Two important notes about non-US stock markets 🌍

Do your homework before investing in non-US markets ✍️

The U.S. stock market dominates. (Source: UBS via TKer)

When we talk about the stock market at TKer, we’re almost always referring to the U.S. stock market — and more specifically the S&P 500.

This is because U.S. stocks and the S&P 500 dominate world markets. U.S. stocks represent about 60% of the world stock market, and the S&P accounts for about 80% of the value of all U.S. stocks.

The S&P also gets you a lot of international exposure: About 30%-40% of the S&P 500 companies’ revenues are generated outside of the U.S.¹

Publicly traded U.S. companies do a lot of business abroad. (Source: Goldman Sachs)

This is not to say there aren’t great investing and diversification opportunities in non-U.S. markets.

That said, I found two recent charts to be timely and interesting for those considering investing in foreign markets.