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February 17, 2007


ETF to Watch — CurrencyShares Japanese Yen Trust (FXY)

The CurrencyShares Japanese Yen Trust started trading last week. There are now eight CurrencyShares ETFs:

  • Australian Dollar (FXA)
  • British Pound (FXB)
  • Canadian Dollar (FXC)
  • Euro (FXE)
  • Japanese Yen (FXY)
  • Mexican Peso (FXM)
  • Swedish Krona (FXS)
  • Swiss Franc (FXF)

None of these ETFs is very actively traded (even the Euro), but they’re still handy instruments for small investors to get easy access to foreign currencies.

“The Japanese yen is the national currency of Japan and the currency of the accounts of the Bank of Japan, the Japanese central bank. As of April 2004, average daily turnover of the Japanese yen in the foreign exchange market is the third-most-traded currency in the world, accounting for approximately 20% of global foreign exchange transactions. The USD/Japanese yen pair is the second-most-traded currency pair, accounting for approximately 17% of the global foreign exchange transactions.”

Source: Triennial Central Bank Survey, Bank for International Settlements, March 2005

FXY

3 Responses to “ETF to Watch — CurrencyShares Japanese Yen Trust (FXY)”

  1. jelena Kalacic said:

    I would like to know how I could invest in FXY ETF

  2. jelena Kalacic said:

    I would like to know how I could invest in FXY ETF.

  3. C. Maoxian said:

    jelena: If you have a brokerage account, you can invest in the FXY.

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