The Federal Reserve did not do U.S. dollar bulls any favors earlier this month when the central bank passed on raising interest rates, but investors should not be hasty in writing obituaries for currency-hedged funds.
Led by the WisdomTree Europe Hedged Equity Fund (NYSE: HEDJ) and the Deutsche X-trackers MSCI EAFE Hedged Equity ETF (NYSE: DBEF), currency-hedged ETFs have been gathering assets at breakneck speed this year. Year-to-date, HEDJ and DBEF have added $15.5 billion and nearly $13.1 billion, respectively, in new assets.
Predictably, the asset-gathering proficiency of those ETFs and others has been a magnet for critics and scare tactics. Intrepid investors and money managers are ignoring those clarion calls as highlighted by the more than $2 billion in assets added by DBEF in the current quarter. That makes DBEF, the currency-hedged answer to the widely followed MSCI EAFE Index, this quarter's top asset-gathering ...
/www.benzinga.com/trading-ideas/long-ideas/15/09/5867634/the-currency-hedged-etf-love-affair-continues alt=The Currency-Hedged ETF Love Affair Continues>Full story available on Benzinga.com
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