HSBC Rupee fixed deposir

[Horatio]

I'm seriously considering opening a fixed deposit account in Rupees with HSBC, APR of 7.5%.

http://www.hsbc.co.in/1/2/personal/bank-accounts/fixed-deposits

Any thoughts on this are welcome before I make a move.

thx.

 

[jhegarty]

How stable is the euro/rupee exchange rate these days ?

 

[Horatio]

12 month low 60INR = 1Euro
12 month high 68INR = 1Euro

= +/- 6% over 12 months.

So what does this tell me? Stable go for it / unstable - stay away.

The fixed deposit is for 36 months minimum

 

[OPTIMUM]

Why not buy bank shares - they have risen 400% in 4 months....about as risky as playing the fx markets...

 

[mooney76]

technically you could buy rupee and enter into a forward contract to convert at 'x' rate in 6 months time therefore removing exposure to fx movement and getting interest