Quote:
Originally Posted by AlpineWhite_SJ
Quote:
Originally Posted by qba335i
S&P 500 consists of only US companies. Even if you want to be all equities, you still should have some international exposure (developed and emerging markets).
Having 100% allocation to something following MSCI World Index is a better recommendation.
Diversification is the only free lunch in finance. you can diversity in many ways: various asset classes, various products...
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True, but you’d be forgoing a better return as the s&p500 tends to outperform MSCI over the last 30 years.
Diversification lowers risk and as such, returns. |
And as we all know past performance is not indicative of future performance.
I could argue that going forward there is more opportunity in the international markets vs domestic market.