International Diversification, Financial Advice

The Case for International Diversification

If it feels like the United States has been delivering good (but not gangbusters) economic growth and solid stock market returns since 2009, it’s because it has been – at least relative to some other parts of the world. Europe has continued to struggle with GDP growth and cannot seem to fully shake its sovereign debt issues; Japan has experienced weak growth and lackluster inflation for years; Britain is taking the significant and potentially risky step of leaving the European Union; and Emerging Markets growth has slowed. In a world of political and economic uncertainty, the United States often feels like the best house on the investing block.

Relationships Strengthen Your Financial Plan

If you were asked to give only one answer to the question, “What do you think is the most important quality in a healthy relationship?” what would you say?

Our answer: communication.

There are, no doubt, other important and necessary qualities in a healthy relationship, like trust, honesty, and commitment to a common goal or end. But it all boils down to the ability to communicate freely and openly. Good communication means being on the same page and working as a team, which in turn makes problem-solving less difficult – and maybe even fun.

Think about instances in your workplace or with your spouse/partner where strong communication made everyone happier, more confident, and more productive. There are probably a lot of breakthrough moments that come to mind! Why wouldn’t the same strengths of communication apply to financial planning? Well, they do.

Active vs. Passive Management and What it Means for Your Portfolio

There’s been a growing debate surrounding the rise in popularity of “passive investing” as an alternative to active management. Passive investing often refers to the use of ETFs or indexing strategies to mimic a certain benchmark – in short, it essentially allows the investor to simply ‘set and forget’ their investment strategy.

Here, we’ll take a look at potential flaws with the passive approach – flaws that many investors may not be considering. But first, it is worthwhile to examine why some investors are reconsidering the value of active management.

The attached report and information have been prepared or produced by WrapManager, Inc. from sources and data believed to be reliable. Information provided in this report is for educational and illustrative purposes only and should not be construed as individualized investment advice, as an offer to sell, or the solicitation of an offer to buy any security in any states where such an offer or solicitation would be prohibited by regulations. WrapManager, Inc. is not a tax advisory firm. We recommend you contact your tax attorney or CPA prior to utilizing any of the tax-related strategies mentioned or discussed. Returns and experiences will vary for each client. Each client's risk tolerance and investment objectives are unique to them. Past performance may not be indicative of future results. No assumption that future performance of any specific investment or product made reference to directly by WrapManager, Inc., on its Website and in marketing materials, will be profitable or equal the corresponding indicated performance level(s). WrapManager is an SEC-registered investment adviser.

WrapManager's Q1 2017 Top Equity Money Manager Picks

The Case for International Diversification

Relationships Strengthen Your Financial Plan

Active vs. Passive Management and What it Means for Your Portfolio

Familiarity Bias

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