Are International Stocks Ever Going to Outperform?

[Part-Time Chad]

The MSCI All-Country World ex U.S. stock index has been underforming the S&P 500 for almost 20 years now. How long is this going to go on? I'm getting tired of holding these dogs.

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[galoistheory]

Why not hold both? In the short term it doesn't look like anything is beating US. Personally, I allocate 80% to US companies and 20% international.

 

[Part-Time Chad]

Why not hold both? In the short term it doesn't look like anything is beating US. Personally, I allocate 80% to US companies and 20% international.

I've held both for 12 years now.

I started off by allocating 70% to U.S. and 30% to international (as per Vanguard's recommendation).

After a few years of underperformance, I reduced international to 20%.

About a month ago, I decided to drop international even further to just 15%. I'm pretty comfortable with that and will keep that allocation indefinitely. But, sometimes, I feel like I'm throwing good money after bad.

 

[Chinacurry]

Fundamentals yes, but market premium no, simply because only countries can print unlimited liquidity, usa and China, and china's fundamentals r truly cooked, if anything they will need to devalue further

 

[Part-Time Chad]

Fundamentals yes, but market premium no, simply because only countries can print unlimited liquidity, usa and China, and china's fundamentals r truly cooked, if anything they will need to devalue further

Hey, are you the ChinaCurry I tried to meet up with in Hong Kong in 2019?

 

[Chinacurry]

Hey, are you the ChinaCurry I tried to meet up with in Hong Kong in 2019?

Did we meet up?
Yes I live in hk

 

[Part-Time Chad]

Did we meet up?
Yes I live in hk

Unfortunately, we didn't. I was coming to meet up with you from Mongkok, but couldn't because the metro was shut down and there were transportation issues related to the protests at the time.