Darien

soddy1979 Wrote:
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> All three can be used to hedge (albeit 1 & 2 will
> be less effective). High beta stocks and high
> duration bonds will expose the investor to macro
> economic factors in the local market.


So you are long the USD, you want to have a trade that makes you neutral- you want to short the USD forward. # 1 and # 2 will get you further long the USD.