Recently, I decided that if I wanted to get exposure to booming foreign markets there were three viable ways to do it.
The first was to open a U.S. stockbroking account.
The second way to get overseas exposure was through buying an exchange-traded fund, which tracks an entire market such as the NASDAQ, New York Stock Exchange or London's FTSE.
Finally, the other way was through purchasing shares in locally listed companies that conduct a majority of their business overseas.
Each of these next four businesses, which I bought in the second half of 2014 or 2015, offer global exposure and excellent long-term prospects.
- ResMed Inc. (CHESS) (ASX: RMD) was my most recent blue-chip investment. Having recently tumbled in share price following an adverse trial result, ResMed moved into a much more compelling valuation range. This fantastic long-term business jumped on the back of some modest revenue and profit growth, which once again vindicated the investment thesis for this promising dual-listed biotechnology business.
- Cochlear Ltd (ASX: COH) is another excellent, defensive, healthcare business with global exposure. Its best-in-class hearing aid devices are moving towards an exciting future, which will likely be transformed and shaped by the ongoing interconnectedness of everyday devices.
- XERO FPO NZ (ASX: XRO) is currently listed on both the ASX and New Zealand stock exchange. The cloud computing accounting software provider has already disrupted the local accounting software market and begun an ambitious overseas expansion. Although the company is not yet profitable, I suspect that once it decides to lower its investment in growth opportunities, profitability will come shortly after.
- Yowie Group Ltd (ASX: YOW) is a minnow compared to the first three companies, and could be considered far more speculative. Arguably however it makes up for the added risk with significant potential. Yowie is a popular chocolate maker which has exclusive rights to distribute throughout the enormous U.S. market. Through an ever-growing network of retail stores, including the world's largest retailer, Walmart, the next 24 months will prove crucial for the investment case.
2 more superstar small-cap stocks
