August 2017: If most of your portfolio is invested only in Canada, consider being more diversified globally with exposure to the U.S., Europe and Japan, and perhaps some emerging markets. A portfolio should have both diversification and growth potential, keeping in mind your goals, risk tolerance and time horizon. There’s relatively low diversification in the Canadian marketplace and larger companies boil down to only a few core industries. While Canada has a lot of good companies, globally there are many more to choose from. Exposure to global markets is very important since the benefit of diversification comes not only from individual companies, but also from access to the economies and broader businesses in different parts of the world. Be aware that currency, political stability, taxation and regulatory issues may present risks, so consult your financial advisor before investing.