I was reading some of the reddit posts where someone asked why should we invest in international market and not only in one market. For example, if someone is investing in the US Market, why they should invest in the International market. There are lot of opinions where people were taking about for and against.
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If you asked me, this is just pure diversification. One market can go up and down and when you have international exposure, you are actually diversifying that ups and downs. For example, when the chinese marlet were down from the last 3 to 4 years, Indian as well as US market were giving good returns. Now Chinese market has started giving good returns so when you have invested in most of the market you can get that alphas in your portfolio.
People will be investing a very small amount of their portfolio in different market, that is also not good I guess because tha lt small amount will not do good to your portfolio. Atleast 20% exposure should be good. And that's why people advise to invest in crypto because that actually helps you to have exposure in other market. So overall, I have good crypto and Indian portolfio. I have started building my US portfolio and might be I will start building my Chinese portfolio too.
The best part of US portfolio is that, it helps us in dollar appreciation too. For example, if the dollar today is Rs 85 and tomorrow it becaomes Rs 100, it will be surely. Then that Rs 15 profit I will get too if I invest in the US market as well as in crypto market. I am actually understanding the US market now, mostly the ETF as well as some mega cap company to start investing some part of my monthly investment there.