| Currency-hedged exchange traded funds have seen inflows surge over the past year as investors pile into products that aim to offer protection against volatile swings in the foreign exchange markets. While currency appreciation can add a boost to portfolio returns, movement in the opposite direction can lead to significant losses for investors that have failed to hedge their currency exposure.
Nizam Hamid, head of sales at WisdomTree Europe, says: “Recent talk of currency wars based on the devaluation of key currencies has reminded investors of the need to manage currency risk. “Having that built into a transparent and liquid ETF is a useful innovation,” he says...............................................Full Article: Source
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