Analysis of the geographical diversification of financial instruments
Analysis of the geographical diversification of financial instruments

Summary/Abstract: The purpose of this research is to examine the effect of the geographical diversification offinancial instruments on capital markets. Usinggeographical diversification in order tocreate a more effective portfolio would enable investors to use such diversification as a risk mitigation tool. Free capital market data,available to everyone, were primarily used inthe research. This study aims to examine geographical diversification and its effectiveness in different regions as well as their historical changes. Historical analysis is not possible incountries lacking developed capital market. A geographically diversified portfolio will result in efficiency gains over the long term. Furthermore, the use of regional and global capital market indexes can be an effective tool for geographic and geopolitical analysis of the relationships between countries and regions.

• Details
• Contents