Investing Globally

After the tech bubble burst and markets bottomed on October 9, 2002, the U.S. stock market recovered over the next five years with a 121% gain. While that may sound enviable, foreign stocks doubled the U.S. market over the same stretch, generating a 237% return.

Back then, it was almost heresy to suggest that investing overseas was a loser’s game. But today, after a decade-plus of dominance for U.S. stocks over their foreign counterparts, investors seem to have forgotten the vagaries of global investing—that market leadership changes, and a smart, diversified investor allocates holdings to stocks both home and abroad to not miss out when the tide turns.

That’s why we’ve always felt it is important to have some foreign stock market exposure in client portfolios. We have good reason to think there are great opportunities for investors willing to venture beyond our shores today.

In this special report, available exclusively from Adviser Investments, you’ll learn why investing in foreign companies might make sense for you. Among the factors:

• The large number of foreign companies nearly doubles the investable universe over a U.S-only strategy
• Foreign investors are paying far less for every dollar of earnings
• Foreign markets may present greater upside opportunity at this stage of their economic and market recoveries

A World of Investments

The U.S. doesn’t have a monopoly on good businesses, entrepreneurial spirit and profit potential. In fact, there are many more companies located outside of the U.S. than within. Consider that Vanguard’s Total Stock Market Index fund, which includes stocks of all