Invesco CurrencyShares Swedish Krona Trust (FXS) 10-Q 13 Mar 17 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information	3 Months Ended
	Jan. 31, 2017shares
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jan. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Trading Symbol	FXS
Entity Registrant Name	CURRENCYSHARES SWEDISH KRONA TRUST
Entity Central Index Key	1,353,616
Current Fiscal Year End Date	--10-31
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding	0

Statements of Financial Conditi

Statements of Financial Condition - USD ($)	Jan. 31, 2017	Oct. 31, 2016
Current Assets:
Swedish Krona deposits, interest bearing	$ 22,147,665	$ 21,550,929
Swedish Krona deposits, non-interest bearing	0	0
Total Current Assets	22,147,665	21,550,929
Current Liabilities:
Accrued Sponsor's fee	7,519	7,297
Accrued interest expense	23,842	23,200
Total Current Liabilities	31,361	30,497
Commitments and Contingent Liabilities (note 8)
Redeemable Capital Shares, at redemption value, no par value, 7,500,000 authorized - 200,000 issued and outstanding	22,116,304	21,520,432
Shareholders' Equity:
Retained Earnings	0	0
Cumulative Translation Adjustment	0	0
Total Liabilities, Redeemable Capital Shares and Shareholders' Equity	$ 22,147,665	$ 21,550,929

Statements of Financial Condit3

Statements of Financial Condition (Parenthetical) - $ / shares	Jan. 31, 2017	Oct. 31, 2016
Statement of Financial Position [Abstract]
Redeemable Capital Shares, no par value	$ 0	$ 0
Redeemable Capital Shares, shares authorized	7,500,000	7,500,000
Redeemable Capital Shares, shares issued	200,000	200,000
Redeemable Capital Shares, shares outstanding	200,000	200,000

Statements of Comprehensive Inc

Statements of Comprehensive Income (Unaudited) - USD ($)	3 Months Ended
	Jan. 31, 2017	Jan. 31, 2016
Income
Interest Income	$ 0	$ 0
Total Income	0	0
Expenses
Sponsor's fee	(21,469)	(23,064)
Interest Expense	(68,071)	(43,989)
Total Expenses	(89,540)	(67,053)
Net Loss	$ (89,540)	$ (67,053)
Basic and Diluted Earnings per Share	$ (0.45)	$ (0.34)
Weighted-average Shares Outstanding	200,000	200,000
Cash Dividends per Share	$ 0	$ 0
Other Comprehensive (Loss)/Income:
Currency translation adjustment	$ (3,658)	$ 13
Total Comprehensive Loss	$ (93,198)	$ (67,040)

Statements of Changes in Shareh

Statements of Changes in Shareholders' Equity - USD ($)	Total	Retained Earnings [Member]	Cumulative Translation Adjustment [Member]
Beginning of Period at Oct. 31, 2015		$ 0	$ 0
Net Loss		(329,638)
Currency translation adjustment			3,823
Adjustment of redeemable capital shares to redemption value		329,638	(3,823)
End of Period at Oct. 31, 2016		0	0
Net Loss	$ (89,540)	(89,540)
Currency translation adjustment	$ (3,658)		(3,658)
Adjustment of redeemable capital shares to redemption value		89,540	3,658
End of Period at Jan. 31, 2017		$ 0	$ 0

Statements of Cash Flows (Unaud

Statements of Cash Flows (Unaudited)	3 Months Ended		12 Months Ended
	Jan. 31, 2017USD ($)	Jan. 31, 2016USD ($)	Oct. 31, 2016USD ($)
Cash flows from operating activities
Cash received for accrued income	$ 0	$ 0
Cash paid for expenses	(89,647)	(67,138)
Net cash used in operating activities	(89,647)	(67,138)
Cash flows from financing activities
Adjustment to period cash flows due to currency movement	686,383	(227,416)
Increase/(Decrease) in cash	596,736	(294,554)
Cash at beginning of period	21,550,929	23,216,651	$ 23,216,651
Cash at end of period	22,147,665	22,922,097	$ 21,550,929
Reconciliation of net loss to net cash used in operating activities
Net Loss	(89,540)	(67,053)
Adjustments to reconcile net loss to net cash used in operating activities:
Currency translation adjustment	(971)	224
Accrued sponsor fee	7,519	7,763
Accrued interest expense	23,842	14,806
Prior period accrued sponsor fee	(7,297)	(7,884)
Prior period accrued interest expense	(23,200)	(14,994)
Net cash used in operating activities	$ (89,647)	$ (67,138)

