Based on your financial expertise, provide your response or viewpoint on the given financial question or topic. The response format is open.

If I invest in securities denominated in a foreign currency, should I hedge my currency risk?
As the other answer already states, whether you should or shouldn't currency-hedge your equity investments depends on a lot of factors. If you decide to do so, depending on your investment vehicles, there might be a more cost-efficient way than arranging a separate futures contract with a bank: If you are open to (or are already investing in) ETFs, there are currency-hedged versions of some popular ETFs. These are hedged against the currency risk for a specific currency; for example, if you are buying in (and expecting to sell for) USD, you would buy an ETF hedged to USD. Of course they have a higher expense ratio than non-hedged ETFs since the costs of the necessary contracts are included in the expenses.