“We think Europe has large opportunities for strong earnings growth,” Kubie said.
Consequently, investors can consider investment strategies like the db X-Trackers MSCI Europe Hedged Equity Fund (NYSEArca: DBEU), which provides exposure to European markets while hedging against a depreciating currency. DBEU tracks 16 developed European stock markets, including Austria, Belgium, Denmark, Finland, France, Germany, Greece, Ireland, Italy, the Netherlands, Norway, Portugal, Spain, Sweden, Switzerland and the United Kingdom.
DBEU debuted in October 2013 and has already attracted $191 million in assets under management. DBEU and other Europe-related ETFs could continue to gain assets as many investors are still looking into the market. On a survey of financial advisors conducted by ETF Trends and RIA Database, the majority of respondents revealed that they are still researching the investment idea before jumping in.
For more information on Europe, visit our Europe category.
Financial advisors who are interested in learning more about hedging currency risk with European equity exposure can view the webcast on demand.