# Invesco CurrencyShares Canadian Dollar Trust > Clarifo company profile — qualitative business description generated from > the company's filings. Financial statements, charts and ratios are > available on Clarifo (https://www.clarifo.com/fi/companies/Invesco CurrencyShares Canadian Dollar Trust). ## Overview Invesco CurrencyShares Canadian Dollar Trust is a grantor trust that holds Canadian dollars and issues exchange-traded shares designed to track the U.S. dollar value of the Canadian dollar, less trust expenses. It gives investors a simple way to gain CAD exposure through a listed security without using derivatives or actively managing a currency position. ## Products & services • Exchange-traded shares backed by Canadian dollars • CAD/USD currency exposure through NYSE Arca-listed FXC shares • Basket creation and redemption in 50,000-share blocks • Daily NAV and holdings publication • Passive currency holding vehicle with no derivatives - **Exchange-traded currency trust shares** (100%) — Listed shares that represent a proportional interest in Canadian dollars held by the trust. - Exchange-traded shares backed by Canadian dollars - CAD/USD currency exposure through NYSE Arca-listed FXC shares - Basket creation and redemption in 50,000-share blocks - Daily NAV and holdings publication - Passive currency holding vehicle with no derivatives ## Customers The trust is bought by institutional and retail investors that want direct Canadian dollar exposure in a brokerage account. It is used by investors seeking currency diversification, tactical CAD positioning, or a liquid proxy for holding Canadian dollars without opening foreign currency accounts. Authorized participants and market makers also interact with the trust through basket creation and redemption. - **Retail investors** (primary) — Buy listed shares for convenient Canadian dollar exposure in a securities account. - **Institutional investors** (primary) — Use the trust for tactical currency positioning, diversification, or hedging. - **Authorized participants** (secondary) — Create and redeem 50,000-share baskets to keep share price aligned with NAV. - **Market makers and trading desks** (secondary) — Provide liquidity and arbitrage the spread between market price and NAV. - Retail investors seeking simple CAD exposure - Institutional investors hedging or speculating on CAD moves - Brokerage and ETF traders using listed FXC shares - Authorized participants creating and redeeming baskets - Market makers providing liquidity in the listed shares ## Geography The trust is organized in the United States and its shares trade on NYSE Arca, but the economic exposure is to Canada through Canadian dollar holdings. Its valuation references the CAD/USD exchange rate, so performance is driven by Canadian and U.S. macro conditions rather than operating geography. The trust’s service providers include U.S.-based and London-based institutions for administration, custody, and pricing. - **United States** (100%) — Trust domicile, listing venue, and administration are U.S.-based. - U.S.-listed on NYSE Arca under ticker FXC - Economic exposure is to the Canadian dollar and CAD/USD rate - Trust is formed and administered in the United States - Depository account is maintained through JPMorgan Chase Bank, London Branch - Pricing uses WM Company London fixing for CAD/USD ## Strategy The trust’s strategy is to remain a passive, low-friction vehicle that closely tracks the U.S. dollar value of the Canadian dollar plus accrued interest, less expenses. It relies on transparent daily NAV publication, basket creation/redemption, and no derivative usage to keep the product simple and investable. The sponsor’s role is mainly operational: maintaining the listing, service providers, and expense structure that support tracking quality and liquidity. - **Maintain tight tracking to CAD/USD** (short-term) — The product value proposition depends on minimizing tracking error versus the Canadian dollar. - **Preserve liquidity and tradability** (short-term) — Investors need an efficient listed proxy that can be bought and sold like a stock. - **Keep the structure simple and transparent** (medium-term) — A passive, no-derivatives design reduces complexity and makes the trust easier to use. - Track CAD/USD as closely as possible after expenses - Keep the structure passive and derivative-free - Support liquidity through basket creation and redemption - Publish daily NAV and holdings for transparency - Maintain low operational complexity and simple investor access ## Risks The main risk is that the trust’s share price moves with the Canadian dollar, so currency volatility directly affects investor returns. Because the trust depends on third-party service providers and market infrastructure, operational or cyber disruptions could impair creations, redemptions, or NAV publication. Macro factors such as interest rates, energy prices, tariffs, geopolitical events, and official-sector currency sales can all move CAD/USD and create tracking and liquidity pressure. - **Canadian dollar depreciation** [high] — The trust is designed to reflect CAD value, so a weaker Canadian dollar lowers share value. - **Foreign exchange volatility** [high] — Currency markets can move sharply on rates, inflation, oil prices, and macro sentiment. - **Operational and cyber risk at service providers** [medium] — The trust relies on the trustee, sponsor, depository, and market infrastructure to function. - **Geopolitical and trade-policy shocks** [medium] — Tariffs, conflicts, and policy changes can alter FX flows and risk appetite. - CAD/USD volatility directly drives share price moves - Interest rate and energy-price shifts can weaken or strengthen CAD - Third-party operational or cyber failures could disrupt creations/redemptions - Tariffs and geopolitical shocks can increase FX volatility - Official-sector selling of Canadian dollars could pressure the currency ## Accounting The trust’s accounting is dominated by fair-value style measurement of Canadian dollar holdings and daily NAV calculation using the CAD/USD closing spot rate. Interest income on the deposit accounts, sponsor fees, and other trust expenses determine whether the trust reports net comprehensive income or loss, so small changes in rates and fees can matter. Because the trust is a grantor trust with Canadian dollars as its functional currency, foreign currency translation and valuation timing are central to reported results. - **Daily fair value/NAV measurement** — Affects share valuation and reported trust assets/liabilities - **Sponsor fee accrual** — Directly lowers net comprehensive income - **Interest income and deposit rates** — Can swing the trust between net income and net loss - **Foreign currency translation** — Affects presentation of results and valuation - Daily NAV uses the CAD/USD closing spot rate - Interest income on deposits affects net comprehensive income or loss - Sponsor fee accrues daily at 0.40% annual rate - Functional currency is the Canadian dollar - No derivatives means no hedge accounting complexity --- *Last updated: 2026-04-28T20:18:03.627399+00:00*