HEZU Profile
The iShares Currency Hedged MSCI Eurozone ETF is designed to provide investors with targeted exposure to the equity markets of the Eurozone while mitigating currency risk. The fund generally invests at least 80% of its assets in the component securities of the MSCI Eurozone Index, which represents a broad array of large and mid-capitalization companies based in Eurozone countries. These investments are selected to reflect the economic characteristics of the index's constituent securities, ensuring alignment with the performance and sectoral composition of the benchmark.
In addition to direct investments in the index's component securities, the fund may allocate up to 20% of its assets in various financial instruments such as futures, options, and swap contracts. This allocation includes derivatives and other financial instruments that help achieve the fund's investment objectives, particularly in managing currency risk associated with fluctuations between the Euro and other currencies. The fund also invests in cash and cash equivalents to manage liquidity and operational needs.
The iShares Currency Hedged MSCI Eurozone ETF is managed with a focus on minimizing the impact of currency fluctuations on the fund's performance. By employing a currency hedging strategy, the fund aims to reduce the effects of exchange rate volatility between the Euro and the U.S. dollar, providing investors with returns that are more closely correlated to the performance of the underlying equity index rather than currency movements.
Managed by iShares, a leading provider of exchange-traded funds, the iShares Currency Hedged MSCI Eurozone ETF leverages the firm's expertise in global equity markets and currency management. This ETF is designed for investors seeking to gain exposure to Eurozone equities while mitigating currency risk, offering a strategic investment solution that aligns with the broader goals of portfolio diversification and risk management.
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