Where Should I Invest My Money? A Global Breakdown
International investing has become a popular option for many looking to capitalize on their money. In general, international investments generate higher rates of return than funds invested domestically. However, before you consider global markets, keep one thing in mind – higher returns usually equal higher risk.
Minimizing the risk as much as possible is usually what most investors look for, though some have more of a risk tolerance than others. Before you explore your investment options, it is important to ask yourself just how much risk you’re willing to take with the money you contemplate investing. If you can’t afford (emotionally or practically) to take a loss, it may be better to stick with safer investment vehicles. If the money you’re investing is your “play money” and you won’t be upset if you lose it, by all means seek out high-risk/high-return investment options. Here are some popular global options.
Investment in European-based companies fell out of favor a bit recently as a result of political uncertainty. Once we lived through Brexit, and France saw that it wasn’t the end of the financial world as we knew it, the economic climate once again began to favor investments in European companies.
The Euro is strong relative to the U.S. Dollar, unemployment in the Euro-zone has fallen dramatically and economic growth in the region is quickly catching up to that of the U.S. Manufacturing companies in particular are enjoying exponential growth and are, in fact, facing labor shortages as demand for products continues to increase.