Time To Go Global: The Case for Increasing International Equity Exposure

It’s no secret that U.S. stocks have been the top dogs since the Great Recession. Thanks to a variety of factors, investors flooded U.S. equities, helping them produce strong returns for over a decade. These strong returns have only helped reinforce home bias and an overweight position in U.S. stocks. But lately, the U.S. hasn’t been the top dog.

International stocks have come back with a vengeance.

And now with several structural and geopolitical trends emerging, we could be entering a period where U.S. equity dominance starts to decline. It has happened before in a similar manner. With that, it makes plenty of sense for investors to increase their allocations to international stocks and have a more balanced approach to their holdings.