Merk offers Currency Overlay to U.S. Equities

Axel Merk

Merk Investments, manager of the Merk Funds, has announced the launch of the Merk Currency Enhanced U.S. Equity Fund (MUSFX). The no-load mutual fund seeks to outperform the S&P 500 Index by managing the U.S. Dollar and other currency exposures inherent in U.S. equity investments. The fund employs a Currency Overlay on top of the S&P Index, seeking to improve risk adjusted equity returns.

"Investors have huge exposure to the U.S. dollar and are therefore susceptible to the U.S. dollar risk," explains Axel Merk, president and CIO of Merk Investments. "We are applying our currency expertise in an innovative way, providing investors with the opportunity to manage the currency risk of their U.S. equity investments, regardless of the direction of the U.S. dollar." Peter Moeller, Merk's Director of Distribution adds: "Managed currency exposure may be useful in enhancing equity returns while guarding against erosion of purchasing power."