US market exceptionalism

A bet on US outperformance is a bet on tech, which is near the end of its own hype cycle

For any global investor, the US has been the place to be since the global financial crisis (GFC). Ironically, for a crisis initially concentrated in the US, and which brought the American financial system to its knees, it also marked a turning point in US relative equity returns. Since 2008 —over the past 13 years— US equity markets have outperformed both developed markets (DMs) excluding the US, and emerging markets (EMs) by 7 per cent annually. So, $100 invested in the US in the beginning of 2008 is worth $385 today, compared to $165, if invested in the rest of