I know that US overperformance of international equities is cyclic, and that there are decades in which international stocks outperform the US stock market. Hence why I'm diversified across world markets (e.g., both VTI and VXUS).
I was too young to really pay much attention last time this was the case, so I'm wondering: what conditions will (probably) have to exist in order for international stocks to start outperforming again? For instance, could it be because of overvaluation and/or stagnation of US companies, or perhaps largely driven by increased gains in international companies (maybe concentrated in Asia and developing/emerging economies?)?
Not asking for a crystal ball, but curious to learn about what conditions have caused these periods previously and what could cause them again in the future. Thanks!
Submitted November 15, 2021 at 07:46AM by theturbanator1699 https://ift.tt/3ccV8D4
