JP Morgan Asset Management has launched a pound sterling-hedged share class for its European-domiciled US Treasury bond ETF. The JPM BetaBuilders US Treasury Bond UCITS ETF – GBP Hedged (BBTP LN) has listed on London Stock Exchange and comes with a total expense ratio (TER) of 0.10%, the same price tag as its unhedged counterpart. Mike Bell, Global Market Strategist at JP Morgan Asset Management, said, “For UK investors thinking about incorporating US government bond exposure, they may want to consider hedging the currency risk, given the uncertainty around the outlook for sterling against the dollar.”

WisdomTree has made changes to two dynamic currency-hedged ETFs that provide exposure to the equity markets of Europe and Japan. Effective immediately, the WisdomTree Dynamic Currency Hedged Europe Equity Fund (DDEZ US) and WisdomTree Dynamic Currency Hedged Japan Equity Fund (DDJP US) will switch from passive to active funds and will adopt a multifactor security selection approach. “WisdomTree’s Modern Alpha approach to multifactor investing is designed to provide higher alpha potential with lower volatility and all the benefits of the ETF structure,” said Jeremy Schwartz, Global Head of Research at WisdomTree.

UBS Asset Management has launched the UBS Bloomberg Barclays TIPS 10+ UCITS (hedged to GBP) A-dis on London Stock Exchange (T10G LN) and SIX Swiss Exchange (TIP10G SW). The ETF provides sterling-hedged exposure to long-duration US Treasury Inflation Protected Securities (TIPS). Andrew Walsh, Head of Passive and ETF Specialist Sales UK & Ireland, said: “We are very pleased to expand our fixed income offering to include a fund which helps our clients achieve a targeted exposure to long-duration US TIPS coupled with the benefits of GBP-hedging.”

State Street Global Advisors has introduced a euro-hedged share class for its SPDR S&P 500 ETF on Deutsche Borse and Borsa Italiana. With a total expense ratio of just 0.12%, the SPDR S&P 500 EUR Hdg UCITS ETF becomes the lowest cost euro-hedged S&P 500 ETF in Europe. Antoine Lesne, head of SPDR ETF Research & Strategy EMEA at State Street, suggests that, henceforth, “European investors may be better off hedging their S&P 500 exposure using a EUR hedged index.”

JP Morgan Asset Management has introduced GBP and EUR currency-hedged share classes for its long-short and managed futures ETFs. Bryon Lake, International Head of ETFs at JPMAM, said, “Currency hedging can help investors mitigate the impact of foreign exchange movements on their investment returns. Having access to home currencies, via these currency-hedged share classes, should help clients meet both their operational and/or legal requirements.”

BlackRock has launched the iShares Nasdaq 100 UCITS ETF EUR Hedged (NQSE GY) on Xetra, offering currency-hedged exposure to the well-known Nasdaq 100 Index.

WisdomTree has introduced a medley of currency-hedged share classes on the London Stock Exchange, Xetra and Borsa Italiana for its WisdomTree AT1 CoCo Bond UCITS ETF. The new share classes offer a degree of exchange rate risk mitigation between the currency denomination of fund’s underlying holdings and the base currency of the share class – US dollars, pound sterling, or euros.

WisdomTree has introduced a new currency-hedged share classes for its WisdomTree Enhanced Commodity UCITS ETF. The new share classes help to mitigate currency risk between the US dollar-denominated futures contracts and the euro or pound sterling.

State Street Global Advisors has introduced euro and Swiss franc currency-hedged share classes for its global convertible bond ETF on Borsa Italiana, SIX Swiss Exchange and Deutsche Börse.

Nikko Asset Management is set to list a new ETF on Tokyo Stock Exchange that will provide exposure to the S&P 500 Index while hedging currency exposure between the yen and the US dollar.