The Xetra electronic trading system is a trading platform that is used by a number of major exchanges, including the Frankfurt Stock Exchange, the Deutsche Börse, and the New York Stock Exchange. It is operated by the Deutsche Börse Group. Xetra is a computer-based trading system that allows traders to buy and sell securities in … Read more
The Asia ex-Japan (AxJ) market refers to the equity markets of countries in the Asia-Pacific region excluding Japan. This market is also sometimes referred to as the Asia-Pacific ex-Japan (APxJ) market. The AxJ market is one of the largest and most liquid emerging markets in the world. It is home to some of the fastest-growing … Read more
A Qualified Foreign Institutional Investor (QFII) is an institution or individual that is based outside of China and that meets certain criteria set forth by the Chinese government in order to be able to invest in the Chinese securities market. To be a QFII, an institution or individual must have a minimum of US $5 … Read more
ODI occurs when an investor based in one country acquires a controlling interest in a foreign company or enterprise. The investor may be an individual, a group of individuals, or a company. The purpose of ODI is to gain a foothold in a foreign market or to secure a new source of supplies. Inward direct … Read more
S.. The MSCI ACWI Ex-U.S. Index is a market capitalization-weighted index that captures large- and mid-cap representation across 23 Developed Markets (DM) countries (excluding the United States) and 24 Emerging Markets (EM) countries*. With 10,049 constituents, the index covers approximately 85% of the global equity opportunity set outside the US. The MSCI ACWI Ex-U.S. Index … Read more
In currency trading, the “big figure” refers to the first few digits of a currency price, excluding the decimal point. For example, if the price of the US dollar is quoted as 1.2345, the big figure would be 1.234. The big figure is important because it is used to indicate the general direction of the … Read more
Export credit agencies (ECAs) are organizations that provide support for businesses engaged in international trade. ECAs offer a variety of services, including financing, insurance, and guarantees. They also provide information and advice on export opportunities and market intelligence. ECAs play an important role in promoting exports and supporting businesses in their international activities. By providing … Read more
A foreign fund is a fund that invests in securities of companies located outside of the investor’s home country. For example, a U.S. investor could purchase a foreign fund that invests in Japanese stocks. Foreign funds offer investors exposure to a broader range of investments than they would otherwise have access to. They also come … Read more
An international depository receipt (IDR) is a negotiable instrument that represents ownership of foreign securities held by a custodian bank or depository. IDRs are traded on a local stock exchange and provide foreign investors with a way to invest in foreign companies without having to go through the process of directly buying and selling the … Read more
A blue chip swap is an agreement between two counterparties to exchange the cash flows of two different instruments. The instruments can be either debt or equity securities. The term “blue chip” refers to the credit quality of the underlying instruments. In a blue chip swap, one counterparty agrees to pay the other counterparty the … Read more
