28, 2002; Non-U.S. Energy Stocks Can Enhance Portfolio Performance
apparently bottomed in late January and since mid April have been advancing
sharply (see Chart). While we can
see what has happened, we donít pretend to
will happen. We do have two strong beliefs on currency.
One, it is better for our peace of mind to have some diversification from
our home currency to which most of our financial assets are otherwise tied.
Second, energy value can be quite independent of currency value because
oil is the largest worldwide commodity in its own right after currency itself.
Non-home-country energy stocks meet both those portfolio preferences.