Part 2/10:
Many investors—particularly those based outside of the United States—have pursued access to U.S. equities for years. The term “American exceptionalism” often comes up in discussions about the financial landscape, framing the U.S. as a dominant player in global markets. Evidence of this belief is found in the dramatic increase of foreign investment in U.S. stocks. Data illustrates that investment from foreign entities rocketed from under $100 billion annually in the 1990s to upwards of $300 billion in recent years. Over the span of two decades, foreign holdings of U.S. stocks jumped from about $5 trillion to more than $25 trillion.