Is the American Exceptionalism Trade Dead?

In our latest video DataTrek Research co-founder Jessica Rabe shows how despite the S&P 500 underperforming the MSCI All Country World ex-US Index so far this year, it has an excellent long term track record of beating rest of world stocks over a 2-year holding period. Since 2011, it has done so 98% of the time and by an average of 20 points. Rest of world stocks got extremely oversold and are playing some catchup given fresh catalysts. Even still, capital flows to where it is best used and, in the case of global equities, that has been to US large cap stocks for well over a decade. That’s because the S&P has outsized exposure to US Tech companies that are globally scalable, market leaders with large competitive moats.

Watch it here on our YouTube channel. Please hit like/subscribe and share this video if you find it useful!