Imagine waiting almost FOUR DECADES for US stocks to outperform. Crazy right?
That was 1952-1989.
If you go back to the 1800s, foreign stocks outperformed the United States for 60 years at one point.
What if the outperformance lasted year after year? Try to imagine five or six years in a row?! Could never happen, right? It literally happened about 20 years ago, lol, and also in the 1980s.
Investors often tend to extrapolate from the recent past, with US stocks outperforming foreign markets in 12 of the last 15 years. With significant foreign outperformance this year, is the “Bear Market in Diversification” ending?
