Q: Hello,
I have approx 25% of my portfolio in my US$ account and those funds will remain in US$ for the long term. When the CAD$ strengthens vs the US$, my overall portfolio balance drops as a result of this.
Are you aware of an ETF or other product that would protect my overall portfolio balance and act as a hedge from a strong resurgence in the CAD$ to more or less prevent losses simply as a result of the CAD$ going up in value? Also, if there is such a product, how much would I need to buy to cover 25% US$ balance?
Conversely, is there a pairs trade that you could suggest that would keep my accounts balanced at the current levels regardless of which way the Cad$/US$ goes? Again, is there a percent amount of my overall portfolio balance that I would need for each of these to more or less keep me revenue neutral and not have to worry about currency fluctuations?
Thank you.
I have approx 25% of my portfolio in my US$ account and those funds will remain in US$ for the long term. When the CAD$ strengthens vs the US$, my overall portfolio balance drops as a result of this.
Are you aware of an ETF or other product that would protect my overall portfolio balance and act as a hedge from a strong resurgence in the CAD$ to more or less prevent losses simply as a result of the CAD$ going up in value? Also, if there is such a product, how much would I need to buy to cover 25% US$ balance?
Conversely, is there a pairs trade that you could suggest that would keep my accounts balanced at the current levels regardless of which way the Cad$/US$ goes? Again, is there a percent amount of my overall portfolio balance that I would need for each of these to more or less keep me revenue neutral and not have to worry about currency fluctuations?
Thank you.