Looking past the ‘US’ual suspects HD

Many global equities managers currently hold up to 70% exposure to US equities, but Peter Wilmshurst, Portfolio Manager of the Templeton Global Growth Fund (ASX:TGG), says “that just doesn’t make sense. It’s a much broader world out there.” With the US market up more than 200% since 2009, while Europe, Japan, and Emerging Markets up more like 50%, he’s finding better opportunities outside America. One such area is energy; while he’s not expecting oil itself to move significantly higher, the stocks exposed to oil aren’t discounting the current $70/bbl oil price. As a result, you can find oil majors with free cashflow yields of 10% paying 6% dividend yields. Learn more about Templeton Global Growth Fund (ASX:TGG) in the video above.