Organization and Description of

Organization and Description of the Trust	3 Months Ended
	Jan. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and Description of the Trust	1. Organization and Description of the Trust The CurrencyShares ® day-to-day The investment objective of the Trust is for the Trust’s shares (the “Shares”) to reflect the price in U.S. Dollars (“USD”) of the Swedish Krona plus accrued interest, if any, less the Trust’s expenses and liabilities. The Shares are intended to provide investors with a simple, cost-effective means of gaining investment benefits similar to those of holding Swedish Kronor. The Trust’s assets primarily consist of Swedish Kronor on demand deposit in two deposit accounts maintained by the Depository: a primary deposit account which may earn interest and a secondary deposit account which does not earn interest. The secondary deposit account is used to account for any interest that may be received and paid out on creations and redemptions of blocks of 50,000 Shares (“Baskets”). The secondary account is also used to account for interest earned, if any, on the primary deposit account, pay Trust expenses and distribute any excess interest to holders of Shares (“Shareholders”) on a monthly basis. The accompanying unaudited financial statements were prepared in accordance with accounting principles generally accepted in the United States of America for interim financial information and with the instructions for Form 10-Q. 10-K

Significant Accounting Policies

Significant Accounting Policies	3 Months Ended
	Jan. 31, 2017
Accounting Policies [Abstract]
Significant Accounting Policies	2. Significant Accounting Policies A. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of the assets, liabilities and disclosures of contingent liabilities at the date of the financial statements, the reported amounts of revenue and expenses during the period and the evaluation of subsequent events through the issuance date of the financial statements. Actual results could differ from those estimates. B. Foreign Currency Translation The Trustee calculates the Trust’s net asset value (“NAV”) each business day, as described in Note 4. For NAV calculation purposes, Swedish Krona deposits (cash) are translated at the Closing Spot Rate, which is the Swedish Krona/USD exchange rate as determined and published by The WM Company at 4:00 PM (London time / London fixing) on each day that NYSE Arca, Inc. (“NYSE Arca”) is open for regular trading. The functional currency of the Trust is the Swedish Krona in accordance with generally accepted accounting standards. For financial statement reporting purposes, the U.S. Dollar is the reporting currency. As a result, the financial records of the Trust are translated from Swedish Kronor to USD. The Closing Spot Rate on the last day of the period is used for translation in the statements of financial condition. The average Closing Spot Rate for the period is used for translation in the statements of comprehensive income and the statements of cash flows. Any currency translation adjustment is included in comprehensive income. C. Federal Income Taxes The Trust is treated as a “grantor trust” for federal income tax purposes and, therefore, no provision for federal income taxes is required. Interest, gains and losses are passed through to the Shareholders. Shareholders generally will be treated, for U.S. federal income tax purposes, as if they directly owned a pro-rata pro-rata pro-rata The Sponsor’s fee accrues daily and is payable monthly. For U.S. federal income tax purposes, an accrual-basis U.S. Shareholder generally will be required to take into account as an expense its allocable portion of the USD-equivalent USD-equivalent The Trust does not expect to generate taxable income except for interest income (if any) and gain (if any) upon the sale of Swedish Kronor. A non-U.S. non-U.S. non-U.S. A non-U.S. non-U.S. non-U.S. D. Revenue Recognition Interest on the primary deposit account, if any, accrues daily as earned and is received or paid on a monthly basis. Any interest below zero for the period is reflected as interest expense. E. Dividends To the extent that the interest earned by the Trust, if any, exceeds the sum of the Sponsor’s fee for the prior month plus other Trust expenses, if any, the Trust will distribute, as a dividend (herein referred to as dividends or distributions), the excess interest earned in Swedish Kronor effective on the first business day of the subsequent month. The Trustee will direct that the excess Swedish Kronor be converted into USD at the prevailing market rate and the Trustee will distribute the USD as promptly as practicable to Shareholders on a pro-rata

