ProShares registered under the Investment Company Act of 1940 are distributed by SEI Investments Distribution Co., which is not affiliated with ProFunds Group or its affiliates. Your use of this site signifies that you accept our Terms & Conditions of Use.
Now you have more options when the euro or yen fall against the dollar
As market watchers know, the euro and yen move up and down relative to the dollar on a daily basis. Wouldn't it be helpful to have a tool that could help hedge against—or seek profit from—moves in the euro or the yen, up or down?
Short Currency ProShares let you seek to profit or hedge against a fall in the euro or yen versus the U.S. dollar. And because they are ETFs, they can be bought and sold like a stock. In fact, they're the only ETFs designed to provide short exposure (in dollar terms) to the euro and the yen.
How they work
Short Currency ProShares are designed to move in the opposite direction of the currency rates they track. And they include built-in leverage, so you get more short exposure for your investment. For example, if the euro falls 1% against the dollar in one day, ProShares UltraShort Euro (EUO) should gain 2% (before fees and expenses). On the other side of the coin, if the euro rises 1% against the dollar in one day, EUO should lose 2% (before fees and expenses). ProShares UltraShort Euro (EUO) is benchmarked to the EUR/USD cross rate and the ProShares UltraShort Yen (YCS) is benchmarked to the JPY/USD cross rate, as published in The Wall Street Journal.
BEARISH ON
THE BUCK?
Consider two new ProShares designed to rise when the U.S. dollar falls against the euro or the yen
VIEW FULL LINEUP
See the complete list of all ProShares
DOWNLOAD MATERIALS
View and print PDF files of our prospectus, reports and more
GET NEWS UPDATES
Stay informed about the latest news at ProShares
PROSPECTUS
Futures and options involve substantial risk of loss and are not suitable for all investors
THREE IDEAS FOR SHORT CURRENCY PROSHARES
1. Seek profit.
Short Currency ProShares allow you to seek profits if you think the U.S. dollar could rise against foreign currencies. For example, if you think the dollar will rise against the yen, you could attempt to capture any gains by purchasing ProShares UltraShort Yen (YCS).
2. Hedge against declines.
You believe in the long-term prospects of your euro-denominated investments but think the U.S. dollar could
temporarily rise against the euro, which would lower your return on these investments. Instead of selling your holdings (which could involve tax consequences and transaction costs), you can create a hedge to attempt to protect them from short-term currency movements by purchasing the appropriate Short Currency ProShare.
Short Currency ProShares are designed to move in the opposite direction of the currency rates they track (that is, if these currencies fall against the U.S. dollar, the Short Currency ProShares should rise). In the example above, if the dollar rises against the euro, your hedge could offset currency-related losses in your euro-denominated investments. Losses related to other factors may still occur.*
3. Dial down currency exposure.
A run-up in the euro and the yen against the dollar may have overweighted your portfolio with investments denominated in these foreign currencies. By purchasing Short Currency ProShares, you can attempt to neutralize your portfolio from overexposure to the euro or yen, without selling profitable investments.
Disclosure:
Back to Top