HSBC Holdings plc ADRhedged (HSBH)

HSBC Holdings plc ADRhedged (HSBH) is an exchange-traded fund that offers exposure to HSBC Holdings, the London-headquartered global banking and financial services group with major operations in the United Kingdom and Hong Kong, while reducing the effect of foreign currency movements.

The fund holds HSBC American depositary receipts and pairs them with currency hedges, typically short forward contracts, designed to offset fluctuations between the U.S. dollar and the currency in which HSBC's home shares trade. The result aims to track the bank's share price in local currency terms rather than including currency gains or losses.

HSBH belongs to the ADRhedged series sponsored by Precidian Investments. Since it is built around a single company, the fund is not diversified.