Q: In the last 12 months, the canadian dollar has fallen on average about 72 cents to now under 70 cents approximately, therefore if I understood the hedge vs unhedged issue correctly, VSP should have outperformed VFV. it looks like the complete opposite in 1 year returns. Why is that ?
5i Research Answer:
VFV is unhedged while VSP is hedged, and both are denominated in CAD.
Since VSP is hedged, it...
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in VFV.