Do you know what the driving factors in global growth are? From export growing in China, natural resources in Norway, Brail, Australia and Canada, there is quite a bit of investment opportunities around the world. If you are still limiting you’re investing to companies in the United States only, then the opportunities listed above are ones that you are missing out on. In fact, if you limit your investing to the US only, you are excluding approximately three fourths of the existing global economy and as much as half of the stock market value of the world.
If you allocate a conservative five percent, or even aggressive 25 percent, of your total portfolio to various international stocks, then it can be a smart move to make for a number of different reasons, which include:
- Providing for higher amounts of growth internationally.
- Various international stocks have quickly become a bigger share of the overall investment world.
- Will help lower the total risk in your portfolio.
- When you have multiple currencies, it can provide an additional diversification lawyer.
Even if you are a conservative investor, you can benefit when you allocate a certain percentage of your portfolio to international stocks. Depending on your risk tolerance, you should putting 25 percent of your total investments internationally.
It is highly recommended that you stick to international stocks that have a small exposure such as emergency markets. This includes developing countries that have experienced rapid growth and industrialization. Even though there is a higher risk related to investing in emerging markets, growth is usually expected to become stronger than in any other markets. Additionally, emerging markets might perform somewhat differently than the developed markets.
An option that you should consider when it comes to investing internationally is the St. Kitts Citizenship by Investment Program. Here you invest in the Sugar Industry or in real estate and receive citizenship. In addition to being a smart investment, you will also gain the benefit of dual citizenship with your current country, as well as the St Kitts location.
While investing internationally can be beneficial, it is essential that you take your time to find the right investment for your needs. This will ensure that you do not take too much of a risk for your portfolio and that the investment will be worthwhile and actually help you make money and grow your investments.
