Global Diversification: Unveiling the Benefits of International Asset Investments

Authors

  • Anirudh Kundurthy Novi High School
  • Milad Nozari

DOI:

https://doi.org/10.47611/jsrhs.v13i1.6309

Keywords:

Global investments, Asset Diversification, Asset Classess, Portfolio construction

Abstract

The following paper discusses diversification benefits and the role of both domestic and international diversification in reducing risk and increasing growth. It transitions into describing asset classes and their roles in building a diverse portfolio. It then discusses international securities and how global assets can mitigate risks associated with domestic markets. Lastly using data from the past 15 years, It shows examples of constructing diverse portfolios with international securities and their potential for growth and lower risk based on a variety of performance metrics.

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Author Biography

Milad Nozari

Milad Nozari, PhD

Research Scientist , Bayview Asset Management LLC (Aug 2022- Present)

Director, Yale University (Jun 2017-Jul 2022)

References or Bibliography

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Attig, Najah & Guedhami, Omrane & Nazaire, Gregory & Sy, Oumar, 2023. "What explains the benefits of international portfolio diversification?," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 83(C).

Denis, D. J., Denis, D. K., & Yost, K. (2000). Global Diversification, Industrial Diversification, and Firm Value. SSRN Electronic Journal, 57(5). https://doi.org/10.2139/ssrn.244721

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Spiegel, Jeff Why international stocks may continue to outperform. BlackRock. https://www.blackrock.com/us/financial-professionals/insights/invest-internationally

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Published

02-28-2024

How to Cite

Kundurthy, A., & Nozari, M. (2024). Global Diversification: Unveiling the Benefits of International Asset Investments. Journal of Student Research, 13(1). https://doi.org/10.47611/jsrhs.v13i1.6309

Issue

Section

HS Review Articles