Singapore is home to some genuinely excellent investments. Our banks are well-capitalised and shareholder-friendly, our REIT market is one of the deepest in Asia, and our blue chips have a long track record of paying reliable dividends. It’s no surprise then, that many local investors build their portfolios almost entirely around companies they know well. But here’s the thing: Singapore’s stock market is a small slice of a much bigger pie. The global economy is enormous, and limiting yourself to one market means leaving a lot of opportunity on the table. After all, the world is your oyster – so why restrict yourself to just Singapore? This article looks at why investors should consider looking beyond our shores, and how international exposure can make a portfolio stronger, not weaker.

The Home Bias Problem

“Home bias” is the tendency to invest mostly in your own country, and it’s a pattern seen among investors worldwide, not just in Singapore....