BetaShares Capital Limited (BetaShares) today listed Australia's first currency ETF on the Australian Securities Exchange (ASX).
Trading under the ASX Code 'USD', BetaShares U.S. Dollar ETF tracks the performance of the U.S. dollar (US$) relative to the Australian dollar (A$).
The new ETF employs a simple, transparent and highly cost-effective structure, with the assets of the fund consisting of US dollars held in a bank account with JP Morgan Chase Bank.
The launch comes at a time of historic strength for the A$, which is currently trading at about 40% above its long run average value, and the ETF should appeal to investors looking for a simple way to capitalise on any potential weakening in the A$ relative to the US. For example, if the US$ goes up 10% against the A$ (i.e., if the A$ falls in value by 10%), the price of the ETF should go up 10% too.
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| BetaShares_launches_Australias_currency_ETF_FINAL.pdf | 196.59 KB |
