Midterm Elections: What Do They Mean For Markets?

It’s almost Election Day in the US once again. While the outcomes of the elections are uncertain, one thing we can count on is that plenty of opinions and prognostications will be floated in the days to come. In financial circles, this will almost assuredly include any potential for perceived impact on markets. But should long-term investors focus on midterm elections?

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Why Invest Globally?

 You will note in the table below that over the last year the S&P 500 (U.S. stocks) has outperformed its international counterpart by more than 22%!  This disparity in performance becomes even more magnified when considering 10 year and 15 year performance numbers.  In fact, U.S stocks have outpaced foreign stocks by about 2.5% annually for the last 15 years! So why is it important to take a global perspective when investing for the long term?

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