Global Investing

FIGURE OUT HOW YOU WANT TO BE INVESTED IN CHINA AND TO WHAT DEGREE CHINA INVESTMENT CHOICES: INVEST INDIRECTLY THROUGH COMPANIES DOING BUSINESS THERE INVEST IN GLOBAL INDEX FUND (MUTUAL FUND OR ETF) BASED ON AN INDEX THAT INCLUDES CHINA EXAMPLES OF MAJOR INDICES THAT INCLUDE CHINA: MSCI ALL COUNTRY WORLD INDEX = 3.6% CHINA […]

OWN SOME GOLD AS A HEDGE AGAINST MARKET, ECONOMIC AND CURRENCY DECLINES THE CASE FOR GOLD Protected investors during every bear market but one over the last 50 years Anytime markets were in a bear market, gold prices were rising World economies are slowing Central banks are stimulating Corporate and government debt at record levels […]

MAKE SOME INVESTMENTS OUTSIDE OF THE COUNTRY All Investors Tend to Have a Home Country Bias U.S. Has Been the Place to Invest for the Last Decade Its Late in the Economic and Market Cycle for U.S. Early in Cycle for Some Countries, Particularly in the Emerging Markets Some Countries Experiencing Economic Turnarounds and Political […]

CONSIDER PUTTING A SMALL AMOUNT OF YOUR EMERGING MARKETS ALLOCATION INTO AN ESTABLISHED LATIN AMERICAN FUND. LATIN AMERICA ECONOMIC EXTREMES FAILURES: Venezuela’s economic collapse SUCCESSES: Open market economies: – Chile – Colombia – Peru POTENTIAL TURNAROUND Brazil- attempting serious pension reform ESTABLISHED LATIN AMERICAN STOCK FUND T. Rowe Price Latin American fund (PRLAX) – Bronze […]

MAKE SURE YOU HAVE SOME DEFENSIVE HOLDINGS IN YOUR PORTFOLIO Ward’s Choices: Counter-cyclical stocks like utilities and cell tower companies Individual Investors’ Choices: Defensive non-stock assets like cash, Treasury bonds, gold … Watch the related WEALTHTRACK episode.

HAVE FAITH IN THE RESILIENCE OF THE U.S. ECONOMY Contractions are caused by: Excesses in important sectors of the economy Overheating and “irrational exuberance” Prices and inflation spike Federal Reserve tightens monetary policy Watch the related WEALTHTRACK episode.