Recent headlines from overseas have been grim: Debt-wracked Greece is struggling to avoid economic collapse, while slowing growth and rampant speculation has triggered a plunge in China’s stock markets.
For many, the bad news will reinforce a perception that investing beyond our shores is to be avoided. The fact that the S&P 500 has beaten international stocks since bottom of the market in 2009 seems only to reinforce the argument for keeping one’s money home.
Annualized Stock Returns by Region
3/31/2009 to 06/30/15
S&P 500 20.2%
International Developed 13.3%
Emerging Markets 13.9%
Source: Crestwood Advisors, FactSet, MSCI and Standard and Poor’s