FYI: Last week, Jason Zweig made a persuasive case for going global. Valuations are indeed attractive, but there is yet another argument to be made in favor of including international stocks in a portfolio. It revolves around both diversification and, in a way, market timing.
The diversification argument is simple. Living in a global economy as we do, I wouldn’t consider limiting my stock buying to only my home state or country, and neither should you. In fact, I’d diversify into interstellar stock markets if I could. The argument that we get enough international exposure by owning U.S. stocks which do business overseas is flawed, and gets me to my second argument, market timing.
Regards,
Ted
http://blogs.wsj.com/totalreturn/2014/11/25/the-case-for-international-stocks/tab/print/?mg=blogs-wsj&url=http%3A%2F%2Fblogs.wsj.com%2Ftotalreturn%2F2014%2F11%2F25%2Fthe-case-for-international-stocks%2Ftab%2Fprint&fpid=2,121
