The Invesco CurrencyShares Japanese Yen Trust (FXY) is a passive exchange-traded product that holds Japanese yen on behalf of investors. FXY's sole purpose is to give retail and institutional investors a simple, stock-like way to gain exposure to the JPY/USD exchange rate without holding physical yen or trading currencies directly. Each share represents a proportional interest in the yen held by the Trust in deposit accounts at JPMorgan Chase's London branch. The Trust does not trade, hedge, or use derivatives — share value moves with the JPY/USD exchange rate, plus any accrued interest, minus expenses. FXY is a grantor trust with no employees or management; Invesco Specialized Products serves as Sponsor and charges a single annual fee of 0.40% of assets. The Sponsor covers most operational costs from this fee. The Trust may earn interest on its yen deposits, and any interest earned above total expenses is distributed monthly to shareholders. In low or negative interest rate environments, little interest accrues, making the 0.40% fee a pure drag on returns relative to holding yen directly. New shares are created or redeemed in blocks of 50,000 shares exclusively by Authorized Participants, who deposit or receive yen in exchange, keeping the share price aligned with the underlying yen NAV.