There’s no place like home, but opportunities abound abroad

Overview

Looking back on a calendar year in which the S&P 500 outperformed the rest of the world by nearly 18% percent, many U.S. investors are perhaps wondering why they should venture outside of their home market. Add recent headlines from abroad, including talk of geopolitical instability, a Greek exit from the Eurozone, and a stock market bubble in China, and you start to see investors clicking the heels of their ruby red slippers, hoping for a return home to Kansas. While it may be true that there is no place like home, advisors continue to believe there’s a place for international equities in their clients’ portfolios. This article outlines the opportunities and risks abroad, and discusses strategies for successfully investing internationally.

Advisor Thinking