Give me a answer pleaseSolutionAnswer 1 I would not consider
Give me a answer please
Solution
Answer 1) I would not consider this investment perposal , so ask Mr Lawrence to talk to me with some other suggetions on investment opportunity in future. Croatia, an ECM doesn\'t have perfect financial reporting structure on place.Even Mr Deepak doesn\'t have sizeable experience in investment advisory business.
Answer 2) Information availability, reliability and comparability are three pillars for evaluating and study the state of reporting aminly financial reporting in ECMs As without consideration of legal aspect , we cann\'t invest in such emerging markets.
Answer 3)Yes, I would recommend some well structured and with sound legal system market , like India, Brazil or Russia for investment to my clients for longer prospective.
Answer 4 ) The emerging market is consider to be comparatively a risky proposition for investment due to following factors\'
On the basis of above factors , it is very much clear that EMC Provide high benefits with high level of country risk involved .
Foreign Exchange Rate Risk : The currency of emerging are comparatively non-stable
Poor corporate goverance : generally such market as low- regulated market
Higher interest rate : the interest rate in emerging market are generally higher than developed market .
Low In Liquidity : Low investment volumn make them low in liquidity
Increased Chance of Bankruptcy
high level of Political Risk
