With inflows of $62 million since last Friday, HEWJ is now a $107.3 million ETF, making it one of the more successful new ETFs to come to market this year. [Another Strong Year for New ETFs]
The bulk of those inflows to HEWJ came Wednesday when $52 million flowed into the fund. Last Friday. USD/JPY was around 109 and the move to 115 has stoked a rally of 4% for HEWJ. HEWJ is the latest case study in the advantages of currency hedged ETFs, an asset class that has gained significant momentum in 2014 as BOJ expands its easing efforts and the European Central Bank attempts to take the easing torch from the Federal Reserve.
Japanese stocks surged 57% last year as USD/JPY surged, but U.S. investors that were not protected from the yen’s tumble gained just 27% for the year, according to iShares.
iShares Currency Hedged MSCI Japan ETF
