STOXX 600
Hi all,
Back when Trump started imposing tariffs (or increasing the existing ones), a lot of people jumped on the STOXX 600 train. At the time, the arguments for European equities seemed pretty compelling.
Now, a bit further down the road, I barely see anyone talking about STOXX 600 anymore.
So I’m wondering: is it still a sensible approach?
I know that, historically, STOXX 600 has lagged behind the S&P 500 and global equity indexes such as MSCI World/FTSE All-World. But given the current concerns around US tech valuations and a potential AI bubble, I’m wondering whether European equities could provide some useful diversification.
Would you consider STOXX 600 somewhat of a “safer” place to be if the US AI/tech trade eventually unwinds?
Or is that a false sense of safety, given that European markets would probably get dragged down by a major US correction anyway?
Curious to hear how people currently view STOXX 600 as part of a long-term portfolio.