, Columnist
Trump Puts U.S. Valuation Premium at Risk
Chaos could rob the country of its developed-nation premium.
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President Trump fancies himself a disruptor. But I doubt he had any inkling that he might disrupt one of the safest assumptions in investing: That the U.S. stock market should be priced like a developed market and not like an emerging one.
Let me explain. There’s a noticeable gap in how much investors are willing to pay for developed-market stocks compared with emerging-market ones over time.