Protecting American investors in emerging markets: A comparative study
Emerging markets provide significant opportunities for American investors, but they also carry substantial risks, including political instability, regulatory unpredictability, and currency volatility. This comparative study examines the key challenges faced by American investors in emerging markets such as Brazil, India, and China, focusing on strategies and legal mechanisms available to protect their investments. The paper explores the role of bilateral investment treaties, which provide a legal framework ensuring fair treatment, safeguards against expropriation, and recourse through international arbitration. Additionally, the study evaluates the effectiveness of U.S. regulations such as the Foreign Corrupt Practices Act, which has helped reduce corruption risks but can create challenges in high-risk markets. Drawing on economic and legal data, this article proposes several policy recommendations to enhance protections for American investors, including the expansion of bilateral investment treaties and the strengthening of international arbitration mechanisms. Ultimately, this study underscores the need for robust legal and financial frameworks to foster investor confidence and promote stable growth in emerging markets.
Institutions
- University of Southern California (US)
Publication Details
- Journal
- Zenodo (CERN European Organization for Nuclear Research)
- Published
- 2024-12-30
- DOI
- https://doi.org/10.5281/zenodo.15167329
- Primary Topic
- International Arbitration and Investment Law
- Type
- article
- Field-Weighted Citation Impact
- 0.00