FXE interest income falls 40bp as euro weakens; distributions cut ~50% year-over-year

Filed May 7, 2026 · Period ending March 31, 2026 · Compared to 10-Q May 8, 2025 · ~1 min read

Key Changes

• high

  Interest rate on euro deposits dropped from 1.50% to 1.10%, a 40-basis-point decline that directly reduces the Trust's income available for shareholder distributions.

  MD&A: Interest Rate verify on EDGAR →
• high

  Monthly distributions fell sharply: January payout dropped 50% from $0.13284 to $0.06612, with annualized yields declining from 1.35%-1.63% range to 0.71%-0.80%.

  MD&A: Distribution Yields verify on EDGAR →
• high

  Euro depreciated against the dollar in Q1 2026 (negative performance) versus appreciation in Q1 2025, driven by geopolitical tensions, risk-off positioning, and Strait of Hormuz energy supply concerns.

  MD&A: Currency Performance verify on EDGAR →