Diversification is a long sought-after cornerstone of building a portfolio, and it has been somewhat more difficult to achieve over the past few years, due to political and economic turbulence.
However, investing via geographical diversification is one way to achieve this, and investing in global equities builds in much more variety than simply investing in UK assets.
But there is a skill in picking the right kind of funds and indeed stocks to go for, as well as to avoid. Focusing heavily on the S&P 500, for example, will give an investor very strong exposure to tech stocks, which all share the same risks.
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This report, which qualifies for 30 minutes' CPD, outlines some of the challenges to look out for.
