Description
What do international stocks contribute to the portfolio of a U.S. investor? How do currencies interact with stock price movements in determining the benefits of international diversification? This case helps students compare the risks and returns of foreign stock markets with each other and with the U.S. market and to examine the risks and returns of international diversification. Students must calculate returns, adjust for currencies, derive correlations, and map efficient frontiers based on raw data. To obtain executable spreadsheets (courseware), please contact our customer service department at custserv@hbsp.harvard.edu.
Keywords
Advertising
Barriers to entry
Black markets
Capital-Asset-Pricing
Currency
Diversification
Entrepreneurship
Exchange rate risk
Exchange rates
Financial engineering
Financial markets
Foreign investments
International entrepreneurial finance
International finance
Investment management
Money
Return on investment
Risk management
Statistical analysis
Statistical biases
Stocks