The Need for Currency Hedging in a Volatile World

The average currency return of 5% p.a. represents in the order of 47% of the average local equity return (10.4% p.a.) or 32% of the average total MSCI World Ex-Australia (Unhedged) Index return of 15.4%. Presented in this context, one can certainly appreciate the importance of the currency hedging decision. ................
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