Should I invest in whatever that is hot in the market right now

Golden words by M. Pattabiraman:

“Can you suggest a good international fund—or include one in my portfolio?”

I hear some version of this question regularly in my work as a SEBI-registered investment adviser. Usually, I respond with another question:

“If I hid the last three years of returns from you, would you still want to invest internationally?”

Take a moment before answering. If the answer is still yes, there may be a genuine portfolio reason for investing abroad. If the answer suddenly becomes less certain, perhaps the attraction is not diversification but recent performance. That difference matters.



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