hello all, been thinking of whether or not currency hedging is something that is worth paying for when investing in international markets (indexed). my current portfolio includes ishares for foreign exposure (IOO for S&P global 100 and IEM for emerging market index). non of the ishares are hedged. currency risk is a concern for me. proposed solution: divide my IOO portion in halves and invest one half in a hedged fund or ETF. the international portion will then look like this: 40% hedged int. index fund, 40% unhedged fund (IOO), 20% emerging market (also unhedged) idea is that the above will lower volatility without (hopefully) lowering the return of the portfolio. what do you reckon? esp. those are using ishares which make up more than 20% of their portfolio... are you concerned about currency risk? if no, why not? would love to hear your thoughts.... FYI, amongst retail options, i've only found one index fund that offers hedging - the Vanguard fund.