Investors Eye Overseas Stocks and Inflation Hedges To Diversify As US Market Gets Pricey

Investors are looking beyond US equities for diversification opportunities as valuations are high domestically. India and Japan are attractive options with shareholder-friendly actions like buybacks.

The US market is very expensive compared to the rest of the world, so investors should consider allocating more to foreign stocks, though not necessarily all at once.

Gold is rallying and may be driven by central bank purchases in China, while Bitcoin's rise mirrors the early days of gold ETFs a decade ago.

Inflation may stay sticky, so some portfolio allocation to gold or digital gold in Bitcoin makes sense as a hedge.

China stocks look cheap valuation-wise after a sell-off, but ongoing political and economic tensions there complicate the bull case in the near term.