Dewey Decimal332.6
Table Of ContentPreface ix Acknowledgments xiii Chapter 1 Who Needs a Global Investment Portfolio? 1 The Most Important Question 2 "Home, Sweet Home" Bias 4 We're Not Alone Out There 14 Global Isn't International 15 Chapter 2 Not as Foreign as You Think 17 Made in the USA 17 A Day in the Life 23 Chapter 3 Getting More for Less: Return Enhancement and Risk Management 31 Risk and Return: The Dynamic Duo 31 Keep Your Eye on the Globe 48 Chapter 4 The Global Landscape 55 An Economic Perspective 55 What's Your GDP Worth? 62 Taking Stock . . . Globally 66 Industry Classification 73 GICS 73 Chapter 5 Top-Down Investing 81 Are You Down for Bottom-Up or Up for Top-Down? 81 Top-Down Is Tops 83 The Top-Down Process 86 Step 1: Asset Allocation 86 Step 2: Sub-Asset Allocation 90 Step 3: Stock Picking 100 Chapter 6 Four Steps to Investing Success 105 Step 1: Choose a Benchmark 106 Step 2: Analyze the Benchmark's Components and Assign Expected Risk and Return 118 Step 3: Blend Dissimilar Investments to Moderate Risk Relative to Return 124 Step 4: Always Remember You Could Be Wrong, So Don't Stray From the First Three Steps 126 Chapter 7 I'm Convinced . . . Now Tell Me How 129 Who Doesn't Want More Time and Money? 129 Mutual Funds 134 Exchange-Traded Funds (ETFs) 144 Depository Receipts 149 Ordinary Shares 155 Chapter 8 The Currency Effect 157 The Almighty Dollar, Euro, Pound, Ringgit, Baht . . . 158 Currency Trivia 162 Wrangling Exchange Rates 165 Currencies and Your Global Portfolio 172 What's a Global Investor to Do? 174 Currency Strategies 175 Trading Currencies (If You Dare) 177 Chapter 9 Common Challenges in Global Investing 181 Volatility Happens 183 Dollars and Sense 185 Political Risk 185 Risks, Risks, and More Risks 190 Notes 193 About the Author 199 Index 201
SynopsisGlobal investing isn't new. In fact, investors have been looking to overseas markets for hundreds of years, and with good reason. A global portfolio can bestow innumerable rewards on the savvy investor, yet many US investors remain woefully under-exposed to foreign equities., Global investing isn't new. In fact, investors have been looking to overseas markets for hundreds of years, and with good reason. A global portfolio can bestow innumerable rewards on the savvy investor, yet many US investors remain woefully under-exposed to foreign equities. Despite the fact that US equity markets make up less than half of world markets, only a small portion of our investment dollars are allocated overseas. Even the most sophisticated investors have been deterred by misconceptions about the risks associated with owning foreign stocks or a lack of information about foreign markets. But the notion investment options are limited by borders is antiquated and downright detrimental to successful investing. Once considered the playground of only the ultra-rich or institutional investors, global investing is fast becoming not only possible, but a necessity, for every investor. As part of Fisher Investments Press, Own the World introduces readers to the vast advantages of seeking investment opportunities all over the planet. Own the World provides investors with tools to build a global portfolio and points out potential hurdles to avoid. It also educates readers on the nuts and bolts of foreign markets, how to easily understand them, and vehicles for investing there. By detailing the vast and currently underappreciated benefits of global investing and the distinct advantages of a global approach, as well as common pitfalls to avoid, Own the World can help readers to tread more confidently into global markets as they look to optimize their investment results., A practical guide to investing globally Global investing is fast becoming a necessity for every investor who wants a truly diversified, well-constructed portfolio. Own the World from Fisher Investments Press introduces you to the vast advantages of seeking investment opportunities all over the planet. Own the World will educate you on the nuts and bolts of foreign markets and how to easily understand them, explaining the benefits of investing globally, what tools are available to global investors, and what potential pitfalls should be avoided. By detailing the vast and currently underappreciated benefits of global investing and the distinct advantages of a global approach, Own the World can help you to tread confidently into global markets and potentially enhance your investment results. About Fisher Investments Press Fisher Investments Press brings the research, analysis, and market intelligence of Fisher Investments' research team, headed by CEO and New York Times bestselling author Ken Fisher, to all investors. The Press covers a range of investing and market-related topics for a wide audience from novices to enthusiasts to professionals.
LC Classification NumberHG4529.5.A52 2009