sinkie stocks = sinking strategy

unfortunately, to the dismay of many very patriotic sinkies, i am actually quite against the strategy of investing into local stocks

i think the correct geographical allocation is only us stocks

and when i say us stocks, i mean us stocks

not international stocks

not non-singapore stocks

definitely not emerging market stocks

only and exclusively, us stocks

us stocks outperform massively, and the taxable dividend portion only makes up a minor portion of the total return

and that can be optimized with ireland / lux domiciled ETFs

modern day irony is buying LSE listed ETFs that invests in us stocks

people will say, investing in sinkie stocks and REITs for the tax free income!

but who cares about getting a tax free dividend income or total return that is low, when you can get a post-tax total return that is high?

people will say that this period of us stock outperformance is cyclical and temporary, and they are all looking forward to international (developed markets ex usa) to outperform

but they would be wrong

the simple reason is that people simply dont give a fuck about non-us stocks

you ever wonder to yourself, "i wonder which hong kong stocks pays good dividends / are good value?"

of course not

and i tell you a secret

no one in the world thinks to themselves "i wonder which singapore stocks pays good dividends / are good value?"

put aside pride and ego

the cost of investment patriotism is plain and simple underperformance

and between a poor patriot or a rich cosmopolitan

i choose being a rich cosmopolitan