UK Funds vs US Funds

mike88

"................................if retail investors really know they are taking on ccy risk." Surely that must be obvious to most investors. But even if it isn't the risk could also mean an additional source of gain depending how the pound performs against other currencies.

bigadaj

Currency variations are certainly soemthing that plays on my mind when investing, was one reason for avoiding Europe for many years due to an overly strong euro, which concerned me as much as the piigs, differing economic strength across countries, the lack of a single strong political and economic managing body etc.

I've also not fully understood why so many people are so obsessed with hedging when investing across the world, it might reduce your volatility and risk but like any insurance you're paying a premium, and that premium is sufficient to allay risks evident to people with far more time, expertise and specialist knowledge than I might have, which suggests that I'm probably overpaying for it.