The financial media will often discuss investing at least some of your funds overseas. But what actually is global diversification of investments?
Many large American companies are doing business overseas. So investing in the S&P 500 will give you a measure of global diversification.
If you do buy overseas investments to broaden this strategic step, there are emerging or developing, as well as developed countries in which to participate. Using indexed funds or exchange traded funds (ETFs), you can invest around the globe with varying regional emphasis.
Use indexed funds which are not hedged against currency value changes. This also helps diversify against inflation in the U.S. and acts as a currency hedge.(See the Earl J. Weinreb NewsHole® comments and @BusinesNewshole at Twitter.)
The benchmark 10-year bond yield ended down 3 basis
ReplyDeletepoints at 7.76 percent as the Fed seen in no rush to raise
interest rates, undermining the dollar and lifting riskier as-
sets. epicresearch.co