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1 Introduction:. In Recent Years, More And More Foreign

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1 Introduction:
In recent years, more and more foreign investors are interested in the market of real estate. The Australian real estate market is one of the most trendy investment items around the world because of the advantages of environment and society. Funds from the United States, Canada, Britain and China are pouring into the Australian property market. The purpose of this report is to analyze both sides of the impacts of the foreign investment. These foreign investments have contributed to Australia 's economic growth. However, some negative impacts were also created by the foreign asset. Rising accommodation costs will bring a large number of inconveniences to domestic residents. The current types of the foreign investment, the
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Economic and productivity growth are related positively to the foreign direct investment. Ross (2011) points out that USA, Canada and recently China have made significant real estate investment in Queensland over last ten years. In particular, the United Kingdom has made that important investment consistently.

2.2 Portfolio investment
Another popular type of foreign investment is the portfolio investment. The most significant feature of this investment is very flexible.

2.2.1 Definition
Foreign portfolio investment includes securities held by foreign investors and other financial assets. Investors can not directly own the financial assets of the enterprise, which is relative to the volatility of the market. It is completely different from the pattern of foreign direct investment in which an overseas company is operated by a domestic enterprise. Although foreign direct investment permits enterprises to manage companies abroad in a higher level of authority, it may face more difficult to sell the company 's premium in the future.

2.2.2 Current situation
Portfolio investment is also very popular with foreign investors because of the low-risk. Housing investment should be included in a mixed-asset portfolio in order to reduce portfolio risk (Lee, 2008). As a result, the highest risk-adjusted return is one of the significant factors favored by investors. In additional, compared with direct
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