Sentences with phrase «hedge against foreign currency»

Institutional investors such as banks, multinational corporations and central banks that need to hedge against foreign currency value fluctuations also hire forex traders.

Not exact matches

They may give you a way to invest in a particular foreign stock market — coupled, in many cases, with an arrangement that hedges against movements in the currency that foreign market trades in.

Remember, hedging helps Canadians during periods when the loonie strengthens against foreign currencies, so it was a big benefit from 2003 through 2007, and during many periods since 2009.

The loonie rose 6.6 per cent against the U.S. dollar over the past six months, as it does not hedge foreign currencies back to the Canadian dollar.

The purpose of currency swaps is to hedge against risk exposure associated with exchange rate fluctuations, ensure receipt of foreign monies, and to achieve better lending rates.

That said, our currency hedged Funds, Global Value Fund and Value Fund, were protected against most of the dilution to return caused by declining foreign currencies.

As a reminder, in the event that the dollar continues to strengthen against most major currencies, the forward currency contracts in our hedged funds, the Tweedy, Browne Global Value Fund and Tweedy, Browne Value Fund, should continue to provide significant protection against foreign currency declines.

When you invest in international or foreign mutual funds, your returns may or may not be hedged against currency movements — that would depend on how your mutual fund manager runs your fund.

They may give you a way to invest in a particular foreign stock market — coupled, in many cases, with an arrangement that hedges against movements in the foreign currency in which that foreign market carries on its trading.

During any period when the Canadian dollar rises in value (whether against the U.S. dollar or some other foreign currency), using ETFs with currency hedging will lead to higher returns in your foreign equity investments.

The Fund may attempt to hedge (protect) against currency risks using forward foreign currency exchange contracts where available and advantageous to the Fund.

In general, a substantial portion of the ETF's foreign currency exposure is hedged against the movement of the euro, Swiss franc, pound and so on against the Canadian dollar.

If the loonie moves up against several foreign currencies at once, hedging would offer a significant benefit.

For a 25 year term, annual returns of 7 %, currency - hedging lag of 1.5 %, one - way currency conversion cost of 1.5 %, we find that (no surprises here) not hedging is advantageous if the foreign currency appreciates or remains the same against the Canadian dollar.

Hedged ETFs invest in foreign stocks, but «hedge» against any movements in the foreign currencies.

By participating in derivative securities, the Fund may attempt to hedge (protect) against currency risk which is the risk that the value of foreign securities may be affected by changes in currency exchange rates.

During the year, mandates for our UK - based Dynamic Hedging clients performed as expected in terms of allowing clients to benefit from periods of strengthening foreign currencies, whilst being protected against periods of weakening foreign currencies.

Currency future contracts allow investors to hedge against foreign exchange risk.