Weaker Yen Gives Japanese Equity ETFs A Chance In 2013

January 02, 2013


Investors may want to start getting exposure to the weakened Japanese yen now, as it is on the path toward recover, and recent purchases of Japan-focused ETFs by Goldman Sachs support that notion, according to an article on ETF Trends.

Japan’s new government, led by Prime Minister Shinzo Abe, has set ending deflation and further weakening of the yen as its top priorities, but it will take some time before the yen’s weakness begins to run its course, writes ETF Trends.

One popular choice for yen exposure, the Guggenheim CurrencyShares Japanese Yen Trust (NYSEArca: FXY), lost close to 10 percent in 2012.

Also, the WisdomTree Japan Hedge Equity ETF (NYSEArca: DXJ) and the DB-X MSCI Japan Currency Hedged Equity Fund (NYSEArca: DBJP) provide investors with exposure to the Japanese equity market while avoiding yen’s movements against the dollar, according to the article.

For the full story, head over to ETFtrends.com.

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