Which of the following would include Foreign Direct Investment in India? 1) Subsidiaries of companies in India 2) Majority foreign equity holding in Indian companies 3) Companies exclusively financed by foreign companies 4) Portfolio investment Select the correct answer using the codes given below:

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CollectorBabu · Accepted Answer

Correct Answer: 1, 2 and 3 only. Foreign direct Investment serves as investment from company or individual based in one country, into company based in another country. Statement 1 is correct as investors across world will invest in India when Government gives subsequent subsidiaries. Statement 2 is correct as many foreign investors holds shares, equities and currencies in Indian companies. Statement 3 is correct as there are many companies in India that are exclusively financed by foreign companies. Statement 4 is incorrect as portfolio investment is not part of Foreign Direct Investment. We see that statements 1, 2 and 3 are only correct, hence correct option is D..

Which of the following would include Foreign Direct Investment in India? 1) Subsidiaries of companies in India 2) Majority foreign equity holding in Indian companies 3) Companies exclusively financed by foreign companies 4) Portfolio investment Select the correct answer using the codes given below:

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