Home Country Bias: Should Your National Pride Dictate Your Investing Decisions?
U-S-A! U-S-A!
National pride was on display this year during the Olympics and of course more recently during the World Cup. Both were beautiful sights to see.
But don't let that pride dictate your investing decisions.
Passion is admirable in sports fandom but not ideal when building portfolios.
Remember: with your investing decisions, we want to spread our bets across different size companies, different industries and, yes, different markets around the world.
A healthy amount of US stock exposure is probably okay (everyone's needs are different!), but ignoring international diversification in favor of 100% US stocks may lead to more risk than your comfortable with.
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