Keith and his wife, Emilia, own their own business in Oregon, and their daughter, Isabel, is currently attending the University of Oxford in England. Working with their JPM Morgan team, the family recently realized their goal of buying a vacation home in Spain near to Emilia’s family and hometown, where they eventually plan to retire.
In a recent review with their JPM team, Keith and Emilia’s advisor, Sarah, discussed adjusting their portfolio to reflect a more global perspective. Sarah advised that the couple diversify the currency exposure within their portfolio to ensure they wouldn't be exposed to an unexpected decline in the value of the dollar, given they had liabilities in other currencies such as euros and British pounds. After all, Sarah advised, similar to not investing all equity allocations in a single stock, all currency in their portfolio shouldn’t necessarily be U.S. dollars. Diversifying their currencies could help to lower risk and, perhaps, along with J.P. Morgan’s help, even generate alpha.
Their JPM team identified the most appropriate currencies to include in their portfolio, and will continue to monitor their investments.