Global Investing: A Promising Mean for Investing

Authors: Dr. Vishal Mehta, Dr. Unmekha Tare

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Abstract

The proposed paper discusses the Global investing as one of the promising means of investing. Investment in global investments is an effective way to gain international exposure in an investment portfolio. The multinationals in various developed and developing countries are at the vanguard in meeting customer needs with new and existing products. Global investment is an investment portal providing global investment opportunities that offer security, tangibility and impressive financial performance. Its service to investors is based upon three main principles: price, profit and performance. Global investments provide investors with opportunities to invest carefully in India and also some International investment in selected investment products from around the world, real investments that offer security, longevity and tangibility. The studies show that adding foreign stocks to a well – rounded portfolio may enhance total returns while reducing overall volatility. The combinations of domestic and foreign equities often produce lowest risk for a given expected level of return when seeking to achieve the benefits of global diversification, investors must be careful to select investments in countries that offer significant potential for risk reduction.

Introduction

Global investment is an investment portal providing global investment opportunities that offer security, tangibility and impressive financial performance. Its service to investors is based upon three main principles: price, profit and performance. Global investments provide investors with opportunities to invest carefully in India and also some International investment in selected investment products from around the world, real investments that offer security, longevity and tangibility. The investors shun their local listing and start investing in global markets as they get better execution and lower transaction cost. In addition to this, they get advantage of trading in large, centralized and extraordinary investment opportunities. The recent research shows that stocks of foreign firms that cross list their shares for sale in both other countries and home markets have higher valuations than foreign stocks listed only in their home markets. The investors of higher income class who have risk taking capacity and expect to have high returns usually invest in global markets. The savvy investors know that attractive investment opportunities are available in many countries as they have large economies.

Conclusion

Investment in global investments is an effective way to gain international exposure in an investment portfolio. The multinationals in various developed and developing countries are at the vanguard in meeting customer needs with new and existing products. Usually the investors prefer investment in domestic markets e.g. the NRI own investments like house property etc. in other countries. The investors are aware about global investing as an investment option but their investment is towards Indian market only. The studies show that adding foreign stocks to a well rounded portfolio may enhance total returns while reducing overall volatility. By moderating downward swings, a modest allocation to foreign stocks can also make it easier for investors to ride out downturns in domestic markets. The foreign equity markets may tend to be riskier than the domestic market but it may not seem reasonable that adding international stocks to an investment portfolio could reduce overall risk. The combinations of domestic and foreign equities often produce lowest risk for a given expected level of return. Likewise combination of domestic and foreign equities produce the highest expected rate of return for a given level of risk