Questions tagged [foreign-currency]

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2answers
147 views

Is it better to invest in US than to invest in India considering inflation rate and devaluation of INR

I am a US resident with Indian nationality. To calculate annual real gain on my investment in mutual funds in India, I am following below mentioned formula: Annual Real Gain = Annualized Return - ...
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2answers
53 views

Small Business foreign exchange

I run a small Australian business that has the requirement to pay a relatively small but not insignificant (say USD10k-20k equivalent annually) amount of invoices in foreign currencies (EUR and USD). ...
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2answers
122 views

Why do currency rates have an effect on the value of goods? [closed]

It is common to hear explanation like "Yuan has lost value, this helps Chinese exporters". Why does currency exchange rate have any effect at all on the price of goods? Let's say I own a widget ...
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0answers
70 views

Canadian nomad, USD earnings - how to invest/preserve currency

I'm a Canadian tax resident who moves around a lot. Exchanging currency stresses me out so much if I think about it that I basically have just decided to accept volatility. I work online, and am paid ...
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1answer
44 views

Currency option case

I am a bit lost with understanding the naming used for holding positions in the currency options and their payoffs. If I want to buy the European option with an amount of x USD (EUR put/ USD call), ...
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5answers
10k views

Why do money exchangers give different rates to different bills?

I was traveling to India recently and was buying a few hundred US dollars on my way as the money exchanges didn't have any Indian rupees with them. At the exchange counter, they didn't have 100 dollar ...
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1answer
122 views

How the uniformity in exchange rates are achieved?

Suppose it takes 1200 euros to visit Suriname. and I am from India. Now first i converted 1200 euros to inr which came as 93689 rupees . Then just out of curiosity, I tried converting 1200 euros to ...
2
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1answer
197 views

What is the degree of “nickel rounding” that occurs with Swiss Francs?

I am trying to implement currency handling with Swiss Francs (CHF). In Canada, we have removed our penny from our currency circulation, but digitally the penny amount ($0.01) still exists (bank ...
3
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1answer
128 views

Buying foreign currency as a long term investment [closed]

I live in a country with an uncertain, collapsing economy. The exchange rate compared to USD and EUR@ is sky rocketing that effectively wiped off 20% of people's savings in just 8 months! See USD-LKR. ...
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2answers
96 views

AUDUSD vs. Apple's bad results in China - WHY is this positive correlation (it has nothing to do with AUD!)?

I would appreciate if some trading fundamental analysis expert could please explain me this. Recently I lost basically all my entire life savings, everything i worked for, for over 3 years, waking up ...
6
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1answer
148 views

Who Is responsible when a currency transaction is mistakenly converted by an intermediary bank?

My client transferred USD from the US to my USD currency account in Ireland. Their intermediary bank converted the funds to Euros so it hit my USD account in Euro, was converted back to USD by my bank ...
3
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1answer
88 views

How to offset currency exchange losses?

Situation forces me to repatriate foreign revenue valued in Euro to USA, which is not ideal at this moment because the Euro is at a low. To counter this, would it make sense to buy Euro in USA at the ...
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2answers
135 views

How should I think about salaries in New Zealand relative to the United States? [duplicate]

Let's imagine I live in the United States and make about 100,000 USD. If I move to New Zealand for a few years, I expect to make about the same, but denominated in New Zealand dollars. That is, make ...
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1answer
47 views

Posting invoice in different currency

I've got all my transactions organized in CAD. Now I've got a new customer that'll pay me in USD. I can open USD bank accounts to handle this, that's not a problem but in GNUcash I created a new ...
2
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1answer
1k views

What costs do banks incur on processing credit card refunds in foreign currency?

When a credit card transaction is in currency different to the one of the card, it is pretty normal for banks to charge a 1-3% fee associated with the currency conversion. Some banks do this by using ...
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1answer
65 views

Futures and forward contracts are very different from each other

** Assume two traders enter into a one-year (March 2019) Euro futures contract at a futures price of 1.1220 physically delivered. Regardless of the spot price on the settlement date, if the spot ...
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2answers
105 views

Hedging against currency risk

Is there a hedging method against currency risk without lowering returns ? Classic hedging methods like forwards, futures options, all have a cost and don’t remove risk “for free”.
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1answer
78 views

Forex instead of futures as a hedge

Why don’t companies use forex trading as a hedge for their foreign exchange risk instead of futures ? Forex is much more liquid than futures, easier to have access to all your positions anytime, ...
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2answers
170 views

Determining Futures price on the delivery date

When traders don’t get out of their fx futures positions before they expire, on the delivery date, is the amount exchanged the specified price on the contract when it was signed or the spot price ...
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2answers
85 views

Investing in currency, long term

Given the low expectation that currencies go bankrupt (at least, main currencies like yen or pound): Is it a viable strategy to just buy currency (the currency proper not some future), and wait until ...
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1answer
113 views

How to sell some euros and buy rubles?

I would like to sell some euros in an online exchange and buy rubles. My question is, once I buy rubles how do I withdraw them in my Russian account? Also, how to deposit euros? I know about some ...
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2answers
2k views

Buy stock in Canadian dollars or US?

I am located in Canada. I've been buying US stocks(listed on a us stock exchange), my question is, should I buy them in Canadian dollars or convert to US and buy? I have tried both, my broker ...
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4answers
1k views

Are there alternatives to double currency account to manage payments in different currencies?

