StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

International Investments - Essay Example

Cite this document
Summary
If I were an investor, I think the Indian stock market would be a sensible decision for a long term investment because today, it is considered as the most dynamic and efficient stock market in Asia. Based on analysis of experts in financial investments, the Indian stock…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER92.1% of users find it useful
International Investments
Read Text Preview

Extract of sample "International Investments"

Do you think an investment in the Indian stock market is a good long-term investment? If I were an investor, I think the Indian stock market would be a sensible decision for a long term investment because today, it is considered as the most dynamic and efficient stock market in Asia. Based on analysis of experts in financial investments, the Indian stock market’s operation could be compared with the international standards in terms of operating structure and efficiency. The Indian stock market has been in existence for 135 years, and I believe it has stayed in the industry for so long because of the trust and confidence of investors.

One thing that makes Indian stock market as a good long term investment according to the article “Advantages for NRIS investing in the Indian Market” 2011, is that most of its stocks are correctly valued, returns of investment are excellent and its stock market is well regulated. In my observation, based on financial reports, India has a booming economy and is one of the emerging economies next to China. As such, confidence of investors is rising such that there are continuing interests from foreign multinationals on Indian companies.

As compared to United States that is experiencing a slow economic growth; investors are losing interest of holding US dollars and therefore lessen interest in US investment. These investors now look for new investments in emerging countries like China, India and Brazil. India has advantage on this as the government continuously works on its deregulation and free market principles to attract investments. Because of the investors’ interests, the economy of India is expected to improve further and reach a high GDP figure of 10%, and economic growth will continue on years to come.

Economic activities along this line are take-over, acquisitions and mergers and are spreading on iron and steel, spirits, manufacturing, auto parts, not just IT, and equity.Do you think an investment in the Indian debt securities is a good investment? Investment in the Indian debt securities, I believe, is a good investment because according to BSE (2011), the Indian debt market is one of the largest in Asia. Securities are issued by the government (central and state), public sector, other government bodies, financial institutions, banks and corporations.

As such, the fixed income securities become one of the most attractive investment opportunities since it provides safety of investments, adequate liquidity, and flexibility in structuring a portfolio, easier monitoring, long term reliability and assured returns (India Debt Market, 2010). Fixed income securities may either be interest-bearing bonds, varied type of debt instruments or asset-backed mortgages and securitized instruments. I will have no doubt on the stability of the Indian debt securities because it is considered as the pillars of the Indian economy and plays a very critical role in the structuring of its economy (BSE).

It is a well regulated debt market and closely followed by the government because it needs to develop a strong bond market for long term funding. Thus, I can say that the default risk of my investment will be neutralized when I invest in Indian debt securities because of the sovereign guarantee of these instruments. It may give me a lower rate of return as compared to equity but debt securities have lower average volatility and ensure greater safety for my investments. The Indian government has so far, offered many conveniences for the retail debt market that uses a trading system utilizing an on line system for trading, clearing and holding of securities.

It has a vision of further development for the Indian Debt market to attain global recognition and become one of the leading capital markets of the world. With this great vision of the Indian government ahead and the growing economy of India, I have no doubt that India is a secured place for investments.ReferencesAdvantages for NRIs investing in the Indian stock market. 2011. Window2.India.com. Retrieved 27 July 2011 from http://www.window2india.com/cms/admin/article.jsp?aid=2007Bombay Stock Exchange (BSE), 2011.

BSE Debt Segments. Retrieved 27 July 211 from http://www.bseindia.com/about/debtseg.aspIndia Debt Market 2010. Business Maps of India . Retrieved 27 July 2011 from http://business.mapsofindia.com/india-market/debt.html

Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“International Investments Essay Example | Topics and Well Written Essays - 500 words”, n.d.)
International Investments Essay Example | Topics and Well Written Essays - 500 words. Retrieved from https://studentshare.org/finance-accounting/1578360-international-investments
(International Investments Essay Example | Topics and Well Written Essays - 500 Words)
International Investments Essay Example | Topics and Well Written Essays - 500 Words. https://studentshare.org/finance-accounting/1578360-international-investments.
“International Investments Essay Example | Topics and Well Written Essays - 500 Words”, n.d. https://studentshare.org/finance-accounting/1578360-international-investments.
  • Cited: 0 times

