The Role of a Public Investment Fund in Promoting Diversification - Assignment Example

Another advantage that NCB will incur by introducing Islamic financial system is that profit sharing will be more conducive to economic growth as this would increase the supply of risk capital for investment and greater incentives for undertaking such risks due to expected profitability as mentioned by El-Gamal (2006).... Our discussion also found out that Islamic financial system will promote an integrated economic development at NCB since it encourages the use of money for facilitating trade in goods and investment in productive capacity instead of money creation for the sake of money as supported by Hassan & Lewis (2007)....

The economic perspective also states that the benefits of diversification do not only fall on the managers and investors entirely, but also on the general population, not forgetting the nation since it helps in promoting the national GDP.... … Section IIntroduction: diversification is simply defined as the portfolio strategy that is aimed at reducing the risk exposures through combining various investment varieties.... For example, dealing with stocks, bonds and real estate are all processes Section IIntroduction: diversification is simply defined as the portfolio strategy that is aimed at reducing the risk exposures through combining various investment varieties....

Besides this being reflected from the statement it however demonstrates a significant change in the role that the government plays in the process of ensuring proper and efficient regulation of the financial sector (Caprio, 2004).... The statement that “Major failures of regulation and supervision, plus reckless and irresponsible risk-taking by banks and other financial institutions, created dangerous financial fragilities that contributed significantly to the current financial crisis” demonstrates that banks and other financial institutions have engaged in poor investment and management practices against risks....

This implies that it fuses the benefits of diversification inherent to an index tracking fund with the liquidity advantages of trading singular shares.... An example of fairly recent innovation originates from the mutual fund sector; the inception of exchange-traded funds (ETF).... An example of fairly recent innovation originates from the mutual fund sector; the inception of exchange-traded funds (ETF).... The Exchange-traded fund can be defined as a combined asset medium whose aim is to reflect the performance of a particular index and is traded as a solitary stock....

Foreign Direct Investment (FDI) according to International Monetary fund (IMF) is the investment that is made by an investor with the aim of acquiring a lasting interest in a particular enterprise that is operating outside one's economy.... … The paper "Foreign Direct investment and Technological Change - KFC in Malaysia" is a perfect example of a business assignment.... The paper "Foreign Direct investment and Technological Change - KFC in Malaysia" is a perfect example of a business assignment....

… Generally speaking, the paper 'Marketing Plan for Jago Bicycle Store" is an outstanding example of a marketing case study.... nbsp;A marketing plan is essential for the success of business organizations.... This plan ensures that the organization sticks to the schedule and spends the marketing funds appropriately....

… In general, the paper "Qantas's International Business Class Travel Business Plan" is a perfect example of a marketing case study.... nbsp;Over the years, Qantas Airline Ltd has experienced steady growth in the Airline market in Australia but due to increase in competition, the domestic airline market has shrunk....

Australian Real Estate investment Trusts (A-REITS) are entities that provide investors with access to property assets, that is, they provide exposure to the real value of the real estate assets that they own plus their capital growth as well as the rental income.... Australian Real Estate investment Trusts (A-REITS) are entities that provide investors with access to property assets, that is, they provide exposure to the real value of the real estate assets that they own plus their capital growth as well as the rental income....