The Business Times
business-time-50
WEALTH & INVESTING

Global diversification has disappointed; don’t give up on it

After an incredible 15 years for US public and private equities, investors shouldn’t count on history repeating

google-preferred-sourceAdd BT as a preferred source
    • A view of the Frankfurt Stock Exchange. Investors should think twice about abandoning international markets. A more reasonable approach is to track the global stock market using low-cost index funds.
    • A view of the Frankfurt Stock Exchange. Investors should think twice about abandoning international markets. A more reasonable approach is to track the global stock market using low-cost index funds. PHOTO: REUTERS

    Nir Kaissar

    Published Fri, May 31, 2024 · 10:00 AM

    THE conventional wisdom in investing insists people should overcome their home bias and invest globally. There are great businesses around the world, the thinking goes, and investors benefit by looking beyond their borders. But this idea is now being tested as never before, particularly among US investors.

    The reason: For almost a generation, US public and private equities have thumped their overseas counterparts. Young investors in their 20s and 30s may not even recall a time when the US did not dominate global markets.

    The results of the past 15 years are astounding.

    US stocksS&P 500MSCIGlobal equitiesWealth & Investing

    TRENDING NOW

    Eugene Lai (left) says that he was sharing a view with Tan Chian Khong that the board needed a refresh and that it was not an explicit direction to resign.

    CSE Global independent director quits after clashes with chairman Eugene Lai over board refresh

    In the last round of bidding, the premium for Category B was S$980 more than that for Category A.

    Cat A COE rate exceeds Cat B for third time in 4 months; premiums largely down

    Some industry watchers wonder if Orchard Road can hold its own next to competing retail destinations, both global and local.

    What’s wrong with Orchard Road? Experts weigh in on the street’s cachet and its future

    Those whose employers actively discourage the use of AI at work have the lowest mental health score.

    Singapore workers experiencing rising anxiety; signs of fallout from pressure to use AI

    Latest T-bills Treasury Bills Results & Interest NewsLatest SSB Singapore Savings Bonds NewsLatest COE Certificate of Entitlement News
    Latest Johor-Singapore SEZ NewsLatest BTO Build To Order & Sales of Balance NewsLatest STI Straits Times Index NewsLatest SGX Dividends, Share Price NewsLatest Bonds Market NewsLatest Singapore Stocks To Buy NewsLatest Singapore Economy News
    View More