fixed-rate

    State the characteristics of the straight fixed-rate bond market instrument.

  • Q : What is the opening accounts receivable

    Big Problem Ltd., an oil refining business uses an allowance system to account for bad debts. At the beginning of the year the allowance had a credit balance of $16,000. The following transactions took place during the year. a) Tot

  • Q : Computing opportunity cost of producing

    Country C is able to generate seven pounds of food or four yards of textiles per unit of input. Calculate the opportunity cost of producing food rather than textiles.  Also, compute the opportunity cost of producing textiles rather than food.

  • Q : Define Factitious Assets Factitious

    Factitious Assets: When any asset that has no market price which asset is termed as factitious assets. This is illustrated as expenditures of capital expenditure. The main illustration of such factitious assets is: Preliminary expenses, discount on is

  • Q : Monetary/nonmonetary and temporal method

    Discuss dissimilarity in translation process between monetary/nonmonetary and temporal method.

  • Q : Assurance services Significant costs

    Significant costs associated with the disposal of asset. Accounting for asset retirement obligations requires estimating the cost and discounting estimate. The present value added to the asset's depreciable base and a liability is recorded for the obligation. Every year, interest expense is added

  • Q : Shadow balance Define the terms shadow

    Define the terms shadow balance?

  • Q : How Social Darwinism support business

    What is Social Darwinism and how it was utilized to support business?