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Direct and Indirect Investment for International Diversification

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Cost of Currency: Swiss Example<br />

Investors’ gain/loss of investing abroad (capital only) per annum<br />

Country of <strong>Investment</strong><br />

/ Number of Years<br />

1<br />

3<br />

5<br />

10<br />

15<br />

Eurol<strong>and</strong><br />

0.2%<br />

-0.4%<br />

0.8%<br />

0.4%<br />

1.0%<br />

USA<br />

-11.3%<br />

-9.3%<br />

-3.6%<br />

-0.2%<br />

-1.9%<br />

UK<br />

-2.9%<br />

1.6%<br />

1.3%<br />

-1.4%<br />

1.0%<br />

Source: LaSalle <strong>Investment</strong> Management; DataStream. As at 25th August 2004.

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