As I have already noted, that situation has changed markedly, as global financial markets have become increasingly integrated and both foreign and domestic investors have become more diversified internationally. Today, foreigners hold about one-quarter of the long-term  BIS Review 21/2007  1  fixed-income securities issued by U.S. entities of all types and more than half of publicly-held U.S. Treasury securities.
Cross-border financial flows are enormous and growing: For example, in 2006, foreigners acquired on net more than $ trillion in U.S. assets, while U.S. investors purchased more than $ trillion in foreign assets.