Hi all,
I'm an investor from Europe and living in Europe and have always invested in a world etf like VT (i like simplicity also). Now, since I've been invested I always saw that adding international etfs adds more volatility and less returns. ETFs like vxus fall harder whje the market falls and grow less in bull runs. Yes we know what happenes in the 2000s and that nations dominance can change but we are where we are now and past data is all we have.
So its easy to question why ine holds it but again I believe in diversification hence I take the risk to underperform a pure SP500 strategy.
How do you approach this situation where you might doubting if you're doing it right by owning the world even if it's never outperformed a US only strategy? Any experiences are welcome.