Asset quality trumps hedging cost in volatile currencies

Correlation of currency and underlying asset militates against hedging

market volatility

Underlying asset quality is a more important consideration than the cost of hedging foreign exchange risk when investors look to deploy cash in economies with volatile currencies, according to Jeffrey Yap, chief investment officer for Hong Kong-based hedge fund Ark One.

Yap was speaking on a panel discussion at the FX Invest Asia conference, held in Hong Kong yesterday, and was responding to a question on the merits of investors hedging out the forex risk for volatile currencies, such as the Ind

To continue reading...

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: