international investing informationMany people have asked me or are thinking about investing in securities bonds and other investments that are in other countries and that are not in their own country. I think this is very foolish and unnecessary, especially if you live in the USA AND you don't know a lot of about other countries and their economies. There are thousands of investments that you can make right here if you live in the U.S.. Why on earth would you add a bunch of confusion with investing in stocks in other countries you don't live in unless you understand that country? A lot of the people viewing this site have trouble making money when they buy investments in their own country so it should be harder right? Think how hard it will be if you try to do investing in countries that are not your own. health care stocks When you don't know their country their people, and the economies over there it will be much harder to make money. You don't know how their country is built to take bad economic times either. So why do people keep getting sold on the idea that there is less risk investing in other countries? I can tell you one reason, mutual funds and brokers just want to make money. They will tell you anything that sounds like they are reducing your risk when in fact they are probably increasing it. HOWEVER all the bad news being said it is true that some countries are more fundamentally sound than the U.S. and you CAN make money in those countries if you have thoroughly studied what it is you are buying. low risk investment for income Why retirement investing and smart investors don't put their money overseas?The only time I would do international investing is when you know a lot about the people living in that country, the economic conditions they have, and you know something that most people don't know about the company or bonds your investing in. For instance if you have done your research and you know the company that you are buying is a strong one than it may be sound to invest in anyway. The thing I hate the most about buying foreign securities, is that there is NO MARKET condition and no economic conditions that will stop SOME investments from still going up right here in America but at the same time you can reduce your risk if you know what you are buying in another country. Now that you know this be careful in your international investing. Realize that other countries especially right now are MORE fundamentally sound than the USA but at the same time may not be as stable. One thing they never tell you about in foreign investing is not just the fundamentals but the stability of the country you are buying into. investing in bonds |