Thursday, March 6, 2014

Jaiswal

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"An investment in knowledge pays the most judicious interest."- Benjamin Franklin

Does above quote makes any sense in latest context of Foreign Direct Investment (FDI)? The reply is very simple “YES”. We are living in a global village and everything is up~ our fingertip. The capacity to comprehension the world’s scenario may unprotected many doors.

So, What about the FDI income in Indian context? We have to proceed into our history, in early 1498 which time a PortugueseVaskodigama arrived at Calicut. He proverb the prosperity of Indians. He introduced India in entire world. Later people started to inspect India. Portuguese, Dutch, British and French they established their premises in India and disturb trading with Indian people and dynasty. Sir Tomas Roe was the elementary British who came as the legate of British emperor and get the consent of trading in Mughal India. After this they created the ‘East India Company’ and started their transaction. It was the initial form of FDI in India.

Later it got numerous company changes according to the world’s financial status and become more popular vocable as foreign direct investment and the else similar word called foreign institutional investor (FII).

Concept:-

FDI is a phrase of investment where one or other thing companies /people from a particular state put their capital into other state according to their development needs. In additional specific words according to International monetary fund (IMF) the total capital of 10% or in addition of a foreign company/people into a one is considered as FDI below this fix the ~s of is only a shareholding.
        
The external institutional investors (FII) are the collection of people, who invest their chief through any financial firm or etc. for a good return. Mainly they focus on short term goals and wish to profits immense profit for their investment. The key factor of FDI and FII is that “Money makes Money”. It is true true that no one will clothe without gain accepts the inland body politic, according to welfare approach....

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