The example below assumes that you have US$10,000 in your Bank's FC account and you intend to invest this sum in fixed deposit for a period of 12 months. There are 2 options for consideration : continue to place the sum in the foreign currency account or to place it in S$ FD.
Placing US$10,000 (Principal Amount) for 12 months (Placement Period) at 3.125% p.a. (FCFD Interest Rate) will earn you an interest of US$312.50 at the end of the 12 months period. Your total investment for 12 months (Principal + Interest) will become US$10,312.50.
Alternatively, if you decide to place the same amount in S$ Fixed Deposits for 12 months, your Principal Amount will be S$14,705 (based on the Bank's US$ Buying TT rate of 1.4705). At the quoted interest rate of 0.825% p.a. for 12 months, your total investment will be S$14,826.32 at the end of 12 months.
You will make a capital gain in S$ (If you withdraw the US$10,312.50 in S$) if the Bank's US$ Buying rate is higher than 1.4377 (14,826.32/10,312.50) in 12 months time. On the other hand, you will incur a capital loss if this rate falls below 1.4377.
Placement Amount must be between $1 and $99,999,999,999
Please use numbers only
There will be capital gain if the Bank's Buying rate is higher than .
Computation details are as follows :
The FCFD Break-Even Calculator is provided for information only. The rates used in the calculation are indicative and not to be used for transaction.
Placement of FCFD must be made at our Branches where actual rates will be quoted when making your placements. There will be Bank charges for conversion and clearing of funds depending on the settlement mode you use.
Foreign currency investments are subject to fluctuations in exchange rates.