Thursday, April 27, 2017

You should own European stocks

We're living in very volatile times. We don't know what to expect.

Most Americans are not well-diversified globally. When we're talking about the 'Trump effect,' that is primarily a U.S. effect. You can solve that problem by diversifying around the world.

Europe should be a big thing in one's portfolio. Their price-to-earnings ratios are much lower. It looks bad because they've been through troubles recently. But people sometimes exaggerate those troubles.

We have a lot of bad narratives about Europe. But you have to think back at the long history. Europe has done quite well.