4 Simple Charts on Why You Should Consider International Exposure

1Source: World Development Indicators database, World Bank, February 1, 2017, World Economic Forum March 9, 2017. https://www.weforum.org/agenda/2017/03/worlds-biggest-economies-in-2017/

2Source: Forbes – U.S. Role In Global Economy Declines Nearly 50% by Mike Patton; February 29, 2016

3Source: World Development Indicators database; March 9, 2017.

4Source: International Monetary Fund World Economic Outlook (October 2015 and January 2016); A.T. Kearney analysis

GDP figures are the unweighted average of the forecast annual growth rates of the economies within each region between 2016 and 202. GDP growth is measured at constant prices.

5Source: Bloomberg; Beaumont Capital Management, as of 12/31/16.

Investment returns for each asset class are represented by the following indices: U.S. Equities – S&P 500® Index; International Developed Equities – MSCI World ex-U.S. Index; Emerging Market Equities – MSCI Emerging Market Index; U.S. Fixed Income – Bloomberg Barclay’s U.S. Aggregate Bond Index; International Sovereign Fixed Income – Barclay’s Global Treasury ex-U.S. Index.

6Source: Bloomberg, O’Shares. Data as of 3/31/2017. International: MSCI EAFE Index, U.S.: S&P 500; Rolling 3-year return differential using monthly data.

As with all investments, there are associated inherent risks including loss of principal. Stock markets, especially foreign markets, are volatile and can decline significantly in response to adverse issuer, political, regulatory, market, or economic developments. Sector investments concentrate in a particular industry, and the investments’ performance could depend heavily on the performance of that industry and be more volatile than the performance of less concentrated investment options. Foreign securities are subject to interest rate, currency exchange rate, economic, and political risks, all of which are magnified in emerging markets. The risks are particularly significant for ETFs that focus on a single country or region. The ETF may have additional volatility because it may be comprised significantly of assets in securities of a small number of individual issuers.

Past performance is no guarantee of future results. One cannot invest directly in an index. Indices are not managed and do not incur fees or expenses.

The Standard & Poor’s (S&P) Large-Cap 500® Index is an unmanaged index that tracks the performance of 500 widely held, large-capitalization U.S. stocks. The MSCI World ex-U.S. Index captures large and mid-cap representation across 22 of 23 Developed Markets (DM) countries -excluding the US. The MSCI Emerging Markets Index captures large and mid-cap representation across 23 Emerging Markets (EM) countries. The Barclays Capital US Aggregate Bond Index is a market capitalization-weighted index of investment-grade, fixed-rate debt issues, including government, corporate, asset-backed, and mortgage-backed securities, with maturities of at least one year. Barclays Global Treasury ex US: subgroup of the Barclays Global Treasury Index that tracks fixed-rate local currency sovereign debt of investment grade countries outside the United States. All issues must be fixed rate, nonconvertible debt and have at least one year remaining to maturity.

“S&P 500®” is a registered mark of Standard & Poor’s Financial Services, LLC a division of McGraw Hill Financial, Inc. All index names of the Barclays indices are trademarks of Barclays Bank PLC. MSCI is the trademark of MSCI Inc. and/or its subsidiaries.

This material is provided for informational purposes only and should not be taken as investment advice.  Each client has their own unique circumstances and the investment themes described above may not be appropriate for all investors.

The material may contain forward or backward-looking statements regarding intent, beliefs regarding current or past expectations. Any conclusions or assumptions described are to illustrate potential benefits, however are not guaranteed.

Beaumont Capital Management is a separate division of Beaumont Financial Partners, LLC. 250 1st Avenue, Needham, MA 02494. 844-401-7699

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