Don’t forget that places like Australia and Canada are also popular destinations for immigrants. But overall, I agree with your point, and my portfolio reflects that view.
Countries like the Netherlands, Switzerland, Germany, and New Zealand are also attractive destinations for immigrants. It’s definitely not just a US thing. In fact, more people emigrated from the US to the Netherlands than the other way around last year.
Keep in mind, the S&P 500 has a lot of exposure to international markets, so if other countries’ populations decline, it could also affect US stocks.
Depopulation trends have already been happening for a while now.
A lack of innovation, unstable political climates, and currency risks are reasons I’m cautious about investing in international markets.
Some countries have more stable political climates and better innovation than the US. Northern Europe, Australia, and New Zealand come to mind. The US is politically unstable compared to these regions.
Sure, but look at their major companies—they’re mostly in oil, pharma, and manufacturing. Also, the US political climate isn’t as bad as China, where your shares are only as valid as the government allows them to be.