Recent trends in the global investment markets
Among other recent changes in the global investment markets, the most significant aspects have been their increasing integration and globalization, securitization as well as the constant expansion and increase of derivatives markets. The steady integration and globalization have been fostered by the liberalization of markets, improved technology procedures and a significant rise in telecommunication. These advancements have resulted in the creation of current investment and financial opportunities for various business and individuals around the globe (Chordia, Roll & Subrahmanyam, 2011). Safer and easy access to global investment markets for people and companies has resulted into a more efficient allocation of financial resources that is essential in promoting economic development and prosperity. Improved securitization, in its turn, has been affected by the rush in mergers and acquisition that has occurred in recent markets across the globe. The increasing financial markets have significantly come about since rapid advances in levels of technology, business engineering and risk control that have helped increase both the supply and demand for more complex products.
Chordia, T., Roll, R., & Subrahmanyam, A. (2011). Recent trends in trading activity and market quality. Journal of Financial Economics, 101(2), 243-263.