Swedish Krona Deposits

Swedish Krona Deposits	3 Months Ended
	Jan. 31, 2017
Cash and Cash Equivalents [Abstract]
Swedish Krona Deposits	3. Swedish Krona Deposits Swedish Krona principal deposits are held in a Swedish Krona-denominated, interest-bearing demand account. The interest rate in effect as of January 31, 2017 was an annual nominal rate of -1.25%. Net interest, if any, associated with creation and redemption activity is held in a Swedish Krona-denominated non-interest-bearing

Redeemable Capital Shares

Redeemable Capital Shares	3 Months Ended
	Jan. 31, 2017
Equity [Abstract]
Redeemable Capital Shares	4. Redeemable Capital Shares Shares are classified as “redeemable” for financial statement purposes, since they are subject to redemption. Shares are issued and redeemed continuously in Baskets in exchange for Swedish Kronor. Individual investors cannot purchase or redeem Shares in direct transactions with the Trust. Only Authorized Participants (as defined below) may place orders to create and redeem Baskets. An Authorized Participant is a Depository Trust Company (“DTC”) participant that is a registered broker-dealer or other institution eligible to settle securities transactions through the book-entry facilities of the DTC and which has entered into a contractual arrangement with the Trust and the Sponsor governing, among other matters, the creation and redemption process. Authorized Participants may redeem their Shares at any time in Baskets. Due to expected continuing creations and redemptions of Baskets and the three-day Activity in redeemable capital Shares is as follows: Three months ended Year ended October 31, 2016 Shares U.S. Dollar Shares U.S. Dollar Opening Balance 200,000 $ 21,520,432 200,000 $ 23,193,773 Shares Issued — — — — Shares Redeemed — — — — Adjustment to period Shares due to currency movement and other — 595,872 — (1,673,341 ) Ending Balance 200,000 $ 22,116,304 200,000 $ 21,520,432 The Trustee calculates the Trust’s NAV each business day. To calculate the NAV, the Trustee subtracts the Sponsor’s accrued fee through the previous day from the Swedish Kronor held by the Trust (including all unpaid interest, if any, accrued through the preceding day) and calculates the value of the Swedish Kronor in USD based upon the Closing Spot Rate. If, on a particular evaluation day, the Closing Spot Rate has not been determined and announced by 6:00 PM (London time), then the most recent Closing Spot Rate will be used to determine the NAV of the Trust unless the Trustee, in consultation with the Sponsor, determines that such price is inappropriate to use as the basis for the valuation. If the Trustee and the Sponsor determine that the most recent Closing Spot Rate is not an appropriate basis for valuation of the Trust’s Swedish Kronor, they will determine an alternative basis for the valuation. The Trustee also determines the NAV per Share, which equals the NAV of the Trust, divided by the number of outstanding Shares. Shares deliverable under a purchase order are considered outstanding for purposes of determining NAV per Share; Shares deliverable under a redemption order are not considered outstanding for this purpose.

Sponsor's Fee

Sponsor's Fee	3 Months Ended
	Jan. 31, 2017
Payables and Accruals [Abstract]
Sponsor's Fee	5. Sponsor’s Fee The Sponsor’s fee accrues daily at an annual nominal rate of 0.40% of the Swedish Kronor in the Trust (including all unpaid interest but excluding unpaid fees, each as accrued through the immediately preceding day) and is paid monthly. The Sponsor assumes and pays the following administrative and marketing expenses incurred by the Trust: the Trustee’s monthly fee, NYSE Arca listing fees, SEC registration fees, typical maintenance and transaction fees of the Depository, printing and mailing costs, audit fees and expenses, up to $100,000 per year in legal fees and expenses, and applicable license fees. In certain exceptional cases the Trust will pay for some expenses in addition to the Sponsor’s fee. These exceptions include expenses not assumed by the Sponsor (i.e., expenses other than those identified in the preceding paragraph), expenses resulting from a negative interest rate, taxes and governmental charges, expenses and costs of any extraordinary services performed by the Trustee or the Sponsor on behalf of the Trust or action taken by the Trustee or the Sponsor to protect the Trust or the interests of Shareholders, indemnification of the Sponsor under the Depositary Trust Agreement, audit fees and legal expenses in excess of $100,000 per year.

