Right now, more Chinese investment takes place in other countries than its own. Business Insider reports China just became a net exporter of capital.  In 2014, China invested $870 billion in foreign markets. About half of the investments are in the energy sector ($395 billion). China needs to import 60% of its oil and 30% of its gas to accommodate its 1.2 billion people.

The article goes on to show how China’s investments have made it the largest creditor for an increasing number of countries. That’s increased China’s political leverage around the world. You can see where China’s chief external investments are in the map below (and, yes, the U.S. is No. 1 at $72 billion invested since 2007).

Bottom line: Economic strength is the foundation for political strength. China is on a collision course with the United States for the title of “world’s largest economic power.” Global stability will depend on the way in which China wields its new political clout… and how America reacts to it. But for now, China’s investment in America is a growing tailwind for the U.S. economy.

  Here’s an easy way to avoid making this common investor mistake

From Greg Wilson, chief analyst, the Legacy Portfolio: Over the past 20 years, the S&P 500 returned 9.2%. The average investor, however, made only 2.3%.

What gives? Why does the average investor perform so poorly?

According to Dalbar, it wasn’t stock choice. Investor behavior is to blame. Specifically, investors fail to implement risk-management practices.

If you haven’t added risk-management techniques to your investing, you’re setting yourself up for below-average results… or worse.

Regular Daily readers know risk management is something we take seriously at the Palm Beach Research Group.

At the highest level, it starts with our 2015 Asset Allocation Guide. Paid subscribers can find it right here. In addition, be sure to read and implement the Palm Beach Three-Legged Stool of Safety.

Remember, never invest in any market without protecting your downside FIRST. And when you do this, you’ll discover the “magic” of the Palm Beach style of investing: The upside takes care of itself.