After a heated campaign between Hillary Clinton and Donald Trump, the latter won the race to be the next US president following yesterday’s election.
Much like the Brexit vote in the UK, Trump’s victory has been seen as a stand against globalisation and conformity, but what this means for markets is unclear.
While some expect markets to rebound swiftly after a steep sell-off in the coming days, others see markets struggling to recover.
David Bertocchi, head of global equities at Barings, said: “Donald Trump’s surprise electoral win marks a rare occasion in politics where uncertainty is now likely to increase rather than fall post-election.”
After a full day of trading the S&P 500 actually ended up on the day, rising 1.11 per cent following Trump’s surprisingly measured acceptance speech, while markets globally fared better than expected, with the FTSE 100, for example, up 1 per cent.
Performance of indices over 1 month
Source: FE Analytics
While this was better than expected, uncertainty looks set to remain and could potentially affect global equities over the coming months.
With the US dominating the global market (the MSCI World index is 54 per cent weighted to the country), it is important to know which funds are the most overweight the US and which offer the least exposure.
Having already followed the immediate reactions to the Trump victory, and a look at how investors will be affected by this, FE Trustnet finds out which funds are taking the biggest bets on the US.
Global funds have taken a relatively high weighting to the US for a number of years, as the sector has outperformed on the back of strong performances from the likes of the FANG stocks (Facebook, Amazon.com, Netflix and Google).
Source: FE Analytics
However, given the size of the country in the index they have found it difficult to be overweight, leading to underperformance for some funds when the US rallied strongly.
But some have managed to go overweight the US, with around a third of the funds in the IA Global sector having a higher weighting than the benchmark.
Premier Asset Management’s Simon Evan-Cook said: “Have they got too much US equities going forward – I would argue that they probably have.”
As such, above are the top 20 global funds that have the highest weighting to the US, with the most notable being Fundsmith Equity, run by FE Alpha Manager Terry Smith.
The fund has a strong track record, with a top quartile ranking over one, three and five years, but has struggled in recent months. 
Known for his well-defined approach and concentrated stock selection, the fund has a number of large defensive names including Philip Morris and PepsiCo in its top 10 holdings.
Andy Parsons, head of research at The Share Centre, said: “I really like Terry Smith – Fundsmith. Big stable companies and its conviction and therefore it’s not going to catch a rally but it is going look after me in times of market volatility and uncertainty and that’s what I want.”
The five FE Crown-rated £8.9bn fund is the largest in the group, with the £2bn CF Purisima Global Total Return PCG fund the second biggest.
Also included in the list are two healthcare specialists - Fidelity Global Health Care and Schroder Global Healthcare.
While they have a high natural weighting to the US, given the large number of large pharmaceutical and biotech companies in the market, a Donal Trump victory could cause the sector to rally.
Matthew Beesley, head of global equities at Henderson, said: “President-elect Donald Trump has vowed to do away with Obamacare; this is clearly negative for large sections of the healthcare sector, though for the pharmaceutical sector, the Clinton based pricing overhang will be removed and we should expect stocks to rally accordingly.
However, while the S&P 500 largely shrugged off the Trump victory, many investors remain wary of what it will mean for the market, with sharp declines expected by some in the coming months.
Rathbones’ Edward Smith, said: “In the weeks until his inauguration, more details will emerge about Mr Trump’s approach to the presidency, and his key policies and appointments. In the meantime, uncertainty will not help stock markets.”
As a result, investors may look to add global equity funds that have a low weighting to the market, with the R&M World Recovery fund, run by Hugh Sergeant, the least invested in the region.
The five crown-rated, £203m fund takes a value approach to investing, meaning much of the highly valued US market has been unattractive.
Square Mile Research said: “We have a high regard for Mr Sergeant, however, this is a high risk, high return strategy that really needs to be considered over the long term.”
Also lowly weighted to the US are the popular Fidelity Wealthbuilder and Moneybuilder Global funds, which both have a 20 per cent weighting to the region, 34 percentage points behind the benchmark.
Source: FE Analytics
The £785m Wealthbuilder fund is the largest of the top 20 least weighted funds to the US, with the GAM Global Diversified fund, run by FE Alpha Manager Andrew C. Green, the second largest.
Four of the lowest weighted funds are run by FE Alpha Managers, Green’s Diversified fund, Kennox Strategic Value, run by Charles L. Heenan and Geoff Legg, David Gait and Nick Edgerton’s Stewart Investors Worldwide Sustainability and Tim Wood’s McInroy & Wood Smaller Companies, compared to just the one (Terry Smith’s Fundsmith) with a high weighting to the US market.