Goldman Advises Diversifying from U.S. Equities Given Their 50% Share of Global Market
• U.S. equities now make up 50% of the global equity market, with tech stocks making up a significant portion • Goldman strategists believe this concentration warrants some diversification into other regions like Japan, India, and China • U.S. outperformance is driven by stronger earnings growth and exposure to faster-growing industries • Tech sector dominance reflects strong earnings growth, similar to energy in the 1950s • Opportunities to diversify include healthcare and Europe's GRANOLAS stocks trading at lower valuations