Reasons to choose global investing: power of international investment
Table of contents
Global investment provides access to investment opportunities that are not available in the domestic market. Learn more about the top 7 reasons to choose global investing for your real estate investments
Thanks to the development of technology, the world is becoming more and more interconnected, and the spread of the digital economy allows transactions to be carried out far beyond the borders of the country of residence.
At first glance, investing exclusively in domestic assets may seem like a comfortable and easy way to make money, but doing so can expose your portfolio to risks associated with domestic economic and political events. At the same time, international investments allow you to diversify assets and get additional benefits. There are also many other advantages of such investments.
What is the power of international investment? Here are 7 good reasons to choose global investing.
1. Diversification of the investment portfolio
One of the most important advantages of global investing is the diversification of the investment portfolio across different countries and asset classes. By spreading your investments across different markets, industries and currencies, you can reduce the impact of local economic downturns and political uncertainty. This means that fluctuations in one market are unlikely to affect your other assets. If the domestic market suffers a downturn, the international market can continue to operate in parallel, thus providing a buffer against losses.
2. Expansion of investment opportunities
International investing allows you to expand your investment opportunities by choosing not only different countries, but also sectors of the economy. For example, an investor gets the opportunity to invest in the real estate market in Indonesia or Turkey, in technological projects in Japan or the USA, in goods in Australia or in medicine in Germany.
3. Business development
Investing in a foreign market allows companies to gain access to new resources such as labor, raw materials, and technology. Which in turn will allow to have a competitive advantage on the local and global market.
Useful expert advice
Useful expert advice
Anton Taranenko is the founder and CEO of Visit Ukraine and Visit World online platforms and the owner of the international development company AntaGroup:
International investment is one of the most important factors in the economic development of countries around the world. They have a powerful impact on the growth of the national gross domestic product, increase the number of jobs, promote innovative development and increase the competitiveness of companies.
The strength of international investment lies in its ability to attract financial resources from various sources, such as foreign direct investment, foreign loans, portfolio investments, and others. These resources are used to develop various sectors of the economy, providing the necessary investments for new projects, reconstruction, and expansion of existing enterprises.
International investment also stimulates export growth, as foreign companies that receive investment are able to increase their productivity and improve the quality of their goods and services. This gives them the opportunity to penetrate new markets and take a stronger position in the global market.
The power of international investment also lies in the additional flow of capital that helps countries make social investments, such as in education, healthcare, and infrastructure. This helps to improve the quality of life of citizens and creates favorable conditions for the development of human potential.
Overall, international investment is a powerful tool for strengthening the economic development of countries. They not only provide additional financial resources, but also attract new technologies, knowledge and know-how. This helps to develop the national economy, increase its competitiveness and ensure sustainable development over the long term.
Thus, the power of international investment lies in its impact on all spheres of the economy and society, creating new opportunities for development and welfare. This is the potential to improve both the lives of individuals and the economic status of countries as a whole.
4. The possibility of issuing an international loan
Investors with foreign investment portfolios can obtain loans in other countries where they own a significant portfolio. This is quite advantageous if credit sources in the country of origin are not available due to certain factors or have high interest rates. The ability to get a loan on favorable terms and as quickly as possible allows you to implement new business projects.
5. Obtaining additional profit from currency appreciation
When you invest in international stocks, you get both a return on your investment capital and an appreciation in the exchange rate. That is, when the value of the foreign currency increases compared to the national currency, you get additional profit.
6. Protection of investments
International investing allows you to protect your portfolio from any frauds and liquidations. Global companies usually operate according to strict rules and follow the rules of corporate governance. Violation of laws leads to the application of severe sanctions. This policy protects all international investments from loss and potential fraud.
7. Access to resources
For example, if a business needs certain raw materials, oil, minerals, etc., it is possible to invest in a foreign country where these resources are abundant. This action provides the company with a reliable supply of resources and reduces its dependence on a single source.
8. Liquidity
Foreign investments can be bought and sold quickly and easily. This means that investors holding foreign portfolio investments are in a better position to act quickly when good resale opportunities arise.
International investment promises great returns and is an excellent capital investment. One of the most profitable investment options is buying real estate abroad.
Investing in foreign real estate is an attractive proposition for those who dream of additional income and are also looking for an opportunity to obtain a permanent residence permit or citizenship in another country.
Currently, Indonesia, particularly the island of Bali, is a promising destination. According to experts, the amount of net profit from the sale of apartments purchased in Bali during the construction phase will be 44% in three years. When renting real estate, you can return the investment in 5-6 years. However, the investor should carefully choose a developer, it is better if he has international work experience. It is also important to pay attention to the type of real estate and the location. A profitable investment option in Bali is the purchase of premium apartments ANTA Residence Canggu from the reliable international developer ANTA Group.
Turkey also has an attractive real estate market where you can get a high return on investment. Most investors prefer to buy business-class apartments in Turkey, because such an investment is a good option, both for living and for investments. Read more about the advantages of investing in real estate in Turkey here.
Daria Rogova, Head of Insurance at Visit World
To move, travel or work safely in a new country, you will need health insurance. You can apply for an extended policy on our website here.
Products from Visit World for a comfortable trip:
Travel guide for 200 countries;
Legal advice from a local specialist on visa and migration issues;
Travel insurance around the world (please select the country of interest and citizenship to receive services);
Medical insurance all over the world.
More articles on the topic:
Global Investment Opportunities: Where to Look for the Best Deals?
Comparison of investment instruments: pros and cons of investing in real estate.
Tourist real estate: prospects and opportunities for investors.
How investing in share of the premises?
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