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How should you determine what your foreign allocation should be?

Add or subtract foreign exposure based on market performance

Set a strategic, long-term allocation to foreign stocks and stick with it, making only minor adjustments to rebalance

U.S. investors should not invest in foreign stocks under any circumstances

Set a strategic, long-term allocation to foreign stocks and stick with it, making only minor adjustments to rebalance.

What factor complicates the decision of how much your foreign allocation should be?

Informed observers vary widely on how much to stake overseas.

Country of domicile doesn't say a lot about where a company actually does business

Neither of the above

Both of the above

Both of the above. Investing in foreign markets is not easy to pin down.

What can global market index funds provide investors?

An easy way to gain exposure to all markets around the globe in one investment

Ideas for how to determine your own foreign allocation

Neither of the above

Both of the above

Both of the above. Global market index funds have made foreign investing easier for many investors.

Currency risk is always bad for a portfolio that contains foreign stocks.

True

False

False. Currency risk is a two-way street. Sometimes it can work in your favor.

Who is a global market index fund best suited for?

Investors who want to decide their own regional and country weightings

Investors who want the market to decide regional and country weightings

No one -- they are poor investment choices

Investors who want the market to decide regional and country weightings. These funds have made it easier for many to get into foreign markets.