Over the decades, I've entered into many, many conversations in which people have expressed concerns about the value of the dollar. One might not realize that these concerns are just one of the reasons that the number one rule of investing is diversification. Diversify, diversify, diversify! International stocks tend to decline when the dollar rises and, conversely, they do pretty well when the dollar falls. There are an awful lot of reasons to diversify, this being just one of them. Most investors need to have a portfolio with both US and international equities, just as most investors need to own some stocks and some bonds. The idea is that whichever type of investment is doing well, you want to be sure to own some of it.
the case for diversification
