Investment Themes : Benefits and Risks of Global Investing
There are many reasons and potential benefits of diversifying globally including broadening the exposure to sectors and companies that are underrepresented in the Canadian market, and to get exposure to the potential growth in other markets at times when Canadian markets may be experiencing slower or negative growth. Because different markets perform differently at different times, the correlation between global markets is typically less than similar securities within any single market. With the globalization of economies, the correlation between global stock markets has increased over the years but adding global exposure to a portfolio may in fact still result in improved risk-adjusted returns over longer periods.
Global Investing with Claymore ETFs
 | PREVIOUS TOPIC: basics of currency risk & hedging |
| NEXT TOPIC: investing in sectors using etfs |  |