10 Cheap Foreign Stocks With Moats
For investors looking abroad, these high-quality stocks are selling at compelling valuations.
There are many compelling reasons to venture abroad when it comes to your portfolio. Not only can foreign stocks provide valuable diversification for a U.S.-heavy portfolio, there is a case to be made that foreign stocks may be less overvalued than U.S. stocks, which have gained more than 15% per year for the trailing five years through Oct. 26.
Meanwhile, the Morningstar Global Markets ex-US Index has returned a little less than half of that amount. True, some of the underperformance is due to currency effects. But for bargain-hunters who want to look abroad, the Morningstar Global ex-US Moat Focus Index can help you find high-quality bargains in developed and emerging markets.
Karen Wallace does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.