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Stock allocation for a person with no "home" country?

Posted: Thu Dec 09, 2010 3:06 pm
by yuna
Hi, I'm new to the forum.  I don't consider myself to have a "home" country.  I've lived in 4 continents: Asia, Europe, North America, and South America.  What should be my stock allocation?  (I'm planning to use only ETFs.)  If I just buy a total international stock index, I feel like I may be too heavily weighted to North America.  What do you guys think?

Re: Stock allocation for a person with no "home" country?

Posted: Fri Dec 10, 2010 5:04 pm
by craigr
Keep in mind that the international index overweights north america because the US is still something around 40% of the world's economic output. So it is justified on this level. But if you don't have a home country I would consider diversifying around the regions where you plan on spending most of your time. The big thing is considering your currency exposure as you move around.

Re: Stock allocation for a person with no "home" country?

Posted: Mon Dec 13, 2010 5:45 am
by Indices
I have written about this on my blog. You should invest in the currency of the country you wish to retire in. If it is a developing country, then invest in dollars or possibly euros. You want to avoid currency risk at all times. Investing for most of us is about retirement anyway.

Re: Stock allocation for a person with no "home" country?

Posted: Mon Dec 13, 2010 7:11 am
by D
I'm in a similar situation, and while I was thinking about diversifying over all possible areas where I might end up retiring, I decided to stick with USD-based portfolio with USD being world reserve currency. It seems to me that USD being world reserve currency plays a big part of the overall PP philosophy and design and as such I feel that all other currencies are riskier and unnecessary from PP perspective.

Re: Stock allocation for a person with no "home" country?

Posted: Mon Dec 05, 2011 7:50 pm
by murphy_p_t
Yuna,

Have you found a satisfactory solution? Or specifically ruled out anything you were considering? (I saw you had similar posts in cash & bond section also)

Also, what broker do you find useful, in particular if you are a US citizen?