Exchange Traded Funds (ETFs) come in so many flavors these days that itâ€™s hard to keep track of them all. I really like them because it gives the average investor exposure to different asset classes such as currencies, commodities, and emerging markets. The beauty of ETFâ€™s is that you can usually buy them for your 401K or IRA accounts thereby giving you the ability to diversify very broadly.
Currently there are 8 major currency ETFâ€™s available that I know of and they are:
- Australian Dollar: FXA â€“ (chart)
- British Pound: FXB â€“ (chart)
- Canadian Dollar: FXC â€“ (chart)
- Euro: FXE â€“ (chart)
- Swiss Franc: FXF â€“ (chart)
- Mexican Peso: FXM â€“ (chart)
- Swedish Krona: FXS â€“ (chart)
- Japanese Yen: FXY â€“ (chart)
Sorry to all you South African Rand and Brazilian Real traders, youâ€™ll have to stick with a currency brokerage account for now.
Update: Soren has kindly updated the currency ETF list in the comment section; it goes to show you that it truly is hard to keep track of them all!Â As a special shout-out, take a moment to sign up for Soren's Stock Tweet @ Twitter, it truly is a piece of genius.