Which of the Following Statements About Portfolio Investments Is True

question 6

Multiple Choice

Which of the following statements about portfolio investments is true?

• A) It is measured as the dollar value of funds invested by a parent corporation.
• B) It is limited and speculative.
• C) It confers a degree of control over the company.
• D) It is a long-term investment that cannot be sold anytime.

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Definitions:

Global Commodity Chain

A worldwide network of production and distribution processes through which a product passes until it reaches the consumer.

Colonialism

The policy or practice of acquiring full or partial political control over another country, occupying it with settlers, and exploiting it economically.

Global World

A global world describes an interconnected and interdependent world where goods, services, people, and ideas cross international boundaries easily.

Regionalization

The process of dividing an area into smaller segments or regions, often to manage or administrate more effectively.