I get paid in US dollars (USD), but I live in Hungary, where fiorint (HUF) is used. Right now my bank account has two accounts, one in USD, one in HUF. I receive the money on the USD account and I ...
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0answers
142 views

Difference between buying a NYSE-listed company in USD or in EUR

Let's say I'm a European living in Germany and a company is listed only on the NYSE in USD. On my trading platform I can buy shares of this company either on the NYSE in USD or on Xetra in EUR. When ...
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7answers
5k views

Losing Money with Norbert's Gambit

In attempt to avoid the usual 1.5-2% exchange fees levied by brokers, I perform Norbert's gambit: I purchase DLR.TO in CAD (Canadian dollars) from TSX, journal it over to DLR.U.TO, and then sell the ...
2
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1answer
77 views

How to detect currency rates changes?

I know the factors (like supply and demand) but how the economics know the value of a currency in a certain time exactly? They couldn't possibly take all the factors in the universe instantly into ...
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1answer
60 views

Stock not available at home country nor at their local market - where should I buy it

I would like to buy a stock of a company, unfortunately I don't have access to the stock in my local stock exchange nor do I have access to the stock exchange of the country of the company. But I ...
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1answer
94 views

What and which side determine the change in exchange rate

Usually I withdraw money from my account in my home country's currency, to where I live, so the conversion rate is applied and I get the money in the currency of the country I live in. I am very ...
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0answers
49 views

How does one book a currency exchange loss?

How does one book a currency exchange loss? Let's assume: I have an account in GBP. I have an account in USD. I pay taxes in USA. Let's assume following transactions: I made 100k GBP in the ...
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3answers
1k views

How to move money between U.S and non-U.S bank accounts?

In the U.S, whenever I want to move money between my U.S bank accounts, I simply link them once using their respective routing and account numbers, and then initiate ACH transactions between them ...
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1answer
42 views

What should I consider when factoring fluctuating exchange rates into risk/return of overseas stock trading?

I live in Australia, and I'm utterly a novice investor, but after ending up with some shares in CYBG after NAB divested itself of its UK business I started thinking/learning about overseas investments....
2
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1answer
120 views

How do resident foreign currency accounts in India work?

I live in India, and I'm considering opening a resident foreign currency account, to receive dollars from outside India. Is the balance (in dollars, say) automatically converted to rupees when I try ...
2
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1answer
921 views

Can I make a foreign currency transaction for friends buying online outside India?

I have a couple of friends whose debit cards do not work on international sites (outside India in USD or CNY). I have used my debit card few times to purchase items (total value around INR 30k) for ...
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1answer
70 views

How to invest in Japan's stock market from the UK

I live in the UK. I would like to invest in an Asian stock market, say Japan's, ideally in the main index, in order to have exposure to the currency rate change in addition to the index exposure. How ...
4
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1answer
119 views

How to manage foreign investment allocations

I live in a country that has over the last year gone through some serious currency volatility based on political/economic uncertainty. I made a decision towards the end of last year to move a decent ...
2
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1answer
794 views

Saving in foreign currencies

I live in the UK and am looking at opening a USD account. The primary reason for this is that I work for an American company whose employee share plan deals in USD, so it is required for that. However,...
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1answer
43 views

Getting more out of exchange rate

Lately i been confused with the fact, when should one do a currency change. Here is a scenario,i am living as a expat in Uk, and i need to take out money from my international account from a another ...
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1answer
412 views

Which risk did I take winning this much?

This morning I made a large percentage profit on a position that the Japanese Yen was going to be strong. It seems that the estimate was correct, but I made much more money than expected. I more than ...
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1answer
1k views

Accounting for foreign exchange transactions and difference between market rate and rate given

I am trying to find how to account for the change in exchange rate and the rate given to me by my bank. I understand the rate change between two dates is a foreign exchange gain or loss, but what ...
0
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1answer
151 views

Safe and cheap way to send money from Canada to South America [closed]

Does anyone knows how to send money from Canada to a country in South America in a safe and cheap way? In the past I transfered from my bank account here in Canada to a South American bank account ...
4
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2answers
163 views

How should residents of smaller economies allocate their portfolio between domestic and foreign assets?

Investment advice is often written from the perspective of a large domestic economy, where global effects have less impact. I live in Australia, where GDP is $1.13 trillion and our stock exchange has ...
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2answers
601 views

Buy Php in Malaysia and sell to Philippines

I am a Filipino working in Malaysia. I went to the remittance center yesterday, the exchange is MYR 1 = PHP 11.20. I noticed the buy/sell board table. Buying Php for MYR 8.52, Selling MYR 8.98. I do ...
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2answers
241 views

How to change a large quantity of U.S. dollars into Israeli Shekel? [closed]

I am a US citizen and will soon also be an Israeli Citizen. I'm trying to figure out the cheapest way to change USD to Israeli Shekel. Interactive Brokers does allow converting USD to shekel at a ...
1
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2answers
169 views

What foreign currency exchange rate is applied at cash machines

I recently came back from Auckland and China . Prior to withdrawing cash from ATMs , the currency exchange sell and buy prices give an estimate price. I wonder how much € exactly will 100 NZD cost. ...
3
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1answer
3k views

Selling property outside the US - gains are taxable, but how do they convert?

Now permanently living in the US (but not a US citizen), I consider to sell (rental) property (a house) outside the US. I understand that I need to pay taxes on a potential gain; but how are the gains ...
1
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1answer
706 views

Philiipine currency check to deposit in the US

We are expecting a check from a Home Builder in the Philippines in Philippine currency. Can we deposit it in our bank here in the US and convert to US currency ?