Aspects of Foreign Portfolio Investments Risks in Romania

Foreign investments in Romania present the chance of big wins and the risk of large or total losses. The work presents a real case: the shareholders wish to subscribe with a contribution in kind. Contract conditions allow shareholders to become owners of a large number of shares originating from a transnational. Thus, while the value of real estate assets which can be traded in Romania knows a constant decrease, the value of the shares contributed to capital is growing. The Romanian shareholder advantage is huge, but volatile.