NEW YORK--(BUSINESS WIRE)--In a new publication, Investment Insight, Segal Rogerscasey Canada explains that a “home country bias,” or the tendency to favour investments in domestic companies and securities, creates a long-term disadvantage in an investment portfolio.
While an increasing number of investors have recognized that the healthiest equity portfolios are well-diversified by investment style, market capitalization and geography, most Canadian investors still exhibit a "home-country bias.” Segal Rogerscasey Canada believes that investors can avoid the disadvantages created by such a bias by implementing a global equity structure.
Implementing a global equity structure need not be overly disruptive. Nino Boezio, Vice President, Portfolio Strategy and Investment Consultant, maintains, “It is not necessary to replace all Canadian and non-Canadian equity managers within a portfolio because a number of money managers have begun to expand their offerings to include global equities. In some cases, expanding investment guidelines might be a simple solution. In other situations, it might make sense to maintain Canadian and non-Canadian managers and look to add global mandates selectively as opportunities arise.”
The Investment Insight makes the case for global equities and advises that while each investor has unique preferences and requirements that may have an impact on their ability or desire to move toward a more global investment structure, investors may wish to discuss their options with an investment consultant.
The full Investment Insight is available here:
Segal Rogerscasey Canada (www.segalrc.ca), a member of The Segal Group, is a leading global investment solutions firm that provides innovative, client-driven consulting advice and outsourcing solutions. The firm has been in operation for more than 40 years in Canada and the United States. Clients include corporations, non-profit organizations, endowments, foundations, state and local governments and joint boards of trustees administering multi-employer benefits plans. The firm works with financial service firms through Rogerscasey, a Division of Segal Advisors. The firm is also a founding member of the Global Investment Research Alliance.