Invesco CurrencyShares Australian Dollar Trust
For the period ended Mar 31, 2026. Filed May 7, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2026 · Filed May 7, 2026
FXA$67.95-1.0%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-09-30; filed 2025-11-07.
0001193125-25-270327
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2026-03-31; filed 2026-05-07.
0001193125-26-209739
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 33 previous paragraphs and 26 current paragraphs.
19 unchanged; 5 reworded; 2 added; 9 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 1 previous and 1 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (2)
Current report
The Australian Dollar (AUD) posted a gain in the first quarter of 2026, supported by high interest rates in Australia, which typically increases demand for the currency. Higher short‑term rates also boosted income on cash holdings, contributing positively to overall Fund performance. The Australian Dollar further benefited from elevated energy prices amid the ongoing conflict with Iran, given Australia’s role as a major commodity and energy exporter. Although the currency moved up and down against the U.S. dollar during the quarter, steady investor inflows and the benefit of higher yields helped limit the impact of these swings.
Current report
The Australian Dollar (AUD/USD) ended the first quarter of 2025 close to flat despite significant U.S. dollar (USD) weakness. This was partially due to global tariff uncertainty reducing risk appetite, as the AUD is generally seen as a riskier currency, but also the intensifying trade war between U.S. and China. China is Australia’s largest export partner, so any headwinds to the Chinese economy, will likely also have negative cascading effects. The downturn in commodities also exerted downward pressure since Australia has an export-oriented economy.
Removed paragraphs (9)
Previous report
The Australian dollar (AUD/USD) closed the third quarter of 2025 with a gain. The Reserve Bank of Australia (RBA) kept rates unchanged in July rather than delivering the expected 25 basis point cut, which was seen as a deferral of policy easing. This supported the AUD given how skewed market pricing had been towards a rate cut, though the RBA did cut by 25 basis points in August, driven by softer labor market data. The volatility and downtrend in energy prices was also a headwind, but improved broader risk appetite, ongoing strength in the Chinese yuan – China is a key trading partner for Australia – and the comparatively deeper easing cycle being carried out by the Fed provided support for the AUD while weighing on the USD.
Previous report
The Australian dollar (AUD/USD) experienced positive performance in the third quarter of 2024, mostly gaining on U.S. dollar
Previous report
weakness. The Fed finally kicked off its easing cycle while the Reserve Bank of Australia (RBA) kept rates steady
Previous report
as it still battled with a tight labor market and sticky inflation. However, the downturn in commodities and the overhang from the
Previous report
Chinese economic lull have been persisting headwinds for the Aussie, since China is their largest export partner. The significant risk
Previous report
off move at the end of July also dealt a heavy blow to the riskier currency, with investors instead turning to safe haven currencies like
Previous report
the Swiss franc.
Previous report
The Australian dollar (AUD/USD) posted strong gains year-to-date through the third quarter of 2025, underpinned by U.S. dollar weakness. The AUD intermittently experienced volatility due to its close relationship with commodities, particularly in April, as tariff uncertainty and dampened demand weighed on Australia's export-driven economy. However, this was offset by rising energy prices following escalating geopolitical tensions in the second quarter, and improvements in risk appetite and temporarily easing trade tensions between China and the U.S. in the third quarter. Rate cuts by the RBA added some downward pressure to the AUD, but this was largely mitigated by the RBA's tone of caution and guidance towards a slow and steady pace of easing, in comparison with the U.S.’s expected deeper easing cycle.
Previous report
The Australian dollar (AUD/USD) ended the first three quarters of 2024 positive. In the first quarter, U.S. dollar moves drove the bulk of the price action, though escalated geopolitical tensions also pressured investors’ risk appetite; the Aussie is considered a risky currency. The Fed’s higher-for-longer rhetoric and stickier-than-expected U.S. inflation pushed out expectations for U.S. rate cuts, providing support for the U.S. dollar. However, the pair did rebound significantly in the second and third quarter – strong domestic retail sales in the second quarter raised bets that the RBA could hike rates while many global central banks had already kicked off their easing cycles. In the third quarter, the pair gained on U.S. dollar weakness as the Fed began cutting rates, though the persisting downtrend in commodities and China pessimism capped the upside for the Aussie.
Reworded paragraphs (5)
Previous wording
This report contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “anticipate,” “expect,” “intend,” “plan,” “believe,” “seek,” “outlook” and “estimate” and other similar words. Forward-looking statements are based upon our current expectations and beliefs concerning future developments and their potential effects on us. Such forward-looking statements are not guarantees of future performance. Various factors may cause our actual results to differ materially from those expressed in our forward-looking statements. These factors include fluctuations in the price of the Australian Dollar, as the value of the Shares relates directly to the value of the Australian Dollars held by the Trust and price fluctuations could materially adversely affect an investment in the Shares. Readers are urged to review the “Risk Factors” section contained in the Trust’s most recent Annual Report on Form 10-K, together with the modified risk factor included in Item 1A of this report, for a description of other risks and uncertainties that may affect an investment in the Shares.
