Premium Essay

Concept

In:

Submitted By babiitiger
Words 1344
Pages 6
Investing in foreign securities, while a good thing for your long-term portfolio, continues to pose new threats for investors. As more people broaden their investment universe by expanding into foreign stocks and bonds, they must also bear the risk associated with fluctuations in exchange rates.

Fluctuations in these currency values, whether the home currency or the foreign currency, can either enhance or reduce the returns associated with foreign investments. Currency plays a significant role in investing; read on to uncover potential strategies that might downplay its effects.

Pros of Foreign Diversification
There is simply no doubting the benefits of owning foreign securities in your portfolio. After all, modern portfolio theory (MPT) has established that the world's markets do not move in lockstep and that by mixing asset classes with low correlation to one another in the appropriate proportions, risk can be reduced at the portfolio level, despite the presence of volatile underlying securities. As a refresher, correlation coefficients range between -1 and +1. Anything less than perfect positive correlation (+1) is considered a good diversifier. The correlation matrix depicted below demonstrates the low correlation of foreign securities against domestic positions.

Monthly Correlations 1988 to 2006

Security Type S&P 500 Index Russell 2000 Index Russell 2000 Value MSCI EAFE International Small Cap International Small Cap Value MSCI Emerging Markets
S&P 500 1 - - - - - -
Russell 2000 0.731 1 - - - - -
Russell 2000 Value 0.694 0.927 1 - - - -
MSCI EAFE 0.618 0.532 0.487 1 - - -
International Small Cap 0.432 0.466 0.414 0.857 1 - -
International Small Cap Value 0.41 0.411 0.414 0.831 0.97 1 -
MSCI Emerging Markets 0.59 0.634 0.586 0.582 0.53 0.512 1
Source: Dimensional Fund Advisors

Combining foreign and domestic assets together tends to

Similar Documents

Free Essay

Concept

...Making a Dubstep song A lot people have either heard a dubstep song or know of at least one. Some people like them, but some don't. Hearing these songs I always wondered how hard is it to make one. It turns out having free time, computer skills, and some rhythm are all you need, well some computer First you'll need some great to get started. The first thing you need is a computer. A lot of dubstep is the sound effects. You need a fast computer with a lot of memory. If you want a Mac, make sure it has 1.8 GHz, with an Intel Processor 2-4 GB of RAM and is OSX 10.5 or later. If you want a PC, make sure it has 2GHz Pentium or Celeron processor 2-4 GB or RAM Windows XP, Vista, or Windows 7 a sound card with ASIO driver support. Next you'll need a music software, my favorite is GarageBand. The music software is used to prepare tracks, sample songs, mix and record. Other popular software is Fruity Loops, Cakewalk Sonar, and Renoise. You should strongly consider adding external hardware to the setup. Having a basic USB mic on hand to record vocals or raps is a good idea and good way to create new sounds to use. If you're at all interested in incorporating original found sounds or acoustic elements and manipulating them in your dubstep music, a solid microphone is a good idea. The next step is to learn about your equipment. Playing with the instruments you have on your computer can be a good way to familiarize yourself with...

Words: 489 - Pages: 2

Premium Essay

Accounting Concepts

...Accounting 10 Key concepts of accounting Done by-Bemnet A.Mamo ID number-B0129FSFS0813 School of Business and Law 10/15/2013 Contents * Introduction……………………………………………. 2 Going concern……………………………………….. 3 Consistency……………………………………………. 3 Prudence……………………………………………….. 4 Accruals…………………………………………………. 4 Objectivity……………………………………………… 5 Realization…………………………………………….. 5 Dual aspect……………………………………………. 6 Materiality…………………………………………….. 7 Money Measurement……………………………. 7 Timeliness……………………………………………… 8 * Conclusion………………………………………………. 9 * References………………………………………………. 10 Introduction Accounting generally can seem to be a practical subject that would be very simple to focus on only the applications of procedures and techniques. But it is far more than just a bunch of calculations, until we can identify and interpret our production of the figures, the calculations are pointless. It also measures the works of a business in financial terms and provides various financial statements and reports for various transactions the business agrees (e.g., buying and selling goods) assumed the business. In organizing financial statements, accountants use certain fundamental concepts when constructing financial accounts and statements. Traditionally there are four main concepts; 1) Going...

