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Erschienen in:

2020 | OriginalPaper | Buchkapitel

1. The Economics of the International Market

verfasst von : Tomasz Miziołek, Ewa Feder-Sempach, Adam Zaremba

Erschienen in: International Equity Exchange-Traded Funds

Verlag: Springer International Publishing

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Abstract

This chapter presents the economic foundation of international equity investments. First, foreign investment opportunities and then international parity and inflation relationships, as well as exchange rate issues—mostly currency exposure and hedging against exchange rate movements—are discussed. All of them are crucial for cross-border investments. This chapter also provides monetary variables and their impact on investments, international asset pricing, and the global investment structure to help the reader understand the complex international environment. It also describes the home bias issue and market segmentation theory. It is devoted to the practical problem of the international investment strategy, and it attempts to apply psychological concepts to avoid suboptimal asset allocation.

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Titel: The Economics of the International Market
verfasst von: Tomasz Miziołek
Ewa Feder-Sempach
Adam Zaremba
Verlag: Springer International Publishing
Buch: International Equity Exchange-Traded Funds
Print ISBN: 978-3-030-53863-7

Electronic ISBN: 978-3-030-53864-4

Copyright-Jahr: 2020
DOI: https://doi.org/10.1007/978-3-030-53864-4_1