Investors who are mainly invested in the domestic market are missing out on the benefits of diversification and exposure to faster-growing economies and sectors, top fund managers say.

Global share market indices have significantly outperformed the local share market year-to-date. The MSCI All Country World Index is up around 14.3 per cent, the US S&P 500 is up 18.9 per cent and the Nasdaq 100 is up a whopping 37 per cent.