Americans love American stocks. They should look overseas

“Iknow the allocation models don’t say this,” admitted Steven Mnuchin, a treasury secretary turned private-equity investor, last month, “but if I had to put money to invest for the next ten years I’d put 100% of it in the us economy.” Although Mr Mnuchin’s patriotism may be in part ideological—for he is both an investor and a political creature—he is not alone. According to Morningstar Direct, a data firm, American fund investors hold just a sixth of their equity allocation overseas. Jack Bogle, who invented index funds, called international exposure an overcomplication. Warren Buffett, an investor, thinks his wife should allocate 90% of her wealth to the s&p 500, America’s leading index, and 10% to Treasuries after his demise.