简介：The international comovement of stock market indices is reviewed in this paper. The most powerful argument for cross-border investing is ;
the risk reduction due to low correlation of world’s stock markets.Diversifying risk has become even more important as financial markets ;
globalize, helped by advanced information technology which lowers the transaction costs. Systematic risk is lowered through international;
diversification in markets with low correlation in domestic markets.
简介：The international comovement of stock market indices is reviewed in this paper. The most powerful argument for cross-border investing is ; the risk reduction due to low correlation of world’s stock markets.Diversifying risk has become even more important as financial markets ; globalize, helped by advanced information technology which lowers the transaction costs. Systematic risk is lowered through international; diversification in markets with low correlation in domestic markets.