Country Basket

Country Basket - a country basket is open market traded exchange which contains a basket of foreign stocks all combined into one security. The word “country” in the financial language, refers too being of a different nation, and the word “basket” means a group of securities created for simultaneously buying and selling. Baskets usually play a big role in hedging, index arbitration, and program trading. A country basket allows investors to hold several stocks in his portfolio and not subject him to numerous transactional costs, and /or multiple securities. Country baskets were invented by brokerage firms and they act similar to passive exchange traded funds.