What political factors affect a country risk analysis? Are some more important than others? Please explain in 200-300 words.© BrainMass Inc. brainmass.com June 3, 2020, 11:41 pm ad1c9bdddf
Risk is the probability of having losses. Country Risk is a collection of risks associated with investing in a foreign country. These risks include political risk, exchange rate risk, economic risk, sovereign risk and transfer risk. (Investopedia, 2010) International diversification will reduce the unsystematic risk related to a particular country.
One of the prominent factors affecting country risk is the political factors. Political Risk is the ...
Response provides guidance regarding country risk analysis.