It is widely understood that it is extraordinarily important to adopt a diversified investment strategy that insulates the investor from the various pitfalls associated with economic trends in varying industries, but that does not mean it is particularly easy to adopt such a strategy. As Fahad Al-Rajaan sees it, the overwhelming majority of investors never develop a comprehensive understanding of the many options at their disposal, leaving major investment opportunity gaps that limit the return on what could be an impressive and lucrative strategy.
While it is simply not feasible to give international investment advice without understanding each specific investor’s existing portfolio along with their short- and long-term investment goals, Fahad Al-Rajaan has noticed that many investors are failing to take advantage of international business growth, especially as it relates to international tech startups that may not be as heralded as their counterparts in the United States. With this lack of hype, there are many in the international investment world who see this as a largely untapped market that will be every bit as successful as any other tech startup and will yield a much more impressive return on the initial investment due to the limited fanfare.
Technology is not the only industry in which international markets are producing startups poised for monumental growth for both short- and long-term investments, and Fahad Al-Rajaan suggests that investors who are interested in taking a more diversified approach should meet with their financial advisor to discuss international market opportunities. Of course, Fahad Al-Rajaan also offered a word of warning regarding this strategy, as not all financial advisors are knowledgeable enough to ensure the kind of immense success available through international investments, so it is essential to first evaluate the advisor’s experience and understanding of international markets before entrusting them to develop a personal investment strategy.
Of course, it is sometimes advisable for investors to work with a separate financial advisor whose specific area of expertise is in the international markets. According to Fahad Al-Rajaan, there are many advisors who hold licenses that enable them to offer specialized advice regarding investing abroad, and he has long emphasized the importance of ensuring that all financial dealings are done with strict adherence to all of the various regulations that apply to different markets, international or otherwise.
Fahad Al-Rajaan also noted that international investors seem to be ahead of the curve compared to their North American counterparts, with Australian investors represented quite well in terms of their willingness to adopt an international strategy that includes a variety of markets outside of their home country. This diversified strategy has paid off handsomely for these investors, further illustrating the importance of taking a multi-faceted approach to investing that includes businesses in a number of industries and locales. In many cases, this particular strategy is considered quite stable and ensures investors can count on a sizable return on their investment independent of unforeseen economic troubles or circumstances.
International investments are not without drawbacks, however, and one of the most frequently cited issues preventing investors from participating in international markets is the relatively high cost of entry. While this is not always the case, there is a reason why many investors see an international strategy as something that is beyond their reach due to cost. Despite the sometimes lofty costs associated with entering a particular international market, the potential return and the enhanced investment diversification is more than worth the initial costs. This is especially true when an international strategy is employed over a long-term basis, as a diversified strategy that includes investments at home and abroad are simply better positioned to yield the kind of return that leads to sustained financial security.