Investment Background

Why invest in the U.S.?
 High Quality
  • U.S. stocks account for about 40 percent of the world's total stock market capitalization.
  • Most investors consider the U.S. market to be comprised of some of the highest-quality companies in the world with sustainable growth across a diverse set of industries.
 High Returns & Low Volatility
  • The U.S. market has often offered higher returns and lower volatility (i.e., higher risk-adjusted returns) than the rest of the world, mainly due to its stable economic and political system.
 Recessions and Drawdowns
  • The U.S. market has historically demonstrated more stability and better defense against recessions than the rest of the world.
  • Market drawdowns in other countries during recessions and bear markets tend to be deeper and longer than the U.S. market.
 Asset Allocation
  • The U.S. dollar serves as the world’s reserve currency and is the most widely traded currency.
  • The U.S. dollar tends to strengthen in unstable markets, oftentimes acting as a hedge against the Korean currency during volatile times.