leverage

CFA Level III Fixed Income
#1

Reading 22 EOC q # 22- why would i invest in countries which are giving lesser yields than US in the first place?

#2

you get the money from them, instead of borrrowing internally, pay less interest on the debt incurred

would you like to borrow $100 at 10% or at 1%??

#3

The question specifically states-invest

#4

Think about it.

#CurrencyAppreciation

#5

  1. Diversification benefits

  2. Speculation on future opportunities

  3. Tax opportunities (or tax evasion)

  4. All of above