Why Fidelity Diversified International Fund?
Global diversification provides exposure to a variety of investment opportunities– As of year end 2009, the United States’ share of the world’s stock market pie is still shrinking – as measured by its representation in the MSCI All Country World Index.1 As of 12/31/09, the U.S. accounted for only 42% of the world’s total stock market capitalization, down from 45% as of 12/31/08. For comparison purposes, the U.S. accounted for 50% of the market capitalization of that same index as of 12/31/04.2 By not looking outside the U.S., investors are ignoring a wealth of potential opportunities. While diversification does not ensure a profit or guarantee against losses in a declining market, foreign stocks can offer diversification benefits to portfolio – particularly those with heavy concentrations in domestic equities and fixed income securities. Keep in mind, however, that the aggregate correlation between international and domestic equities has increased in recent years. Management process th
