Investing overseas usually is done for investment diversification. The investor wants the benefits of business growth opportunities that are to be gained globally. Perhaps those prospects appear better than domestic possibilities.
Remember, currency moves are always involved. Will the dollar be getting stronger or weaker? If the dollar gets weaker, such investments become more valuable as translated currency works in favor of the U.S. investor.
However, should the dollar get stronger, the reverse become true. The investments become less valuable as translated currency works against the interests of the U.S. investor.
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