Words: 1687 - Pages: 7

Premium Essay

Concept Analysis

...Concept Comparison and Analysis Jo Ann Tyler Green NUR/513 10/15/2012 Michelle Johnson Concept Comparison and Analysis The concept, quality of life, as used in nursing theories, is presented in a historically situated context. This approach to concept analysis was selected to illuminate the subjective, contextual, and fluid nature of the concept. Based on this review, quality of life is defined as an intangible, subjective perception of one’s lived experience. From a review of Peplau’s, Rogers’, Leininger’s, King’s, and Parse’s conceptualizations of quality of life, it is concluded that it may be viable to replace health with quality of life as a meta-paradigm concept for nursing. There are numerous definitions of quality of life that exist. Described as experiences of life (Meeberg, 1993), satisfaction with life, and well-being (Ferrans, 1996; Haas, 1999; (Meeberg, 1993), the definition of quality of life lacks precision and specificity. Consistency is important because “differences in meaning can lead to profound differences in outcomes for research, clinical practice, and allocation of health care resources” (Ferrans, 1996, p. 294). Nurses have made important contributions to understanding this concept. The quality of life has been examined in groups of people experiencing a particular illness or health deficit, such as cancer or heart disease (C. R. King, 1998). Quality of life concept analyses have focused on existential aspects of the concept. However, these...

Words: 1521 - Pages: 7

Free Essay

Team Concepts

...Work Team Concepts A previous experience in my work life illustrates the concept of group communication. According to Rue and Byars (2004), keeping members of a group informed helps create the feeling that the group is needed and a part of the organization (p.138, para. 2). The company I work for recently has undergone 60 layoffs throughout the corporation. The management team did not inform us on whether or not our department would be part of these layoffs. This caused a scare to the employees and the feeling that their jobs are no longer secure. Several of the employees were working poorly with production due to added stress of the job. Our department did not lose any employees but did lose many hours because they have closed the cafeteria down on the weekends. The full-time employees that worked in the café were given hours in the kitchen, therefore reducing the per-diam worker’s hours. As a team, we developed new job descriptions for the production jobs in the kitchen. We were able to keep all our full-time and part-time workers as well as create hours for the per-diam workers. The management team allowed us to use our team concept and group communication skills to adjusting the job descriptions. We have been working with the new job functions for several weeks now and the morality of the group is back up to the group norm. A group norm according to Rue and Byars (2004) is a group that adapts to regulations and regularized group members’ behaviors (p. 140, para. 2). Reference: ...

Words: 284 - Pages: 2

Premium Essay

Concept Analysis

...Concept Analysis Assignment Grand Canyon University Theoretical Foundations for Nursing Roles and Practice NUR 502 Ms. Maria Mendez June 13, 2013 Concept Analysis Assignment Today’s nursing profession encompasses a variety of specialties and disciplines that demonstrate a wide range of phenomena. According to McEwin and Willis, in clinical practice, those phenomenon that are frequently seen aid advanced practice nurses in developing interventions and clinical protocols because they are said to be stable and reliable components of the practical nursing experience (McEwin & Willis, 2011, p. 47). The observed phenomena may or may not have had research studies associated with them in the past to concretely define them, and therefore the notion of concept development and analysis arose to clarify the meanings of the phenomena encountered in one’s practical setting. McEwin and Ellis define concepts as “terms that refer to phenomena that occur in nature and thought” (McEwin & Willis, 2011, p. 47). Furthermore, concepts can be concrete, nonconcrete, variable, and non-variable in manner and described in words or phrases. Concept analysis is utilized to clarify vague concepts in nursing that may be overused and unclear and also to promote a mutual understanding amongst colleagues (Falan, 2010). For the purpose of this assignment, an article found in the Scandinavian Journal of Caring Sciences regarding the concept of abuse in healthcare was selected for concept analysis...

