Freshly launched ETF products aim for international exposure and limited risk
Vanguard Investments has launched two new low-cost, currency-hedged ETFs: the Vanguard FTSE Developed Asia Pacific All Cap Index ETF (CAD-hedged) and the Vanguard FTSE Developed Europe All Cap Index ETF (CAD-hedged).
The new ETFs provide currency-hedged exposure to investors for Asia-Pacific and European markets. They will both follow all-capitalization benchmarks, including large-, mid-, and small-capitalization stocks.
"Many investors and advisors are looking for global diversification while limiting foreign currency risk. These ETFs, which are also available in an unhedged equivalent, are designed to meet that demand, within an all-cap approach," said Atul Tiwari, managing director for Vanguard Investments Canada Inc. "This diversified exposure, at a low cost, can enhance flexibility in managing currency fluctuations."
The Vanguard FTSE Developed Asia Pacific All Cap Index (CAD-hedged) ETF, which trades under the symbol VAH, tracks the performance of developed Asia Pacific markets through a broad Asia Pacific equity index. The Vanguard FTSE Developed Europe All Cap Index (CAD-hedged) ETF, which trades under the symbol VEH, aims to reflect the performance of developed European markets via a broad European equity index.
Both ETFs have been developed to complement two non-hedged equivalents, VA and VE. The company’s most recent launch brings its suite of ETF offerings up to 29, with over $9 billion in assets under management.
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The new ETFs provide currency-hedged exposure to investors for Asia-Pacific and European markets. They will both follow all-capitalization benchmarks, including large-, mid-, and small-capitalization stocks.
"Many investors and advisors are looking for global diversification while limiting foreign currency risk. These ETFs, which are also available in an unhedged equivalent, are designed to meet that demand, within an all-cap approach," said Atul Tiwari, managing director for Vanguard Investments Canada Inc. "This diversified exposure, at a low cost, can enhance flexibility in managing currency fluctuations."
The Vanguard FTSE Developed Asia Pacific All Cap Index (CAD-hedged) ETF, which trades under the symbol VAH, tracks the performance of developed Asia Pacific markets through a broad Asia Pacific equity index. The Vanguard FTSE Developed Europe All Cap Index (CAD-hedged) ETF, which trades under the symbol VEH, aims to reflect the performance of developed European markets via a broad European equity index.
Both ETFs have been developed to complement two non-hedged equivalents, VA and VE. The company’s most recent launch brings its suite of ETF offerings up to 29, with over $9 billion in assets under management.
Related stories:
Vanguard unveil first actively managed ETFs in Canada
Currency-hedged emerging market ETF announced
