16 unchanged sentences
The Trust issues shares (the “Shares”) in blocks of 50,000 (a “Basket”) in exchange for deposits of Canadian Dollars and distributes Canadian Dollars in connection with the redemption of Baskets.
−Removed: The investment objective of the Trust is for the Shares to reflect the price in USD of the Canadian Dollars plus accrued interest, if any, less the expenses of the Trust’s operations.
+Added: The investment objective of the Trust is for the Shares to reflect the price in USD of Canadian Dollars plus accrued interest, if any, less the expenses of the Trust’s operations.
The Shares are intended to offer investors an opportunity to participate in the market for the Canadian Dollar through an investment in securities.
23 unchanged sentences
Liquidity and Capital Resources
+Added: The Trust does not have any material cash requirements as of the end of the latest fiscal period.
The Sponsor is not aware of any known trends, demands, commitments, events or uncertainties that will result in, or are reasonably likely to result in, material changes to the Trust’s liquidity and capital resources needs.
1 unchanged sentence
Interest on the primary deposit account, if any, accrues daily and is paid monthly.
−Removed: The interest rate in effect as of March 31, 2022 was an annual nominal rate of 0.00%.
−Removed: The following chart provides the daily rate paid by the Depository since March 31, 2017:
+Added: The interest rate in effect as of June 30, 2022 was an annual nominal rate of 0.00%.
+Added: The following chart provides the daily rate paid by the Depository since June 30, 2017:
In exchange for a fee, the Sponsor bears most of the expenses incurred by the Trust.
2 unchanged sentences
When the interest deposited, if any, exceeds the sum of the Sponsor’s fee for the prior month plus other Trust expenses, if any, the Trustee converts the excess into USD at the prevailing market rate and distributes the USD as promptly as practicable to Shareholders on a pro-rata basis (in accordance with the number of Shares that they own).
−Removed: The Trust did not make any distributions during the quarter ended March 31, 2022.
+Added: The Trust did not make any distributions during the quarter ended June 30, 2022.
Critical Accounting Estimates
4 unchanged sentences
Results of Operations
−Removed: During the three months ended March 31, 2022 and 2021, the Trust’s net comprehensive income (loss) was, in part, impacted by market volatility and uncertainty caused by the novel coronavirus known as COVID-19, which is considered to be an unusual or infrequent event.
−Removed: Additionally, the Trust’s net comprehensive income (loss) during the three months ended March 31, 2022 was, in part, impacted by the Russia-Ukraine conflict, which is also considered to be an unusual or infrequent event.
−Removed: Although the full and direct impact of COVID-19 and the Russia-Ukraine conflict on the Trust’s net comprehensive income (loss) during the three months ended March 31, 2022 and 2021 cannot be known, it is believed that COVID-19 and the Russia-Ukraine conflict have each independently impacted the Closing Spot Rate, the interest rate paid by the Depository, and the global economy and markets generally, including the number of Shares created and redeemed by the Trust.
+Added: During the three and six months ended June 30, 2022 and 2021, the Trust’s net comprehensive income (loss) was, in part, impacted by market volatility and uncertainty caused by the novel coronavirus known as COVID-19, which is considered to be an unusual or infrequent event.
+Added: Additionally, the Trust’s net comprehensive income (loss) during the three and six months ended June 30, 2022 was, in part, impacted by the Russia-Ukraine conflict, which is also considered to be an unusual or infrequent event.
+Added: Although the full and direct impact of COVID-19 and the Russia-Ukraine conflict on the Trust’s net comprehensive income (loss) during the three and six months ended June 30, 2022 and 2021 cannot be known, it is believed that COVID-19 and the Russia-Ukraine conflict have each independently impacted the Closing Spot Rate, the interest rate paid by the Depository, and the global economy and markets generally, including the number of Shares created and redeemed by the Trust.
+Added: The Canadian Dollar (CAD/USD) posted a loss in the second quarter of 2022 as the U.S.
+Added: dollar rallied to the highest since 2002, supported by expectations for an aggressive inflation-fighting Federal Reserve (Fed) policy and rising safe haven demand amid growing recession fears.
+Added: While elevated oil prices were able to provide a boost to Canada’s trade surplus mid-quarter and domestic economic strength persisted, the support was n o t enough to counter the gains in the greenback.
+Added: The Canadian Dollar (CAD/USD) rallied in Q2 of 2021.
+Added: CAD strength was bolstered by strengthening commodity prices and overall recovery in risk appetite, as growing vaccine optimism and easing lockdown restrictions globally signaled the start of the post pandemic return of demand.
+Added: However, a commodities selloff towards the end of the quarter due to rising COVID-19 cases in Europe and the resulting turn to the safe haven U.S.
+Added: dollar did deal a significant blow to the currency pair.
+Added: The Canadian Dollar (CAD/USD) posted a loss in the first half of 2022.
As the only G10 currency to gain against the U.S.
−Removed: D ollar in 2021, the Canadian D ollar (CAD/USD) continued its positive performance through the first quarter of 2022 .
−Removed: Heightened geopolitical tensions leading up to the military conflict in Ukraine led investors to initially flock to safe haven currencies like the U .
−Removed: D ollar , triggering a selloff in risk sensitive assets like the C anadian D ollar .
−Removed: However, following Russia’s invasion of Ukraine towards the end of February 2022 , the Canadian Dollar (which is considered to be a commodity-linked currency ) has significantly benefited from surging oil prices, given crude oil is one of Canada’s major exports.
−Removed: In turn, anticipation for more hawkish monetary policies from the Bank of Canada further boosted the C anadian D ollar .
−Removed: The Canadian Dollar (CAD/USD) ended the first quarter of 2021 as the best performing G10 currency and one of the few to have advanced against the U.S.
−Removed: The strength of the Canadian Dollar was bolstered by a recovery in commodity prices and overall risk appetite, as growing vaccine optimism and easing lockdown restrictions globally signaled the start of the post-pandemic return of demand.
−Removed: Signs of strength in Canada’s economic rebound and rising inflation also raised market speculations that the Bank of Canada could bring forward its tightening of supportive policies, providing a further boost for the currency.
+Added: dollar in 2021, the CAD continued its positive performance through the first quarter of the year, benefiting from surging oil prices resulting from the conflict in Ukraine – crude oil is one of Canada’s major exports – and anticipation for more hawkish monetary policies from the Bank of Canada.
+Added: However, dollar strength in Q2 amid growing recession fears and a more hawkish Fed heavily weighed on the currency pair.
+Added: The Canadian Dollar (CAD/USD) was higher in the first half of 2021 supported by strengthening commodity prices and an overall recovery in risk appetite given growing vaccine optimism and easing lockdown restrictions.
+Added: Despite strong performance in Q1 and early Q2, a selloff in commodities due to renewed COVID-19 concerns towards the end of Q2 sent the currency pair plunging, wiping away significant gains.
Additionally, the interest rate paid by the Depository has generally trended downward over the past several years to the current interest rate of 0.00%, as set forth in the FXC Rate Chart above.
1 unchanged sentence
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.