Not only can you buy investments with a Dollar but you can invest in Dollars. If you can understand how currencies work :)
Here is an interesting article on a new currency index and corresponding mutual funds.
Citigroup Unveils
New Currency Measure
Using Investor Fund Flows
December 2, 2005
The dollar has fallen 10% since the end of 1999, according to the popular U.S. Dollar Index, which measures the buck's performance against a basket of currencies. But Citigroup argues it is more accurate to say the dollar has tumbled less than 6% over the same period.
Yesterday, Citigroup began trading options on this index and 10 other currency-related indexes, which the bank says are the first currency indexes ever to be based on investor flows. The weightings for each index are based on fund-flow data collected by the bank over the past three years, and every index will be revised annually to reflect the latest fund-flow figures.
"Fund flows from hedge funds and other money managers are extremely important," says Arnold Miyamoto, a managing director for Citigroup in New York. "This index is a better representation of what goes on the in the currency market."
Currently, the benchmark for currency trading is the U.S. Dollar Index, which is calculated by and trades on the New York Board of Trade. It includes six currencies that are based on data from international trade flows.
Citigroup, one of the largest foreign-exchange dealers, estimates that about 70% of all currency transactions world-wide these days are related to investor fund flows, including trading done by stock and bond portfolio managers, hedge funds and other speculators, commercial banks and central banks. Only 30% of foreign exchange is related to transactions from the corporations that are measured in government trade data, Citigroup says.
