Absolute Return Currency Strategy

2025-05-28

Van Luu, Ph.D.

Director, Global Head of Solutions Strategy

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Learn how this strategy may add value to diversified portfolios and designed to deliver alpha and lower total portfolio risk.

Currency management is an often-overlooked aspect of multi-asset portfolio management. Some investors simply believe that it is a zero-sum game and therefore can be ignored. Others view it as difficult to access a cost-effective currency strategy that adds value. However, what is often unappreciated is that currency can present very attractive return characteristics, with little to no correlation to traditional asset classes. For this reason, investors can potentially add value by incorporating a currency strategy into their portfolio–a strategy specifically designed to deliver alpha and lower total portfolio risk.

In this paper, we highlight the value of adding an absolute return currency strategy to diversified portfolios. We explain:

How the Absolute Return Currency Strategy can benefit you and why it may the right time to consider this strategy.
The different ways you could incorporate the Absolute Return Currency Strategy into your portfolio.
Other bespoke ways you can gain access to the individual currency factors.

Russell Investments currency strategy brochure

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