Foreign investment refers to a foreign investor’s investment in domestic companies and assets of another country.
Large transnational corporations will look for new opportunities for economic growth by opening branches and expanding their investments in other countries.
Foreign direct investment includes long-term physical investments made by a company in another country, such as opening factories or buying buildings.
Foreign indirect investment includes corporations, financial institutions and private investors who buy shares of foreign companies that are traded on a foreign stock exchange.
Commercial loans are another type of foreign investment and include bank loans issued by domestic banks to enterprises in foreign countries or governments of these countries.
China A-share is the shares of companies based in mainland China that are traded on two Chinese stock exchanges: the Shanghai Stock Exchange (SSE) and the Shenzhen Stock Exchange (SZSE).
American Depository Shares (ADAs) refer to shares of foreign companies held by US depository banks and can be traded in the US, including on major exchanges.
Berhad (BHD) is the suffix used in Malaysia to denote a public limited company. The suffix Sendirian Berhad (SDN BHD) identifies a private limited company.
The Bombay Stock Exchange (BSE), founded in 1875 as an Association of Local Shareholders and Stockbrokers, is the first stock exchange in Asia and the largest securities market in India.
Export credit agencies offer loans, credit guarantees and insurance to help domestic companies limit the risk of selling goods and services in foreign markets.
The Financial Times Stock Exchange Group (FTSE) is a financial institution that specializes in managing asset exchanges and creating index offerings for global financial markets.
The Government Investment Corporation of Singapore (GIC) is one of the three financial institutions that manage the financial assets of the Government of Singapore.