3 Great Foreign Companies to Invest in Right Now

Investing too much in one's home market is an investment risk that often goes unnoticed. That is particularly true for U.S. investors, given the size of Wall Street relative to other global markets. One way to address this issue is to add a few specific foreign stocks to your portfolio. Luckily, you can do that on a U.S. exchange by buying stocks like The Bank of Nova Scotia (NYSE: BNS), Shell (NYSE: SHEL), and Unilever (NYSE: UL). Here's a quick look at each of these solid passive income plays.

Bank of Nova Scotia, often shortened to Scotiabank, is one of Canada's largest banks. The Canadian banking market is highly regulated and protected since the government seems averse to allowing big mergers, and smaller players have difficulty competing with the entrenched leaders. In addition, Canadian banks tend to be somewhat conservatively managed overall. That makes The Bank of Nova Scotia an interesting option for even risk-averse types looking for income. The bank's current dividend yield is a healthy 5.1%.

So, you get Canadian exposure here, but that's not all. Scotiabank also has sizable exposure to South America, a global wealth management business, and banking operations in other foreign countries. All in, foreign businesses make up 66% of earnings. So, this more than 100-year-old bank provides you with a solid foundation (Canadian banking) that supports more growth-oriented operations, notably in emerging South American markets. That's not a bad option for long-term investors.

Source Fool.com