Vista Financial Advisors

Investing in Tomorrow. Today.
Vista's Investment Strategies

Domestic Equities

Owning US stock investments provide you with more diversification in your portfolio because this category is a separate "catalyst group.” The US stock market reacts to many forces in our overall economy ranging from earnings reports to scandals to mergers to changes in investor sentiment.  Often it can be frustrating that the market doesn't react to news about investments we own the way we expect.  During periods when investors are optimistic, it often seems they turned a deaf ear to bad news.  During pessimistic periods, the opposite seems to happen. Within this category, you should diversify your holdings and apply the research that exists in abundance—whether you apply that research personally or depend on an adviser.  Above all, make the US stock market part of your strategy for growth—not your entire strategy.  One major consequence is that net worth is relative.  If the majority of other investors make considerably more than you do on a percentage basis, then your net worth has declined as compared to theirs. Since most investors have virtually all of their investments in the US stock market, there could be a significant consequence to not owning American stocks. Having the proper percentage of your portfolio in the US market could be the most important decision you make.  It could be much more important than whether the market goes up or down.