Related Parties

Related Parties	3 Months Ended
	Jan. 31, 2017
Related Party Transactions [Abstract]
Related Parties	6. Related Parties The Sponsor is a related party of the Trust. The Sponsor oversees the performance of the Trustee and the Trust’s principal service providers, including the preparation of financial statements, but does not exercise day-to-day

Concentration Risk

Concentration Risk	3 Months Ended
	Jan. 31, 2017
Risks and Uncertainties [Abstract]
Concentration Risk	7. Concentration Risk All of the Trust’s assets are Swedish Kronor, which creates a concentration risk associated with fluctuations in the price of the Swedish Krona. Accordingly, a decline in the Swedish Krona to USD exchange rate will have an adverse effect on the value of the Shares. Factors that may have the effect of causing a decline in the price of the Swedish Krona include national debt levels and trade deficits, domestic and foreign inflation rates, domestic and foreign interest rates, investment and trading activities of institutions and global or regional political, economic or financial events and situations. Substantial sales of Swedish Kronor by the official sector (central banks, other governmental agencies and related institutions that buy, sell and hold Swedish Kronor as part of their reserve assets) could adversely affect an investment in the Shares. All of the Trust’s Swedish Kronor are held by the Depository. Accordingly, a risk associated with the concentration of the Trust’s assets in accounts held by a single financial institution exists and increases the potential for loss by the Trust and the Trust’s beneficiaries in the event that the Depository becomes insolvent.

Commitments and Contingencies

Commitments and Contingencies	3 Months Ended
	Jan. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	8. Commitments and Contingencies Under the Trust’s organizational documents, the Sponsor is indemnified against any liability or expense it incurs without negligence, bad faith or willful misconduct on its part. The Trust’s maximum exposure under this arrangement is unknown, as this would involve future claims that may be made against the Trust that have not yet occurred.

Significant Accounting Polici15

Significant Accounting Policies (Policies)	3 Months Ended
	Jan. 31, 2017
Accounting Policies [Abstract]
Use of Estimates	A. Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of the assets, liabilities and disclosures of contingent liabilities at the date of the financial statements, the reported amounts of revenue and expenses during the period and the evaluation of subsequent events through the issuance date of the financial statements. Actual results could differ from those estimates.
Foreign Currency Translation	B. Foreign Currency Translation The Trustee calculates the Trust’s net asset value (“NAV”) each business day, as described in Note 4. For NAV calculation purposes, Swedish Krona deposits (cash) are translated at the Closing Spot Rate, which is the Swedish Krona/USD exchange rate as determined and published by The WM Company at 4:00 PM (London time / London fixing) on each day that NYSE Arca, Inc. (“NYSE Arca”) is open for regular trading. The functional currency of the Trust is the Swedish Krona in accordance with generally accepted accounting standards. For financial statement reporting purposes, the U.S. Dollar is the reporting currency. As a result, the financial records of the Trust are translated from Swedish Kronor to USD. The Closing Spot Rate on the last day of the period is used for translation in the statements of financial condition. The average Closing Spot Rate for the period is used for translation in the statements of comprehensive income and the statements of cash flows. Any currency translation adjustment is included in comprehensive income.
Federal Income Taxes	C. Federal Income Taxes The Trust is treated as a “grantor trust” for federal income tax purposes and, therefore, no provision for federal income taxes is required. Interest, gains and losses are passed through to the Shareholders. Shareholders generally will be treated, for U.S. federal income tax purposes, as if they directly owned a pro-rata pro-rata pro-rata The Sponsor’s fee accrues daily and is payable monthly. For U.S. federal income tax purposes, an accrual-basis U.S. Shareholder generally will be required to take into account as an expense its allocable portion of the USD-equivalent USD-equivalent The Trust does not expect to generate taxable income except for interest income (if any) and gain (if any) upon the sale of Swedish Kronor. A non-U.S. non-U.S. non-U.S. A non-U.S. non-U.S. non-U.S.
Revenue Recognition	D. Revenue Recognition Interest on the primary deposit account, if any, accrues daily as earned and is received or paid on a monthly basis. Any interest below zero for the period is reflected as interest expense.
Dividends	E. Dividends To the extent that the interest earned by the Trust, if any, exceeds the sum of the Sponsor’s fee for the prior month plus other Trust expenses, if any, the Trust will distribute, as a dividend (herein referred to as dividends or distributions), the excess interest earned in Swedish Kronor effective on the first business day of the subsequent month. The Trustee will direct that the excess Swedish Kronor be converted into USD at the prevailing market rate and the Trustee will distribute the USD as promptly as practicable to Shareholders on a pro-rata

