- Investors in international markets tend to concentrate on broad benchmarks, which can cause them to overlook potential high-growth prospects in specific countries.
- Japan, India, and Mexico are three nations that may be well-poised to harness the opportunities arising from broader global trends, referred to as 'mega forces,' such as supply chain rewiring and demographic population shifts.
- As a result of the convergence of country-specific trends and global mega forces, we believe that investors considering international markets may find opportunities in precise exposures to Japan, India, and Mexico.
U.S. investors in international markets may tend to focus broad benchmarks such as the MSCI Emerging Markets Index and as a result, may miss exciting opportunities to target specific countries. Local market trends and global forces leads us to believe that Japan, Mexico and India as three such opportunities. While each of these three countries has idiosyncratic reasons for growth, they are all benefitting from a global shift towards diversified supply chains.
Below, we dive deeper into each opportunity and highlight what is behind the growing investor interest.