CHECK THESE SAMPLES OF International Investments

Evaluation of External Envoirment and Business Etnics. Apple Corporation

This stable political system is an important factor conducive for international investment in China (Word Press, 2011).... he political environment for international investors is very favourable in China due to the various incentives provided by the government in spite of the complexity of norms for the new investors....
7 Pages (1750 words) Assignment

Easuring Investment Performance. International Investments. Hedge Funds and the Madoff Scandal

(360 words) Diversified International Investments – this is perhaps one of the most persistent myths in the investing and financial services industry today.... They think the cyclical nature of markets will protect their investments no matter what happens, because they believe markets will eventually recover in the long run.... With a number of esoteric and derivative instruments available today for the sophisticated investor, the belief is that holding a diversified portfolio insulates the investments from financial risks....
3 Pages (750 words) Essay

International Arbitration and International Investment

The Reflective Research Diary Introduction The topic that I selected for my dissertation writing is ‘international Arbitration and international Investment: A Comparative Study between Saudi Arabia and United Kingdom'.... I am quite aware that this topic is not minute or easy to do as a large number of literature is available on the issue of international arbitration.... After this procedure, I started conducting research on the topic of international arbitration and investment and I wrote the same full topic that I had mentioned earlier on in Google to see what comes as a result....
5 Pages (1250 words) Coursework

Globalization of trade and business

Globalisation means that international law now has to rise to meet the challenge of reconciling different traditions.... The key point about the legislation on abolition of the Transatlantic Slave Trade, in 1807, was that it changed the language of the debate.... Perhaps it matters less that the vote was carried because it was in the interests of the British government to disadvantage the French colonies in the West Indies, cutting off their supply of new slaves on which their successful sugar production depended. … The transition from the Transatlantic Slave Trade and slavery involved compensation payments to the owners, and a gradual change of status for the African slaves, who went through a period of apprenticeship from 1833 before being declared free in 1838....
12 Pages (3000 words) Essay

International Investments SLP

An ETF is like an umbrella that scopes a group of stocks in specific investing theme, as opposed to a mutual fund that is merely some group of International Investments SLP In Module 5 of the Session Long Project, we should be able to study the various exchange traded funds (ETF) available in the stock market and to ascertain which of them can make a good choice in investing.... In the AMEX international Indices, I searched and analysed which of the… Trading in ETFs is at some degree different to trading in a particular stock and even to mutual funds....
2 Pages (500 words) Essay

Case Memo 2, Proposition: The BRICs should be the primary focus of international investments

They… This countries have potential of rapid future growth in such away that they would overtake western largest economies toward globalization that, and they have Case Memo 2, Proposition The Brics Should Be the Primary Focus of International Investments BRIC is anacronym of four countries i.... RIC being recognized as a primary focus of international investment face dispute from diverse backgrounds who criticize BRIC idea and concept based on the concept that these countries economies can not continue growing smoothly also other alleged that BRIC idea is Goldmans sachs concept of commanding global power, hence so called BRIC can not achieve the projected status....
1 Pages (250 words) Case Study

Macroeconomics - Economic Growth

Most of the regional developments have been caused by local and International Investments.... Its advancements have been driven by wages, increased consumer markets and investments (China Central Television 2014).... Its advancements have been driven by wages, increased consumer markets and investments (China Central Television 2014)....
1 Pages (250 words) Essay

The Fair and Equitable Treatment Standard in International Investment Law

Henceforth, the requirements of clear and simple rules rendered the international and the state policies in relation to International Investments standards obsolete.... Its negotiating materials provided an insight into the way the “just and equitable” in association with the relation to the law on investments received an understanding in the 1940s.... The aspect of modelling FET concept in the limelight of international investment proceeded in two significant ways, firstly, in the 1940-1960s due to unsuccessful State engagement in multilateral treaty making....
12 Pages (3000 words) Assignment
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us