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The Difference Between Foreign Direct Investment and Portfolio Investment Is

Question 5

Multiple Choice

The difference between Foreign Direct Investment and Portfolio Investment is that


A) Portfolio Investment mostly represents the sale and purchase of foreign financial assets such as stocks and bonds that do not involve a transfer of control.
B) Foreign Direct Investment mostly represents the sale and purchase of foreign financial assets such as stocks whereas Portfolio Investment mostly involves the sales and purchase of foreign bonds.
C) Foreign Direct Investment is about buying land and building factories, whereas portfolio investment is about buying stocks and bonds.
D) All of the above

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