Hot Money

Hot money is a term that is most commonly used in financial markets to refer to the flow of funds (or capital) from one country to another in order to earn a short-term profit on interest rate differences and/or anticipated exchange rate shifts. These speculative capital flows are called "hot money" because they can move very quickly in and out of markets, potentially leading to market instability.

Read more about Hot Money:  Illustration of Hot Money Flows, Types of Hot Money, Estimates of Total Value, Sources and Causes, Impact, Control

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