Economy, asked by sawan5591, 1 year ago

Foreign currency which has a tendency to quick migration is called

Answers

Answered by Lakkie
0
Your answer :

Hot Currency

Foreign currency which has a tendency to quick migration is called hot currency.

Hope this helps.

Have a nice day =)
Answered by sourasghotekar123
0

Answer:

Foreign currency which has a tendency to quick migration is called as- Hot currency.

Explanation:

  • Foreign currency which has a tendency to quick migration is called as Hot currency.
  • Hot currency is- money that signifies quickly and regularly moves between financial markets, who ensure the investors lock in the highest.
  • The example of hot currency or hot money includes- short term foreign portfolio investments which also includes investment in equities, bonds and financial derivatives.
  • The hot money also refers to the funds which are controlled by investors who actively seek short term returns.
  • The flow of hot money can be de-establishing.
  • It creates the excess liquidity fueling a future asset boom and creating more long term problems.

Hence, Foreign currency which has a tendency to quick migration is called as hot money.

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