If you buy a share in your local market, assessing your performance is easy. If the price goes up, you make money. If you buy shares in other markets, however, it’s more complicated. You have to consider exchange rates.
Speaking on the sidelines of the 2018 Allan Gray Investment Summit, Dan Brocklebank, UK Director of Orbis Investments, explains the role of currency when investing offshore and how Orbis, Allan Gray’s offshore partner, uses currency hedging to manage risk.