Current wording
This report contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “anticipate,” “expect,” “intend,” “plan,” “believe,” “seek,” “outlook” and “estimate” and other similar words. Forward-looking statements are based upon our current expectations and beliefs concerning future developments and their potential effects on us. Such forward-looking statements are not guarantees of future performance. Various factors may cause our actual results to differ materially from those expressed in our forward-looking statements. These factors include fluctuations in the price of the Australian Dollar, as the value of the Shares relates directly to the value of the Australian Dollars held by the Trust and price fluctuations could materially adversely affect an investment in the Shares. Readers are urged to review the “Risk Factors” section contained in the Trust’s most recent Annual Report on Form 10-K, for a description of other risks and uncertainties that may affect an investment in the Shares.
Previous wording
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. The Trust’s Depository, JPMorgan Chase Bank, N.A., London Branch, maintains two deposit accounts for the Trust, a primary deposit account that may earn interest and a secondary deposit account that does not earn interest. Interest on the primary deposit account, if any, accrues daily and is paid monthly. The interest rate in effect as of September 30, 2025 was an annual nominal rate of 1.32%. The following chart provides the daily rate paid by the Depository since September 30, 2020:
Current wording
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. The Trust’s Depository, JPMorgan Chase Bank, N.A., London Branch, primarily maintains two deposit accounts for the Trust, a primary deposit account that may earn interest and a secondary deposit account that does not earn interest. Interest on the primary deposit account, if any, accrues daily and is paid monthly. The interest rate in effect as of March 31, 2026 was an annual nominal rate of 1.72%. The following chart provides the daily rate paid by the Depository since March 31, 2021:
Previous wording
The financial statements and accompanying notes are prepared in accordance with U.S. GAAP. The preparation of these financial statements relies on estimates and assumptions that impact the Trust’s financial position and results of operations. These estimates and assumptions affect the Trust’s application of accounting policies. In addition, please refer to Note 3 to the financial statements of the Trust for further discussion of the Trust’s accounting policies and Item 7 – Management’s Discussions and Analysis of Financial Condition and Results of Operations – Critical Accounting Estimates included in the Trust's Annual Report on Form 10-K for the year ended December 31, 2024, as filed with the SEC on February 26, 2025.
Current wording
The financial statements and accompanying notes are prepared in accordance with U.S. GAAP. The preparation of these financial statements relies on estimates and assumptions that impact the Trust’s financial position and results of operations. These estimates and assumptions affect the Trust’s application of accounting policies. In addition, please refer to Note 3 to the financial statements of the Trust for further discussion of the Trust’s accounting policies and Item 7 – Management’s Discussion and Analysis of Financial Condition and Results of Operations – Critical Accounting Estimates on Form 10-K for the year ended December 31, 2025, as filed with the SEC on March 2, 2026.
Previous wording
During the three and nine months ended September 30, 2025 and 2024, the Trust's net comprehensive income (loss) was, in part, impacted by market volatility resulting from global tariff gyrations and mounting U.S. economic uncertainty for 2025, and expectations around the Federal Reserve (the “Fed”) easing and heightened geopolitical concerns for both 2024 and 2025, which are considered to be unusual or infrequent events. Although the full and direct impact of global tariffs, U.S. economic concerns, Fed easing expectations and rising geopolitical tensions, on the Trust's net comprehensive income (loss) during the three and nine months ended September 30, 2025 and 2024, cannot be known, it is believed that they 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.
Current wording
During the three months ended March 31, 2026 and 2025, the Trust’s net comprehensive income (loss) was, in part, impacted by periods of market volatility associated with evolving global macroeconomic and geopolitical conditions, which are considered to be unusual or infrequent events. For the three months ended March 31, 2026, these conditions included heightened geopolitical tensions, ongoing trade and fiscal policy uncertainty, and shifting expectations regarding the pace and timing of monetary policy actions by central banks, including the Federal Reserve (the “Fed”). For the three months ended March 31, 2025, contributors to market volatility included concerns surrounding global economic growth, inflation dynamics, and expectations related to potential changes in monetary policy. Although the full and direct impact of these conditions on the Trust’s net comprehensive income (loss) during the three months ended March 31, 2026 and 2025 cannot be known, it is believed that they may have independently affected the Closing Spot Rate, the interest rate paid by the Depository, and global economic and market conditions generally, including the number of Shares created and redeemed by the Trust.
Previous wording
Additionally, the interest rate paid by the Depository has generally trended downward over the past year to current interest rate of 1.32%, as set forth in the FXA Rate Chart above. As long as the interest income, if any, exceed the Sponsor’s fee and the interest expense on currency deposits, the Trust will incur a net comprehensive income.
Current wording
Additionally, the interest rate paid by the Depository has generally remained flat over the past year to the current interest rate of 1.72%, as set forth in the FXA Rate Chart above. As long as the interest income, if any, exceed the Sponsor’s fee and the interest expense on currency deposits, the Trust will incur a net comprehensive income.