Redeemable Capital Shares (Tabl

Redeemable Capital Shares (Tables)	3 Months Ended
	Jan. 31, 2017
Equity [Abstract]
Schedule for Redeemable Capital Shares Activity	Activity in redeemable capital Shares is as follows: Three months ended Year ended October 31, 2016 Shares U.S. Dollar Shares U.S. Dollar Opening Balance 200,000 $ 21,520,432 200,000 $ 23,193,773 Shares Issued — — — — Shares Redeemed — — — — Adjustment to period Shares due to currency movement and other — 595,872 — (1,673,341 ) Ending Balance 200,000 $ 22,116,304 200,000 $ 21,520,432

Organization and Description 17

Organization and Description of the Trust - Additional Information (Detail)	3 Months Ended
	Jan. 31, 2017SEKDepositoryshares
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Initial deposits by sponsor, primary deposit account | SEK	SEK 1,000
Organization formation date	Jun. 8, 2006
Redemptions capital shares, number of shares in each block | shares	50,000
Number of deposits accounts in which trust's assets primarily consist of Swedish Krona | Depository	2

Significant Accounting Polici18

Significant Accounting Policies - Additional Information (Detail)	3 Months Ended
	Jan. 31, 2017USD ($)
Accounting Policies [Abstract]
Provision for federal income taxes	$ 0
Minimum days required to stay for tax liability	183 days

Swedish Krona Deposits - Additi

Swedish Krona Deposits - Additional Information (Detail)	3 Months Ended			12 Months Ended
	Jan. 31, 2017USD ($)	Jan. 31, 2017SEK	Jan. 31, 2016USD ($)	Oct. 31, 2016SEK	Jan. 31, 2017SEK	Oct. 31, 2016USD ($)	Oct. 31, 2016SEK
Cash and Cash Equivalents [Abstract]
Annual nominal rate	(1.25%)	(1.25%)
Principal deposits		SEK 0		SEK 0
Principal redemptions		0		0
Withdrawals (to pay expenses)	$ 89,647	SEK 815,684	$ 67,138	SEK 2,709,715
Deposits, interest bearing	$ 22,147,665				SEK 193,606,026	$ 21,550,929	SEK 194,421,710

Redeemable Capital Shares - Add

Redeemable Capital Shares - Additional Information (Detail)	3 Months Ended
	Jan. 31, 2017
Temporary Equity Disclosure [Abstract]
Redeemable capital shares, settlement of each creation or redemption period	3 days

Redeemable Capital Shares - Sch

Redeemable Capital Shares - Schedule for Redeemable Capital Shares Activity (Detail) - USD ($)	3 Months Ended	12 Months Ended
	Jan. 31, 2017	Oct. 31, 2016
Temporary Equity Disclosure [Abstract]
Opening Balance, Shares	200,000	200,000
Shares Issued, Shares	0	0
Shares Redeemed, Shares	0	0
Ending Balance, Shares	200,000	200,000
Opening Balance, Amount	$ 21,520,432	$ 23,193,773
Shares Issued, Amount	0	0
Shares Redeemed, Amount	0	0
Adjustment to period Shares due to currency movement and other, Amount	595,872	(1,673,341)
Ending Balance, Amount	$ 22,116,304	$ 21,520,432

Sponsor's Fee - Additional Info

Sponsor's Fee - Additional Information (Detail) - Sponsor [Member]	3 Months Ended
	Jan. 31, 2017USD ($)
Accrued Professional Fees [Member]
Related Party Transaction [Line Items]
Sponsor's fee accrues daily and paid monthly, annual nominal Rate	0.40%
Professional Fees Liability [Member]
Related Party Transaction [Line Items]
Legal fees and expenses assumed	$ 100,000
Excess amount of assumed audit fees and legal expenses	$ 100,000