Shmoop Finance

Say you want to open a branch of your hockey merchandise and memorabilia store in Canada, because you’re a rock star at foreseeing market opportunities and determining where your customers lie. But you're worried that the value of the Canadian dollar is going to decrease, and know you're going to be coming into a lot of those dollars soon.

You may want to consider purchasing a currency certificate to protect yourself against a possible depreciation of Canadian currency.

Currency certificates are similar to currency options. With a certificate, you can convert one currency to another and avoid the risk that comes with conducting business in foreign, exotic lands like, um...Canada.