Words: 1242 - Pages: 5

Premium Essay

The Concept of Anger

...THE CONCEPT OF ANGER IN ENGLISH AND LITHUANIAN AND ITS TRANSLATION MASTER THESIS Research Adviser: Dr. L. Stankevicien_ CONTENTS Introduction ………………………………………………………………………………………3 I. The Review on the Emotion Lexis Research ……………………………………………….….6 II. Linguistic Expression of the Concept and Principles of Its Contrastive Analysis……………12 1. Concept as an Object of Cognitive Linguistics ………………………………………...12 2. Specifity of Emotion Concepts …………………………………………………………16 3. Cognitive Theory of Metaphor and Its Application in Comparative Researches……….19 III. The Levels of the Analysis of the Concept of Anger and the Peculiarities of Its Translation……………………………………………………………………………………….25 1. Lexicographical Level…………………………………………………………………...25 2. The Level of Scenario of Prototypical Situation………………………………………...33 2.1. The Cause of Anger……………………………………………………………...34 2.2. The Manifestation of Anger……………………………………………………...37 2.3. The Attempt at Controlling Anger……………………………………………….42 2.4. The Loss of Control……………………………………………………………...45 2.5. The Retribution…………………………………………………………………..49 3. The Level of Conceptual Metaphors and the Peculiarities of Translation of the Concept of Anger…………………………………………………………………………………….50 3.1. ANGER IS A HOT FLUID IN A CONTAINER ……………………………….53 3.2. ANGER IS HEAT……………………………………………………………….58 3.3. ANGER IS FIRE………………………………………………………………...60 3.4. ANGER IS A LIVING BEING………………………………………………….63 3.5. ANGER IS AN OPPONENT IN A STRUGGLE……………………………….65 3.6. ANGER...

Words: 32431 - Pages: 130

Free Essay

Applying Concepts

...Applying Concepts Team D MTH-220 June 30, 2014 Wayne Neidhardt Applying Concepts Solve To solve and graph the equation provided using the system of inequalities formula, one must find the x and y intercepts. Our first equation will be written as 50x+20y+230≤ 1500. First to find our x intercept, we will let y=0. Our equation will be written as 50x+200+230=1500. Next we want to solve for x, by deducting 230 from 1500 and dividing 50 from both side to get x=1270/50. Our x intercept will be 25.4. To get our y intercept, we will let x=0. Our equation will be written as 500+20y+230=1500. Now we want to solve for y by deducting 230 from 1500 and dividing 20 from both side to get y=1270/20. Our y intercept will be 63.5. Overall our intercepts for the first equation will be (25.4, 0) (0, 63.5) For our next equation, we will be using the same concept to find the x and y intercepts. Our second equation will be written as 30x + 20y ≤ 500. To solve for x, we will let y=0, to get 30x+20(0) =500. Next divide by side by 30 to get x=500/30. Our x intercept will be 16.66 rounded off to get 16.7. To get our y intercept, we will let x=0 to get 30(0) +20y=500. Divide both side by 20 to get y=500/20. Our y intercept will be 25. Overall our second equation intercepts are (16.7, 0) (0, 25). Since both of our equations contains a greater than and equal to symbol, our line will be solid. Both of our equation will be shaded to the left because x and y is less than the proceeding number...

Words: 316 - Pages: 2

Free Essay

Maintenance Concept

...aircraft. The propeller is equipped with state-of-the-art electronic control, all composite blades, and individual line-replaceable blades. Compatible with most Allison and Rolls Royce engine installations. NP2000 Maintenance Concept The NP2000 propeller system maintenance concept is based on phase inspections according to the number of flight hours. The interval of these inspections is 500, 1,000, 1,500 flight hours. Because of planning purposes, these phase inspections contain periodic maintenance tasks, which would be otherwise performed according to calendar time. Exceptions are inspections such as Pre-flight inspection, Post-flight, conditional, and turn around inspections that are performed at the (O) level. NP2000 Main Features Main features are introduced below: * Compatible with Allison and Rolls Royce engine installations. * Electronic control. * Individual line replaceable blades. * Reduced maintenance costs. * Fewer mechanical parts. * Higher reliability. * Reduced noise. * Lower vibration. * Reduced feather drag. * Tighter speed governing. NP2000 Basic Data * Diameter 13 ft 5 in * 5100 SHP rating, 5610 SHP growth * 1106 RPM Maintenance Levels A traditional three-level maintenance concept, consisting of Organizational level (O), Intermediate level (I) and Depot level (D) maintenance was adopted for the NP2000. Organizational Level Maintenance The “O” level maintenance is performed by operational units...

