What’s the point in investing in Europe? The economy is stuttering while the U.S. booms, and its biggest companies wouldn’t even make the top 10 in the S&P 500. The “Magnificent Seven” are collectively worth more than all Western European listed stocks together.
There are three reasons to invest, says Streetwise columnist James Mackintosh:
European stocks aren’t the European economy. (The market is dominated by multinationals such as LVMH and Novo Nordisk.)
Even where domestic economic exposure is an issue, the European economy may not be as bad as it seems.
European stocks, especially U.K. ones, are cheap, compared with the U.S.
Fidelity European Trust PLC (LON:FEV) aims to be the cornerstone long-term investment of choice for those seeking European exposure across market cycles.
