Many investors and advisors fail to take advantage of the opportunity to diversify offered by global and emerging markets, a new survey from The Hartford says.
The survey adds that investors don’t always understand what is involved in investing in emerging markets, nor do they grasp its importance as a tool for diversification.
While many investors who work with advisors (62%) believe such diversification is important, few actually follow through. Among those who do, many don’t understand their own global investments. The survey revealed that, when asked, more than 25% do not even know whether they hold such assets, and 57% don’t know which types of global asset classes they might hold in their portfolios.