There are several currency ETFs. Basically let you bet on them if they move up against Dollar. Or you short them to get the reverse. It's a simple and safe way to play currency.
- FXE. Euro. This is the first one and with about 1B asset, the largest currency ETF. Yield is 3.28%.
- FXY. Japan's Yen. Yield is 0%. That is, return is negative if Yen is flat against Dollar since you pay the 0.4% fees.
- FXC. The Canada's dollar. Yield is 3.78%.
- FXA. Australia's dollar. Yield is 5.73%.
- FXB. British Pound. Yield is 4.95%.
- FXM. Mexican Peso. Yield is 6.28%.
- FXF. Swiss Franc. Yield is 1.25%.
Out of these 7, I like FXA and FXC, to bet on commodities to go higher, which will benefit these two countries currency. Another way to play them is to buy country's ETF, like EWA and EWC.
