Strike out currency contract easily
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How to strike out currency contract
welcome to this Killick explains finance video this week how to deal with foreign currency risk as a UK investor now what is the risk well essentially as a UK investor investing overseas which is a good idea by the way youve got two problems one its called investment risk that is the fact that when you invest in say US dollars in America an American investment it could rise or fall in the local market but on top of that as a UK investor youve now introduced currency risk which you wouldnt have with the UK investment and thats the idea that the exchange rate between sterling and the dollar could move and that will affect your overall returns lets take a look at how and whether you want to do something about it now imagine youve got a thousand pounds to invest and you decide not to invest in the UK you invest it in the US markets youll need to translate it into dollars first and lets take an exchange rate of one pound - one dollar fifty that gives you fifteen hundred dollars to
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