International banking?I was considering converting a large sum of money into the Euro and investing it in a high yield CD in Europe. I here that annual yields from CDs in Europe are higher than the they are here. Also I figure that the Euro has consistantly outperfomed the dollar so that it should be a safe conversion rate getting my... | |
CD's are American products...you will find products available in Europe are similar but not exactly the same. Depending on the amount you have available you should be able to secure a 5 to 10% pa rate. I wouldn't bet on the Euro continuing to do better than the Dollar though. The US Dollar is now one of the lowest valued currencies in the world and the Euro is one of the highest. Most commentators are pegging the Euro to sink this year. Sterling is an over valued currency as well.
So you can do it, but it's not a sure fire way to make money. The biggest problem you are likely to face is providing sufficient identification when you open your account with whatever European bank you chose.
