Loonie

AAA

DEFINITION of 'Loonie'

Colloquial term that refers to the $1 Canadian coin, and also to the Canadian dollar in forex markets. The loonie derives its name from the picture of a solitary loon on one side of the coin.

INVESTOPEDIA EXPLAINS 'Loonie'

The loonie was introduced in 1987 as a cost-saving measure to replace dollar bills. The 11-sided coin is made of aureate bronze, and was designed by noted wildlife artist Robert-Ralph Carmichael. The widespread acceptance of the $1 loonie led to the introduction of the $2 "toonie" in September 1995.

The loonie is among the top 10 most widely traded currencies in forex markets. Thanks to Canada's burgeoning exports of energy and commodities, the loonie was among the best-performing currencies against the U.S. dollar in the first decade of the new millennium.

RELATED TERMS
  1. Exchange Rate

    The price of a nationā€™s currency in terms of another currency. ...
  2. Stocky

    A slang term used by forex traders for the Swedish krona, which ...
  3. Swissie

    A slang term for the Swiss franc. The Swiss franc, or Swissie, ...
  4. Currency

    A generally accepted form of money, including coins and paper ...
  5. Greenback

    A slang term for U.S. paper dollars. Greenbacks got their name ...
  6. Bank Of Canada - BOC

    The central bank of Canada, that came into existence after the ...
Related Articles
  1. Canada's Commodity Currency: Oil And ...
    Forex Strategies

    Canada's Commodity Currency: Oil And ...

  2. Currency Exchange: Floating Rate Vs. ...
    Forex Education

    Currency Exchange: Floating Rate Vs. ...

  3. Commodity Prices And Currency Movements
    Forex Education

    Commodity Prices And Currency Movements

  4. The Pros And Cons Of A Strong Loonie
    Forex Education

    The Pros And Cons Of A Strong Loonie

comments powered by Disqus
Hot Definitions
  1. Correlation

    In the world of finance, a statistical measure of how two securities move in relation to each other. Correlations are used ...
  2. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  3. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  4. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  5. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  6. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
Trading Center