Reuters: Michael Landsberg says European stocks a ‘great spot to be’ for investors

June 10, 2025

During a recent interview with Reuters, Michael Landsberg, Chief Investment Officer at Landsberg Bennett Private Wealth Management, brought attention to a trend that has remained under the radar for many U.S. investors: the strong relative performance of European equity markets. As domestic portfolios continue to lean heavily into a narrow set of large-cap names, Landsberg underscored that countries across Europe—especially those emerging from recession and increasing their fiscal commitments—have been gaining traction. From his perspective, structural shifts in European policy, such as rising defense budgets and greater economic self-dependence, have helped lift returns across several sectors and regions.

Key Takeaways:

1. European markets have shown notable performance in recent years: Michael Landsberg highlighted that several European countries have quietly outperformed the S&P 500 over the past three years. He noted that this trend has gone largely unnoticed among many U.S.-based investors due to concentrated allocations in a small group of domestic names.
2. Recovery and shifting dynamics support broader regional strength: Countries across Europe, including those that experienced recent recessions, are beginning to stabilize. Landsberg pointed to increased defense spending and a greater sense of self-reliance among European nations as factors that have supported equity performance across the region.
3. U.S. investors remain heavily tilted toward a narrow slice of the domestic market: According to Landsberg, many U.S. portfolios remain over concentrated in a small cluster of widely held names, leaving them potentially underexposed to areas that have been performing well overseas.
4. Diversification into international markets may help with volatility management: While not offering direct recommendations, Landsberg discussed how exposure to global markets has, in some cases, delivered strong returns with lower volatility, supporting a more balanced approach in times of domestic uncertainty.

Landsberg’s observations suggest that looking beyond familiar sectors and geographies may uncover areas of strength that are less crowded and potentially more stable. As global dynamics evolve, staying open to structural shifts abroad may be an important consideration for broader portfolio alignment.