International ETFs vs buying stocks in foreign currency?
There's some advice being given about buying foreign stocks with foreign currency as a hedge against an oncoming economic recession for the U.S. Why not invest in international ETFs or mutual funds?
Public Comments
- why not buy foreign currencies directly from the bank?
- somewhere you are getting VERY BAD advice. First of all the foreign currency fluciates by the minute. Second you need to find a broker that will allow you to do this to begin with (Etrade can). Third most foreign stock exchanges are way different than in the US. Fourth You have to know this company inside and out to even think about investing especially if they are located in a foreign country. Now then I DO invest in international ETF's (the one I currently have is CWI) and a mutual fund (CWGFX which will be sold at the end of the year because CWI has far lower expenses) there are plenty of others but CWI works for me (also i recommend VEU)
