'We have West Coast capitalism, not US holdings': The challenges facing global investors

Twenty years ago, fund managers spoke about national economies and companies, while their portfolios were far more regionally focused. James Anderson, co-manager of the Scottish Mortgage trust, estimates around two-thirds of a portfolio's assets were in businesses local to their country of operations. The make-up of global indices at the time reflected this positioning. For example, in 2002, companies in the MSCI World index made just 11% of their sales in developing markets, and the rest of their revenue was derived from developed nations. But over the past decade, globalisation has ra...