International Investment Funds

Investing in international assets can reduce risks by adding diversification to your portfolio and offering the opportunity for higher capital gains. 

The goal of most investors is to maximize their return while minimizing risk. However, many investors have a home-country bias and invest mostly in corporations in their country, like the United States or Canada. Unfortunately, this type of investing exposes the investor to the ups and downs of their own economy. 

Investors can reduce this concentration of risk by investing in stocks of companies in other countries. The economies of countries or regions, like Japan and Europe, may be getting stronger while your national economy is declining. Spreading your investments across a variety of global stocks can reduce this risk.

International investors can also take advantage of changing global trends. Investing in international assets presents the opportunity for higher returns in other markets that may be thriving when other markets, such as the U.S., are faltering.

Poring over financial statements of corporations in other countries can be challenging because of differences in accounting and reporting practices and regulations. In addition, international stocks may be more volatile because of fluctuations in their currencies and disruptive changes in political climates.  Therefore, it's better to let professionals who have years of experience analyzing global markets to select the stocks for you. 

Investors can choose from a range of Franklin Templeton ETFs and mutual funds that specialize in international markets.