Currency Hedging: A Tool to Reduce Risk

By Liqian Ren, Director of Modern Alpha Key Takeaways Currency hedging is crucial for mitigating risks in global investing by managing foreign exchange fluctuations while preserving equity exposure. Our dynamic currency-hedged ETFs have proven to reduce portfolio risk through factor-based strategies. The momentum factor’s increased weight in our currency model since 2023 has continued to [...] The post Currency Hedging: A Tool to Reduce Risk appeared first on ETF Trends .