WisdomTree Launches International Hedged Equity ETF

A press release said the exchange-traded fund (ETF) is designed to provide exposure to the non-U.S. equity securities in Europe, Far East Asia, and Australasia, while at the same time neutralizing currency movements in these regions versus the U.S. dollar.

“Traditionally when you invest in international markets you are taking on the currency exposure of those countries,” said Bruce Lavine, WisdomTree President & COO, in an announcement. “This currency exposure can be a significant component of your return: in a weak dollar environment foreign currencies can bolster returns while in a stronger dollar environment the opposite is true. Now through HEDJ, investors essentially have a choice of investing in foreign equities with or without currency exposure.”