2024-04-07 15:30:00 ET
Summary
- International investing is recommended due to the extreme outperformance of the US market, but currency risk is a major challenge.
- The WisdomTree International Hedged Quality Dividend Growth Fund (IHDG) is a good option to mitigate currency risk and gain exposure to international developed market companies.
- IHDG offers diversification, focuses on quality companies, and has a currency hedging strategy, but it comes with additional costs and has significant exposure to Europe.
I continue to stress that international investing makes a lot of sense at this point in the cycle given how extreme US outperformance has been for a number of years. The challenge with international equities of course is assessing risks when you don't live in those countries you're considering exposure in. One of those major risks is currency. Fortunately, there are ETFs that can at least take that risk largely off the table. That's one reason why it's worth considering the WisdomTree International Hedged Quality Dividend Growth Fund ( IHDG ). IHDG is an Exchange Traded Fund that seeks to track the price and yield performance, before fees and expenses, of the WisdomTree International Hedged Quality Dividend Growth Index. The fund provides investors with exposure to international developed market companies while mitigating exposure to fluctuations between the value of foreign currencies and the U.S. dollar....
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For further details see:
IDHG: A Good International Currency Hedged Fund