Question

Distinguish between debt securities and equity securities, providing an example of each. What was Australia's net equity position, with respect to the rest of the world, in September 2017? What was our net debt position?

Answer 1

debt securities less risky than equity securities, Debt securities offer lower returns and consistent returns as compared to equity securities, debt securities are less volatile than common stock. example debt security -treasury bills, equity security -convertible bonds.

Australia's net foreign equity assets decreased $8.3b (26%) to $23.8b at 30 September 2017 .Australia is actually pretty high compared to other countries, it is just that investment is even higher. India's change in equity liabilities was marginally higher $11.0 billion

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