How I'd Invest $50,000 of TFSA Cash to Protect Against Currency Risks

How I’d Invest $50,000 of TFSA Cash to Protect Against Currency Risks

If you have a bunch of cash but are worried about where to put it in a TFSA, here are some strong options.

Amy Legate-Wolfe

Amy became interested in investing in 2018 after having her first daughter. After receiving a masters degree in journalism from Western University, she became frustrated that the finance industry remained a confusing place for Canadians like her: new parents, millennials, and other young people who needed to understand their finances. Now, Amy focuses on tech companies and renewable energy for growth opportunities, coupling that with long-term investing strategies and equities. She also provides investors with a daily newsletter, Canada Stock Digest, for daily market updates. Before joining Motley Fool Canada, she wrote for major news organizations including HuffPost, CTVNews.ca, and CBC. When she’s not researching investing strategies, Amy’s time is pretty much monopolized by her two wild daughters, but in what little spare time she has she loves to do yoga, go on walks with her dog, and travel with her husband. Follow Amy on LinkedIn and Canada Stock Digest. Favorite Investment Quote: “October: This is one of the particularly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February.” – Mark Twain

Published April 22, 2025 5:00 pm EDT

Putting $50,000 into your Tax-Free Savings Account (TFSA) is a super smart way to grow your money without worrying about taxes later! Now, to protect your savings from the ups and downs of the Canadian dollar compared to the U.S. dollar, it’s a good idea to think about Canadian companies that make a lot of their money in U.S. dollars. This acts like a natural shield, because if the U.S. dollar gets stronger, earnings in those dollars can help make up for a weaker Canadian dollar. Here are five companies listed on the TSX that fit this bill.

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Cameco

Cameco (TSX:CCO) is a big shot in the uranium world, with mines in Canada and the U.S. Because uranium is often priced and sold in U.S. dollars, a good chunk of Cameco’s earnings come in that stronger currency. In its 2024 yearly report, Cameco said net earnings were $172 million, and adjusted net earnings were $292 million. It also brought in $905 million in cash from operations.

The uranium producer’s adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) jumped by about 73% to over $1.5 billion compared to $884 million in 2023. Plus, Cameco’s investment in a company called Westinghouse contributed a hefty $483 million in adjusted EBITDA for the year. So, it’s making good money in U.S. dollars!

Nutrien

Nutrien (TSX: NTR) is a major player in the world of fertilizers and agricultural services. It sells potash, nitrogen, and phosphate products all over the globe, and a significant portion of those sales are in U.S. dollars. In the last three months of 2024, Nutrien reported net earnings of $118 million and adjusted earnings per share of $0.31.

Its adjusted EBITDA for that quarter was $1.1 billion. Because agriculture is a global business, it rakes in a lot of U.S. dollars. And the world always needs food, making the company a solid investment for those seeking long-term income.

Shopify

Shopify (TSX: SHOP) is a Canadian tech superstar based in Ottawa. It helps tons of businesses, especially in the U.S. and other countries, set up and run their online stores. Because so many of their customers are outside Canada, Shopify earns a big chunk of its revenue in other currencies, mostly U.S. dollars.

In the latest earnings report, Shopify said earnings were US$0.44 per share, beating what analysts expected. The revenue for that quarter was a solid US$2.8 billion, also higher than predicted. So, they’re doing great in the U.S. market! Now the company has stabilized, it could be a strong investment for future income as well.

Alimentation Couche-Tard

You probably know Alimentation Couche-Tard (TSX: ATD) from convenience stores like Circle K. It has a massive network of stores across North America, Europe, and Asia. Because the convenience retailer has a huge presence in the United States, a large part of its revenue comes in U.S. dollars.

In its third quarter of their 2025 fiscal year, Couche-Tard reported net earnings attributable to shareholders of $641.4 million. The sales in stores open for more than a year increased in Canada and Europe, and while the stores saw a slight dip in the U.S. due to bad winter weather, the meal deal promotions were a big hit across North America. So, it’s bringing in lots of U.S. dollars from their many stores.

Barrick Gold

Finally, Barrick Gold (TSX: ABX) is one of the biggest gold mining companies on the planet, with operations all over the world. Like other gold producers, Barrick sells its gold in U.S. dollars, which gives it a natural hedge against currency fluctuations.

In the last three months of 2024, Barrick reported a big 69% jump in net earnings to $2.1 billion and a 51% increase in adjusted net earnings to $2.2 billion. Its attributable EBITDA for 2024 also rose by 30% to $5.2 billion, the highest in over 10 years! Plus, operating cash flow increased, and free cash flow more than doubled. So, it’s making a lot of U.S. dollars from all that gold! Combining this stock with the others here, investors could certainly create solid investments. Even when currencies continue to fluctuate.