Question : Which of the following is not a type of portfolio investment?
Option 1: Purchasing foreign stocks
Option 2: Purchasing foreign bonds
Option 3: Investing in a foreign company
Option 4: Acquiring a foreign asset
Answer (1)
24th Jan, 2024
Correct Answer: Investing in a foreign company
Solution : The correct answer is (c) Investing in a foreign company
Investing in a foreign company is not typically considered a type of portfolio investment. Portfolio investment refers to the purchase of financial assets such as stocks, bonds, and other securities with the expectation of earning a return. It typically involves investments in tradable securities, rather than direct investments in specific companies.
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