ShmoopTube
Where Monty Python meets your 10th grade teacher.
Search Thousands of Shmoop Videos
Accounting Videos 351 videos
What is Collateralized Mortgage Obligation (CMO)? A CMO is a mortgage bond that consists of a large number of different individual mortgages bundle...
When a bond is secured, it means it's protected, i.e. there are assets that would be forfeited if repayment is not made. When it's unsecured... it'...
What is Counterparty Risk? Counterparty risk is the risk to either party within a transaction that the other will not or be unable to abide by the...
Finance: What is a Country Basket (Index Fund)? 30 Views
Share It!
Description:
What is a Country Basket (Index Fund)? Investing internationally can be a challenge, as foreign exchange, different accounting rules, time zones and a panoply of other hurdles can often accompany such an endeavor. ETFs and mutual funds that are professionally managed to make international investing easier are designed to address those issues. A country basket is an ETF that might be for a specific region, such as The 4 Asian `Tigers’: (Hong Kong, Taiwan, South Korea and Singapore), or other criteria, such as G7 countries not including the US.
- Social Studies / Finance
- Finance / Financial Responsibility
- College and Career / Personal Finance
- Life Skills / Personal Finance
- Finance / Finance Definitions
- Life Skills / Finance Definitions
- Finance / Personal Finance
- Courses / Finance Concepts
- Subjects / Finance and Economics
- Finance and Economics / Terms and Concepts
- Terms and Concepts / Investing
- Terms and Concepts / Accounting
- Terms and Concepts / Banking
- Terms and Concepts / Company Valuation
- Terms and Concepts / Derivatives
- Terms and Concepts / Econ
- Terms and Concepts / Financial Theory
- Terms and Concepts / Forex
- Terms and Concepts / Index Funds
- Terms and Concepts / Insurance
- Terms and Concepts / International
- Terms and Concepts / IPO
- Terms and Concepts / Managed Funds
- Terms and Concepts / Metrics
- Terms and Concepts / Mutual Funds
- Terms and Concepts / Regulations
- Terms and Concepts / Stocks
- Terms and Concepts / Tax
- Terms and Concepts / Tech
- Terms and Concepts / Trading
Transcript
- 00:00
Finance, a la shmoop. What is a country basket index fund?
- 00:07
All right we're picking daisies, marigolds, lilies so uh how do we [Pictures of flowers]
- 00:12
rephrase in Italian? Like, we want to fill a portfolio basket with just stocks [Pouring a glass of red wine]
- 00:17
representing the overall financial health of Italy. Is Italy healthy? While
- 00:23
they smoke a lot they drink a lot of wine they eat a bunch of pasta but there
Full Transcript
- 00:27
always seems to be a woman from some small village who's celebrating her [Old woman at a birthday party]
- 00:30
117th birthday over there. Well a country basket is just an index fund of
- 00:36
stocks representing a country. Like we're doing Korea... South we're gonna have
- 00:42
in that basket dunno some Samsung, a load of Daewoo, a hunk of Hyundai and some [Company stocks being added to the basket]
- 00:48
nice barbecue on the side. That'd be our Korean country basket and it's a good
- 00:52
basket to fill if you're just bullish on a country but not really sure which
- 00:56
flower on which to place your bets. It's like instead of trying to decide between [The stocks in the basket turn into flowers]
- 01:00
roulette or poker or slots... Well you just buy stock in Las Vegas
- 01:05
Sands you know you bet on the entire casino, and bueno Fortuna you know good [Someone checking their cards in a casino]
- 01:10
luck there pal, doesn't the house always win? Yeah so why do people keep going there?...
Related Videos
How are risk and reward related? Take more risk, expect more reward. A lottery ticket might be worth a billion dollars, but if the odds are one in...
GED Social Studies 1.1 Civics and Government
What is bankruptcy? Deadbeats who can't pay their bills declare bankruptcy. Either they borrowed too much money, or the business fell apart. They t...
What's a dividend? At will, the board of directors can pay a dividend on common stock. Usually, that payout is some percentage less than 100 of ear...