What this ETF is trying to do

The iShares Currency Hedged MSCI Eurozone ETF (HEZU) is designed to give investors exposure to companies in the Eurozone. A key part of this ETF is "currency hedging." This means the fund tries to reduce the impact that changes in the exchange rate between the Euro and the U.S. Dollar have on the investment.

What the numbers show

As of October 9, 2026, the share price is $48.05. The fund has seen growth over several timeframes:

• Year-to-Date: The price return is approximately 9.80%, while the total return is approximately 11.68%.

• One Year: The price return is approximately 12.23%, and the total return is approximately 15.24%.

• Three Years: The price return is approximately 58.01%, and the total return is approximately 71.66%.

Price Return vs. Total Return: It is important to know the difference. Price return only measures how much the share price went up or down. Total return is a broader measure that includes both the share-price change and the distributions paid out to investors.

For example, the estimated price from roughly one year ago was $42.82. If an investor had put $10,000 into the ETF based on that estimated price, the price-only increase of 12.23% would have grown that amount to approximately $11,223 (before considering distributions).

Income and Distribution Explanation

This ETF pays out cash distributions. Its distribution yield is approximately 2.62%. Over the last 12 months, it has made two payouts. The frequency of these payments is described as irregular or less frequent.

Investors should remember that a distribution yield is not the same as a total return. A high yield provides cash income, but it does not guarantee that the original investment value will stay the same or grow.

NAV Erosion Explanation

"NAV erosion" happens when the net asset value of a fund declines over time, which can lead to a falling share price. StockValueFinder uses an erosion-risk score to measure this.

HEZU has an erosion score of 100, and the erosion label states "No price erosion detected." The erosion severity is rated as "good," and there is no severe erosion-risk flag for this fund.

Top Holdings

As of October 11, 2026, the fund's portfolio includes:

• iShares MSCI Eurozone ETF (EZU): 99.90%

• EUR/USD Purchased: 3.07%

• Cash Offset: 2.42%

• BlackRock Cash Funds Treasury SL Agency: 0.04%

Pros

• Strong total returns over one-year and three-year periods.

• No detected price erosion according to the erosion-risk score.

• Provides a way to invest in the Eurozone while hedging currency risk.

Cons

• Distributions are irregular and less frequent.

• The distribution yield is relatively low compared to some income-focused funds.

Beginner Takeaway

HEZU is an ETF for those who want to invest in Eurozone stocks without worrying as much about the Euro/Dollar exchange rate. It has shown strong price and total returns over the last three years and currently shows no signs of NAV erosion.