How should investors think about investing in Israel using dollar-denominated products?
DF: I have never felt that buying a non-dollar ETF was a good way to invest in another country’s currency. There would only be marginal benefits/detriments for using an “equity” based ETF for this purpose. A bond ETF denominated in another currency could produce more benefits given the high income stream from a rising currency. Van Eck has recently launched Chinese RMB and India Rupee ETFs which should prove popular at some point. Rydex has a half dozen or so currency ETFs available and Deutsche Bank through PowerShares has dollar index ETFs. All of which we use for our subscribers. Thanks, Dave. DF: Thanks for letting me participate.
