Policy Shifts and Dollar Pressure Boost the Case for International Value

Columbia Threadneedle’s Overseas Value Insight (Oct 2025) argues that global macro dynamics now favor value opportunities outside the U.S.

• The status of U.S. Treasuries is eroding due to persistent deficits, inflation dilution and rising geopolitical risk, encouraging capital rotation toward gold, hard assets and foreign equities.

• International value stocks offer lower valuations and higher yields than U.S. equities, while themes such as Japanese corporate reform, Asian financials, uranium-linked energy security and dedollarization create powerful catalysts.

• Portfolio positioning reflects reallocation from Europe to Asia, with selective exposure to Japan, Hong Kong financials, Dubai real estate and precious metals, enhancing diversification away from U.S. concentration risk.

Can international value act as a strategic hedge to U.S. dominance in a changing monetary order? Explore the full report for portfolio implications.