Global Investing: Smart Diversification Explained!

September 03, 2025•3 min read

R. Kenner French opened the discussion by asking Daniel Nikic why investors should look beyond U.S. markets. Daniel highlighted globalization’s undeniable impact, from supply chains in Asia to innovation emerging abroad. He pointed out that many successful companies, such as Grammarly, originated outside the U.S. but gained prominence globally. Population size and growing consumer bases in countries like China and India also underscore the importance of considering international markets when building a diversified portfolio.

Kenner emphasized that diversification across global markets helps reduce overall portfolio risk. By allocating assets internationally, investors can balance fluctuations in U.S. markets with opportunities abroad. Daniel acknowledged concerns that foreign companies may feel less tangible to American investors, but he argued that risk is inherent everywhere—even domestically. He stressed the importance of conducting thorough research and being prepared for both gains and losses, much like with high-risk assets such as cryptocurrencies.

Custom HTML/CSS/JAVASCRIPT

Daniel shared his journey from growing up in Canada to moving to Croatia, where he worked in market research, consulting, and real estate across Eastern Europe. His work with family offices exposed him to how high-net-worth individuals structure investments across various asset classes. This perspective gave him unique insights into global wealth flows, capital structures, and emerging markets. Today, through his company Core S, Daniel focuses on connecting investors with opportunities across North America, Europe, and beyond.

When asked about promising markets, Daniel cited the UAE, Saudi Arabia, Scandinavia, China, and India as regions with strong potential due to innovation, favorable demographics, or government initiatives like Saudi Vision 2030. He also noted Africa’s role in supplying critical commodities such as lithium and uranium. On technology, Daniel and Kenner discussed the growing influence of AI, with Daniel stressing the importance of human oversight and Kenner noting advancements like Vast Solutions Group’s own AI engine “Einstein.” Both agreed that quantum computing may be the next transformative leap for entrepreneurs and investors.

Daniel described Croatia and Eastern Europe as ripe for investment in tourism, agriculture, infrastructure, and sports, though he noted challenges such as limited access to capital compared to the U.S. He advised U.S. entrepreneurs looking abroad to identify what’s missing domestically and seek those opportunities internationally—whether in commodities, manufacturing, or technology. Kenner closed the episode by underscoring the value of international diversification, encouraging entrepreneurs to explore global opportunities for growth, tax strategy, and risk management.

Takeaways

• Globalization has made international investing essential.

• Diversifying investments can lower overall portfolio risk.

• Traveling can provide valuable insights into global markets.

• There are risks in every investment, domestic or international.

• America remains a strong player in the global market.

• Emerging markets like UAE and Saudi Arabia offer opportunities.

• AI is transforming investment strategies and decision-making.

• Investors should conduct thorough research before entering new markets.

• Croatia is becoming an attractive destination for investors.

• Understanding local cultures and markets is crucial for success.

Sound Bites