The presidential election has been a sharp reminder for many investors of
why currency exposure can be a blessing or a curse.
Not exact matches
That's
why we generally don't separate the asset class
exposure from the
currency exposure.
It's important for investors to consider their appetite for
currency exposure prior to investing in an ETF with a foreign investment mandate, rather than after they've owned it and have found themselves wondering
why their experience is different than what they had expected (given the performance of the market).
This difference in
currency exposure explains
why XIN outperformed the TD International Index Fund by over 2.5 % during the last 12 months.
I agree predicting
currency movements over 30 + yeas is impossible, which is
why I've tried to structure the portfolio so as to get both CAD and USD
exposure under US equity / Int» l Equity / EM equity.