This is the final part of my series on hedging currency risk. I decided to go through how I decide on whether I want to hedge or not. For me I don’t automatically hedge, instead I choose whether to take on the risk or not based on analysis.
Part 3 of my mini series on hedging currency risk. Here I show the results of the three hedges I put on, and decide which one performed the best.
In the first part of this series I talked about the various options for a small time investor to hedge currency. In this second part I will say how I intend to test these against each other and detail the exact transactions I have performed.
In part 1 of this series I look at the options available to investors for hedging currency risk and how I plan to find out which is best.