The February issue of Insight examines the mutual funds industry from the perspective of foreign diversification. For the past several years, international and U.S. equity funds have faced a challenging sales environment. But while some foreign fund sponsors have been left on the sidelines, others have managed to thrive. Using the extensive flow information in our Insight databases, we look for signs of change in the sales pattern of foreign funds. Are foreign funds poised for a comeback? And if they are, who are the players likely to take advantage of this opportunity when it arises?