Japan, Europe and China tipped to outperform U.S. stocks over next decade

[Financial stock market graph. Selective focus.]
Diego Thomazini/iStock via Getty Images

* Equity markets in Japan, the European Union, and China are expected to outperform the U.S. in the next 10 to 15 years, according to J.P. Morgan Asset Management.
* The assessment comes at a time when the U.S. has been struggling with a weakening currency and worries about high fiscal debt.
* U.S. equities have benefited from a long tech-driven rally and trade at high multiples, while Europe and Japan see more modest valuations, and Chinese stocks remain discounted.
* J.P. Morgan sees annualized returns nearing 8% for Japan, over 7% for the EU, and above 6% for China over the 10-15 years. For the U.S., J.P. Morgan expects about 5.5%.

[Chart on equities performance]
JP Morgan

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ETFS TRACKING EQUITIES IN THE EU: Vanguard FTSE Europe ETF (NYSEARCA:VGK [https://seekingalpha.com/symbol/VGK]), iShares Core MSCI Europe ETF (NYSEARCA:IEUR [https://seekingalpha.com/symbol/IEUR]), SPDR Euro Stoxx 50 ETF (NYSEARCA:FEZ [https://seekingalpha.com/symbol/FEZ]), WisdomTree Europe Hedged Equity Fund (NYSEARCA:HEDJ [https://seekingalpha.com/symbol/HEDJ]), iShares MSCI Eurozone ETF (BATS:EZU [https://seekingalpha.com/symbol/EZU]), First Trust Europe AlphaDEX Fund (NASDAQ:FEP [https://seekingalpha.com/symbol/FEP]), FlexShares STOXX Europe 50 ETF (FEEU).

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