Markets Magazine

What Investment Flows Can Teach You About Brexit

These Bloomberg functions provide a window into how money is moving across borders in M&A deals, portfolio investments, and ETFs.
Photographer: Luke MacGregor/Bloomberg

Flows can provide powerful insights into economic and market trends. Both long-term foreign direct investment and ­shorter-term portfolio flows can be viewed as the business and investing communities’ judgment on policymakers’ economic and regulatory decisions. Buying a stake in a company or shares of an ­exchange-traded fund, for instance, could imply a vote of confidence.

For insights into long- and short-term capital flows, you can use a couple of Bloomberg data analytics, which cover both cross-border M&A activity and portfolio flows.