Page 15 - PMD Financial Advisers_An introduction to investing

PMD Financial Advisers | Investor Education
International versus domestic shares
With Australia representing around 2 per cent of all listed companies, you may be interested in buying shares in international stocks, with less exposure to technology and consumer stocks.
funds. It’s also important to remember international shares represent a range of new risks to consider, including currency risk (losing money moving into and out of Australian dollars) or political risk (the government of that country could pass laws
Australia's share of global listed stocks
United States 41% Canada 5% Brazil 2% Mexico 1% UK 13% France 3% Germany 4% Italy 1% Switzerland 3% Australia 3% Japan 11% Taiwan 2% South Korea 3% Hong Kong 8%
Source: Bloomberg – January 2018
Investing globally also allows you to diversify your exposure to market sectors. The table below shows that the Australian of healthcare and IT companies represented in their market.
100 80 60 40 20 0
Australia EU Source: Bloomberg
China
United States
Japan
Brazil
Canada
UK Germany
Real Estate
Utilities
Energy
Consumer discretionaries Telecommunication services Health care
Information technology Consumer staples Industrials
Materials
Financials
15
Percentage of total market