05.05.2015 - 2015’s Hottest ETFs Share Currency Hedges
The WisdomTree Europe Hedged Equity ETF and the Deutsche X-trackers MSCI EAFE Hedged Equity ETF are the most popular ETFs year-to-date, gathering a combined $22 billion in fresh net assets so far. That’s roughly $1 of every $3 finding its way into the ETF market this year. Behind that enormous investor appetite for these two funds is concern that the dollar strength in the past few years risks wrecking returns for U.S. investors who own international equities funds. The problem has been thorniest for U.S. investors interested in value plays in the downtrodden eurozone. After all, the euro has slid 7 percent so far this year, and by nearly a fifth in the past year. Owning a fund like HEDJ that peels out this currency cross has saved U.S. investors a lot of pain...............................................Full Article: Source
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