Note: This article is part of Morningstar's 2015 Global Equities Week special report.
Like most of us, I love to travel. Travelling to different parts of the world allows us to learn and experience different cultures and cuisines, and to have a litany of experiences that we could never otherwise have if we did not venture beyond our borders. Enjoying what the world has to offer doesn't mean we don't appreciate the virtues of our own country; it just means there's more out there than what's here at home.
When it comes to investing, however, it seems my fellow Canadians prefer to invest a large share of their portfolios in Canada, and this is likely not optimal. Canada accounts for just around 3% of the MSCI World Index as of November 2015, which means that investors are missing out on, literally, a world of opportunities. Investing abroad allows us to lessen some of the heavy exposure to commodities and financial services that is unique to the Canadian economy, and also to own some wonderful businesses that just happen to operate outside of Canada.
