Globalisation today means the selection of equities seen as originating in one country may no longer be reflective of where the firm conducts most of its business.
As a result, investment houses are questioning whether the methods applied to asset allocation, risk diversification and fund classification reflect the true status of investing in today’s global companies. While 25 years ago a company with a UK stockmarket listing was more likely to conduct most of its business in the UK, investment experts are now aware the need for global business diversification and growth potential means a UK-listed company is not necessarily conducting all or any of its business in the UK. Chris Fletcher, head of retail investments at Baillie Gifford has sparked the...
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