Words: 649 - Pages: 3

Premium Essay

Concept Framework

...Conceptual Framework Science Attitude Science Attitude Science Achievement Science Achievement Career Choice Factors Career Choice Factors Figure 1.Conceptual illustration of the study Figure 1 shows the relationship of the dependent and independent variables of the study. The dependent variables involved are Science Attitude and Career Choice Factors. These dependent variables are connected to Science Achievement which is the independent variable of the study. Career Choice Factors are the factors that determine student’s success on the next stages of his life. This study is focused on the effects of the science attitude and career choice factors to the science achievement of students in Grade 10. Significance of the Study In many ways, whether in a tiny scale or in a larger scale, the findings of this study will surely benefit the following: The Students. In conducting this study, the student have a given an opportunity to make a stand regarding on the factors affecting their attitude towards science and career choice. Their perception may help those people on science department to assess what are the factors in career choice that affects their science achievement. The Science Teachers. The teachers will have the time to reflect how their students think about the relationship of Science to their choices of career and will give them a chance to know the factors that affects the student’s achievement through their attitude and...

Words: 359 - Pages: 2

Premium Essay

Concept Analysis of Environment

...chapter complete and interesting. This book offers assistance to nursing students in exploring and appreciating nursing theories and their use in nursing practice and scholarship. Rather than a practical handbook to producing and/or publishing, this book is indispensable because of its honest perspective and its encouraging approach. This book is very useful in making concept analysis because every concept is clear and organized in a way that it can easily be understood. Moreover, its content are very detailed and extensive which made it very favorable. Walker, L.O.,& Avant, K.C. Strategies for Theory Construction in Nursing(3rd ed.). Norwalk, CT: Appletion & Lange, 1995. The book of Avant and Walker offers detailed and easy-to-understand information about constructing theories in nursing and a very detailed step in analyzing concepts. Each chapter was designed to capture the interest of the reader by emphasizing the importance of different strategies and approaches in constructing nursing theories. The book is very important for nurses because it will provide them strategies in understanding a concept in a very systematic approach which made it an indispensable tool. This book is very useful in...

Words: 3126 - Pages: 13

Free Essay

Basic Concept Check

...based off their own perception of it as well as what is socially acceptable. The construct is also measured by a person’s perception and socially accepted concepts of “well-being”. A person’s well-being is what they make of it. The ability to find happiness does not come from outside sources. However, the ability to equate one’s sense of well-being is influenced by outside sources. People have the tendency to trust what is shown to them through advertisements and shows of what is the proper amount of well-being. In truth, this is different for each person. Asking to give a moderation or value to it does have its psychological benefits, but it can also provide for a conflict in a person. We seek to be what we are supposed to be. Part of that is seeking to be happy and have that sense of “well-being”. Quantifying it, or trying to, in any sense will always be subjective because we are all different, having our own perceptions, and our own scales of positive and negative. 2. On p. 18 of your textbook, the authors present the hypothetical possibility of being hooked up to an ‘experience machine’ that would guarantee a constant state of happiness and positive emotion. Would you choose to be hooked up to such a machine? Why or why not? In your response, differentiate between hedonic and eudaimonic concepts of happiness. I had to think about this for all of about two seconds before I had my answer. I would absolutely not want to be hooked up a machined that...

Words: 519 - Pages: 3

Premium Essay

The Concept of Administration and Organization

...THE CONCEPT OF ADMINISTRATION AND ORGANIZATION A: WHAT IS ADMINISTRATION First definition: “Administration can be defined as the activities of groups cooperating to accomplish common goals”. There are particular key elements of administration. Cooperative: the word cooperative is the first key element in this definition. Human activity is cooperative if it has the effects that would be absent if the cooperation did not take place. * Group Activity: Administration includes activities of more than one individual. * The term ‘cooperative’ is defined in terms of the results of the human activity. When two men together roll a stone which neither of them could roll alone they are cooperating. * Thus the essence of administration is the utilization of cooperative action for the accomplishment of common goals. * Common goal: the second key element of the above definition is the goal or purpose. * It is the common goal which encourages members to come together. Cooperation among members is possible when they share a common goal. The idea of goal is central to the concept of administration in the sense that if there was not a goal, the members of the group would not come together and cooperate with each other. * Without the formulation of an objective or goal, no one within the group would know what to do and they would not get involved in any activity. * When someone determines the objective and the group is formed, than the group members...

