With foreign stock mutual funds delivering an average 12.7% gain over the past three years versus 4.9% for domestic stock funds, more investors are investing in international funds, which is depressing the U.S. dollar even further, The Wall Street Journal reports.

A big factor driving those gains has been a 30% decline in the U.S. dollar in that time. While currency swings are hard to predict, many experts believe the United States' large budget and trade deficits will weigh down the greenback for some time to come.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.