2024-05-06 11:10:00 ET
Summary
- Investors might be surprised by how well certain currency-hedged eurozone equity strategies did relative to the S&P 500 Index over the past three years.
- The WisdomTree Europe Hedged Equity Fund has performed strongly, particularly over the most recent three-year time frame.
- HEDJ has a higher weight in the Consumer Discretionary sector compared to the S&P 500 Index, which has a higher exposure to the Information Technology sector, helping to contextualize some of the structural difference between the U.S. and European equity markets.
- HEDJ has a lower valuation than the S&P 500 Index, with a lower estimated price-to-earnings ratio and a higher discount to estimated 2025 operating income.
By Christopher Gannatti, CFA
U.S. market leadership has been well established for much of the last 15 years, but it might surprise a number of readers to learn some European ETFs outperformed the U.S. over the last three years—so long as those ETFs employed a currency-hedged approach....
Read the full article on Seeking Alpha
For further details see:
Surprise: How A Europe-Focused ETF Beat The S&P 500 Over The Last Three Years