Words: 633 - Pages: 3

Free Essay

Hero Concept in Literature

...Writing Assignment 2: Hero Concept In literature there are many different concepts that authors use, one concept that is used is the 'hero concept,' which can capture any audience, and can be seen in many different ways, but it's pretty clear that a hero is someone with the will to stand up for what they believe in, has courage, and is strong for others. People in general, at some point, have wanted to be the hero, or have the courage to stand up for what they believe in. More often than not, people stand by and don't act in a heroic manner, so when reading a story, poem, or other piece of literature that uses the hero concept; it captures the reader and keeps the reader interested. The hero concept is clearly used in "Bodega Dreams," "Hard Rock Returns to Prison for the Criminal Insane," and "The Train from Hate." The authors of these pieces of literature keep the reader captivated by using the hero concept, and the pathos appeal, evoking a sense of emotion in the reader. "Bodega Dreams" by Ernesto Quinonez has a great example of a hero. This short story is of a class of apparent minority students, who are told by one teacher that they will never amount to anything, and would end up in jail or on the streets. Since the students are being constantly told that they will fail, they don't make an effort. This causes another teacher, the "hero," to become very angry, because he wants to see his students succeed. The narrator reveals this teachers heroic nature when the teacher...

Words: 1030 - Pages: 5

Premium Essay

Concept Based Virriculum

...curriculum (Devereaux-Melillo, Dowling, Abdallah, Findeisen, & Knight, 2013). The need to examine curricular transformation is imperative in order to manage content saturation, and abate the separation of the classroom and clinical teaching. This paper will outline the following processes: (a) the development of a concept-based curricular plan for a baccalaureate program, (b) the impact of a concept-cased curriculum (CBC) on the faculty, students, finances, community of interests, accreditation, and (c) examples of the integration of competencies. Development of Concept-Based Curricular Plan Nursing faculty are challenged with curriculum, for they are presenting an astronomical amount of material to “cover the content”. According to Duncan and Schulz (2015) nurses practice conceptually on a daily basis by focusing on the patient needs, regardless of the medical diagnoses assigned. In order to practice conceptually, nurses must think conceptually by grouping important facts into concepts that can then be transferred from one clinical situation to another (Benner, Sutphen, Leonard, & Day, 2010). A CBC provides an opportunity for students to transfer the understanding of concepts across multiple areas, make connections to current, and future learning experiences, and underlying issues in complex situations. Needs assessment within the plan. Curriculum development originates at the level of the university’s...

Words: 2713 - Pages: 11

Premium Essay

Examples of Production Concept

...Compare and Explain the Societal Marketing Concept with Production Concept. Illustrate Your Answers and Support Your Argument with Reasons and Local Marketing Examples. Select a company of your choice and answer the following questions to demonstrate your understanding of the following topics: 1. Compare and explain the societal marketing concept with production concept. Illustrate your answers and support your argument with reasons and local marketing examples. Societal marketing concept is the idea that a company should make good marketing decisions by considering consumer’s wants, the company’s requirements, consumer’s long- term interests and society’s long-run interests. This concept can help company to have more exchange relationship with the consumer and give more benefit for the consumer and the society. For example, Hung Fook Tong(鴻福堂) is the company that using the societal marketing concept. It is a traditional Chinese herbal tea shop. And it continuously develops and produces new products. People now focus on healthy lifestyle so Hung Fook Tong has no add preservatives and monosodium glutamate into their products. Also Hong Kong people is very busy, so Hung Fook Tong produces a lot of ready-made Chinese medicinal natural nourishing products e.g. Chinese herbal soup, Chinese herbal tea and other Chinese medicinal diet to convenience the consumers. Moreover Hung Fook Tong care the society and it organized different types of charitable activities and...

Words: 332 - Pages: 2