Cybersecurity
Chief Paranoia Officers Aren't so Sure About Those Euro Hedges
There's no guaranteed way to hedge currency risk
Mixed denomination currency banknotes, including euros, bottom right, and sterling, left, are seen in a cash register at a Travelex store in London.
Simon Dawson/BloombergThis article is for subscribers only.
Here's a type of chart you rarely see outside of penny-stock scams and maybe TV news-channel ratings when a llama chase is unfolding live:
The graph shows the number of shares outstanding in the WisdomTree Europe Hedged Equity Fund, an ETF that aims to give investors the returns from European stocks without all the risk from the euro currency. So, in other words, investors really, really, really want to hedge against the euro, causing the ETF to increase shares outstanding by more than 250,000 percent.