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Examveda

An investment that gives the investor a controlling interest in a foreign company is known as which of the following?

A. foreign portfolio investment

B. foreign direct investment

C. mixed venture

D. pure venture

Answer: Option B

Solution(By Examveda Team)

An investment that gives the investor a controlling interest in a foreign company is known as foreign direct investment. A foreign direct investment (FDI) is an investment made by a firm or individual in one country into business interests located in another country. Generally, FDI takes place when an investor establishes foreign business operations or acquires foreign business assets in a foreign company.

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