I live in India, and want to diversify into the foreign equity market, via a mutual fund offered in India. But I don't want to take on the currency risk. In some countries, funds are offered that hedge the forex risk, so you can assume that the FX rate remains the same as it was on the day of investment. But I couldn't find any such fund in India. Are there any?
And, even if it exists, how safe are they? Have there been cases where people got a worse exchange rate than was promised, when they liquidated their investments years or decades down the line, because of counterparty risk?
This is not a solicitation for a product or service recommendation. I'm not asking, "Which fund should I use?" Rather, I'm asking if such a fund even exists in India.