Rydex Hopes Investors Have a Yen for a New ETF

Shares of the first yen-based exchange traded fund (ETF) have begun trading on the New York Stock Exchange.
According to Rydex Investments, the firm’s new CurrencyShares Japanese Yen Trust (ticker: FXY) tracks the daily price movement of its underlying currency, with shares of the trust representing approximately 10,000 yen.
One of eight currency-based ETFs sponsored by Rydex, CurrencyShares Japanese Yen Trust seeks to provide investors with a convenient and cost-effective way to gain exposure to the currency markets, according to a press release.
Along with the potential diversification benefits of currency as an asset class, the yen-based ETF provides investors with exposure to one of the world’s leading currencies. The Japanese yen, when paired with the U.S. dollar, accounts for approximately 17% of global foreign exchange transactions with an average daily turnover of approximately $296 billion.
Joining the Family
The launch of CurrencyShares Japanese Yen Trust complements Rydex’s existing lineup of currency-based ETFs, which have collectively garnered more than $1 billion in assets in less than a year, according to the firm.
The Bank of New York (NYSE: BK) is the trustee of the trust and JPMorgan Worldwide Securities Services (NYSE: JPM) is the depository for the trust.
More information is available at http://www.rydexfunds.com/pdf/FXY-Prosp.pdf