Why Have International Stocks Underperformed

Why Have International Stocks Underperformed

Category: Finance

1. Why International Stocks Have Lagged | Morningstar

Foreign stocks and stock funds have underperformed the U.S. for a long time, but change is inevitable.(1)

International equities have underperformed the U.S. by a cumulative 189% over the past 13 years (in U.S. dollars).(2)

As investors, we believe markets will trend upwards because historically, a portfolio that is diversified across different sectors, asset (3)

2. Should You Still Own International Stocks? – Servo Wealth …

Non-US stocks, both developed and emerging markets, have underperformed the S&P 500 for over a decade. When I talk to prospective clients (4)

However, even accounting for currency effects, international markets have steadily underperformed their U.S. counterparts, with China being one of the (5)

International investing is significantly more complicated than domestic investing, with a combination of political, liquidity, and currency risks. These factors (6)

3. Shake-up in Chinese stocks raises questions over the future of …

A lot of investors have given up on international investing,” said China has been underperforming the U.S. for more than a decade, (7)

Going global hasn’t paid off for U.S. investors for the past 10 years, Indeed, European stocks have outperformed the U.S. in local currency terms over (8)

4. International Stocks Could be Ripe for a Catch-Up Trade

A definite feature of the last decade has been the persistent underperformance of European and Asian stocks vs US stocks. Foreign stocks (9)

We believe that the next 10 years will see international stocks are dominated by US stocks, which have outperformed for years.(10)

Allocating a percentage of your portfolio to stocks in international markets is a move many investors should strongly consider. International (11)

This year is hardly the exception, however. Over the last decade the S&P 500 has doubled the annualized return of the iShares MSCI EAFE ETF, (12)

Does that mean investors should avoid international equities for the to outpace developed markets, are also underperforming this year.(13)

5. Why have international stocks consistently underperformed …

It’s entirely possible, for example, that international equities have been performing much like their long-term averages, and it’s the US (whose economy (14)

Unfortunately, essentially all investors that followed this advice, or did it on their own, have significantly underperformed investors who (15)

Since 2007, the roles have reversed and U.S. stocks have generated 50% of risky common stocks underperformed risk-free Treasury bills.(16)

6. International Stocks and ETFs: Where I’m Focusing For 2021

In other words, you can invest more heavily in areas that have underperformed recently, and that are trading at lower valuations. For example, Meb Faber, (17)

The effects of the COVID-19 virus have continued to drive—and brake—economic growth. Global stocks and economy: Europe’s Q1 risks.(18)

Over the past year, emerging markets value stocks have returned 4% may have on a global economic recovery continue to be ambiguous, (19)

International stocks slipped from their September highs but nished the third Europe over the quarter, however, European equities still underperformed.(20)

7. Why It Might Be Time to Invest in Non-U.S. Stocks – WSJ

Stocks in foreign developed markets as well as emerging markets have greatly underperformed U.S. shares for years, pushing U.S. stock (21)

diversified portfolios have significantly underperformed a simple structure consisting of uS Stocks and Treasury Bonds. as if the numbers themselves.(22)

talked about has been the relationship between non-U.S. stocks and the value cycle. Like value stocks, international stocks also underperformed relative to (23)

8. The Case for International Investing – Charis Legacy Partners

Adding a moderate amount of international stocks to your portfolio can help both because international stocks have underperformed domestic for over a (24)

Investing internationally has grown rapidly in recent years. shows when developed foreign markets (EAFE) outperformed or underperformed domestic markets (25)

International: Investing in foreign and/or emerging market securities Note that the diversified portfolio’s assets were rebalanced at the end of every (26)

9. Why your portfolio shouldn’t match the market – Edward Jones

Stock prices have continued to rise, yet more slowly International equities underperformed in 2019 as trade tensions escalated,.(27)

Historically, international stock markets have had very similar It wasn’t just international stocks though that underperformed U.S. (28)

10. Global Markets Weekly Update | T. Rowe Price

Energy stocks rallied as international oil prices pushed above USD 90 per According to CME Group data, futures markets at the end of the week were (29)

Over this 50-year span, he finds that while international equities slightly underperformed their U.S. counterparts and were more volatile, the (30)

Past performance and current analysis do not guarantee future results. Global represented by MSCI World Value Index and MSCI World Growth Index. US represented (31)

Our global GDP growth forecasts of 6.6% in 2021 and 4.8% in 2022 remain And international equities have underperformed for 13 years.(32)

International stocks have clearly underperformed U.S. equities for quite a few years recently and should be ripe for a relative performance reversal, as has (33)

The total U.S. stock market ETF VTI has had a great track record but may be headed for long-term underperformance compared to international (34)

Traders should carefully tread foreign markets as they have underperformed domestic equities sharply in 2021. The second half of earnings season may feature (35)

Overseas markets may underperform American stocks, hurting portfolios. But if the outlook is for less favorable conditions at home, having some (36)

Most equity funds dedicated to investing in emerging markets have One fund Kotak Global Emerging Market (Direct Plan) has offered a (37)

We have conviction that the global economy is on solid footing and will grow well-above trend. We expect the economy, earnings, and stock prices (38)

Excerpt Links

(1). Why International Stocks Have Lagged | Morningstar
(2). Is the recent outperformance of international stocks sustainable?
(3). Advisor Insight: Why bother with international investing?
(4). Should You Still Own International Stocks? – Servo Wealth …
(5). International Stocks May Outperform US Markets | If Not Now …
(6). The Underperformance of Foreign Stocks Over the Past Decade
(7). Shake-up in Chinese stocks raises questions over the future of …
(8). 5 Reasons Non-US Stocks May Start to Outperform – Morgan …
(9). International Stocks Could be Ripe for a Catch-Up Trade
(10). Are your portfolios prepared if US stocks underperform in the …
(11). Best Foreign & International Stocks of 2022 | The Motley Fool
(12). Is investing in foreign stocks a good idea? – MSN
(13). What’s The Point Of Owning International Stocks Right Now?
(14). Why have international stocks consistently underperformed …
(15). Will decades of underperformance of international stocks end?
(16). Summarizing the Case for International Stocks – Movement …
(17). International Stocks and ETFs: Where I’m Focusing For 2021
(18). Schwab Market Perspective: Bumps in the Road
(19). Outlook on Emerging Markets | Lazard Asset Management
(20). International Equity Select Portfolio Lazard – Commentary
(21). Why It Might Be Time to Invest in Non-U.S. Stocks – WSJ
(22). white paper – Diversified Trust
(23). not just a matter of style: international stocks should see …
(24). The Case for International Investing – Charis Legacy Partners
(25). International Stock Investing
(26). Asset Allocation Diversification – 20 Years of the Best and Worst
(27). Why your portfolio shouldn’t match the market – Edward Jones
(28). An Update on International Markets as the World Reopens
(29). Global Markets Weekly Update | T. Rowe Price
(30). Revisiting the Case for International Diversification – Western …
(31). Value Stocks—Still Plenty of Fuel in the Tank – AllianceBernstein
(32). Weekly Research Briefing: Current State? – Hamilton Lane
(33). Seek Near and Far… – Baldwin Investment Management
(34). VTI: Why The U.S. Stock Market Is Headed For A ‘Lost Decade’
(35). Two international stocks battling tough macroeconomic …
(36). You Don’t Need to Travel to Profit From International Stocks
(37). Emerging market funds falter in 2021; should you continue to …
(38). Here’s (Almost) Everything Wall Street Expects in 2022