That's not necessary the case. Any currency can be held outside of its "home country", and thus not subject to the monetary laws and regulations of the "home country". This is what I mean by "offshore".

https://en.wikipedia.org/wiki/Eurocurrency

E.g. Eurodollar in London not subject to Fed's regulation (though still affected by Fed policy like interest rate etc.).

The same thing is applied to SGD FD held with institutions outside Singapore. In this case, your SGD money is deposited in Malaysia and thus subject to BNM regulations instead. https://www.bnm.gov.my/documents/20124/6036...rency+Asset.pdf (look for the term "Foreign Currency Asset Onshore").

Just to share more it is not mandatory actually. But those are to go to counter so when it mature you need go there to decide withdraw or renew. I done it before for a Spore finance company that comply with MAS regulations. But for online mobile where you never show face most if not all require some savings or current account and use that as source of funds to place FD. FD mature can go back to that account. If you manage to find one in Spore can online place FD and do no need open any savings or current account please share. Thanks.

With currency conversion like SGD-MYR or vice versa, for sure it's zero fee. Just not sure about those without currency conversion.

I'm not familiar with CIMB FCY but for Maybank FCY, there's also a transaction charge of 4USD whenever it involves a debit/credit into the FCY account. And some MY banks, cannot do transfer from FCY acc online, must do it at the branch. And some, must be done during 9am-5pm on weekdays. That's why I said FCY acc in MY generally have limited functionality and/or expensive fees.


With currency conversion right? You're not transferring SGD from SG to MY without conversion, right?

This post has been edited by tradingGo: Dec 4 2022, 01:31 PM

Yes, with. Rates are competitive and they offer zero fees now, as well as pay you the difference if you find a cheaper rate. Check their website for details.

Thanks!

They were talking about the one without currency conversion, ie transferring SGD from SG to MY, and to be placed in FD in MY (in SGD).

I just remember, CIMB also has a good rate for USD FD at 5.3% for 12 months, but they don't have a preferential exchange rate for FCY holders unlike RHB.

Did you transfer SGD from SG account to MY SGD account without currency exchange? We are interested to know if it is possible to transfer 1 for 1 SGD using CIMB Click SG and what is the charges. Thanks

Ok. I think of one possible way to check the corresponding bank for the specific currency. Just try to simulate a outward SGD TT using Alliance online to see which corresponding bank show up in their form. If it is a named SG bank then it should be an "on shore" account that Alliance is keeping your SGD. May or may not work. It is just my wild guess. Just like what I think when I try to transfer EUR, CHF, USD, JPY, SGD into IBKR, it shows respective countries named bank as the saving account bank so I thought it was always on-shore.

I found below definition from web:

“Investment in foreign currency asset onshore” means making of any payment in Malaysia for‐
(a) purchase of foreign currency denominated security or Islamic security offered in Malaysia by a resident as approved by the
Bank;
(b) purchase of foreign currency‐denominated financial instrument or Islamic financial instrument offered in Malaysia by a resident
as approved by the Bank; or
© placement into foreign currency account with a licensed onshore bank other than placement for investment abroad.

Now I understand. For country that do not have currency control, there may not be foreign currency asset onshore (Just like the IBKR case). For Malaysia which has currency control, the foreign currency asset that you put in local bank is actually submit to BNM at the end of the day. So the custodian is actually BNM, not any corresponding bank in foreign control. And those foreign currency asset kept in the BNM become Malaysia's foreign reserve. So in this case, if BNM withhold your foreign currency, you basically has a third party risk with BNM. No one know how high is this chance but I believe as a sovereign, BNM will not thread this likely as it will induce Foreign capital flight and some serious problems later on.

Don't have Alliance bank account. Will try that when I return to MY.

Exactly! BNM has the final call on your euro-SGD.

From BT 061222, for (onshore) SGD depositors:

Standard Chartered Priority Singapore Wealth Saver Account advertisement:



Source: BT 071222

Hi, yeah I got it now. I don't have a FCA in CIMB so I can't try it out. I did call the contact center and also checked out the Cimbclicks app, it doesn't seem to have an option to perform SGD-SGD transfers, so seems like we can only do SGD-MYR from SG to MY. Probably need to go to the bank and perform the transaction at the branch, with not so great charges. That's for inbound remittance into MY. The question of outbound remittance back to SG is another unknown. Also, the CIMB FCA is a non interest bearing account, so all the effort to move SGD 'offshore' doesn't seem to have much benefit there.

For Alliance, like Toku said the FCFD has rates of 4.3% for 12 months tenure, and outbound SGD remittance for Alliance is RM7.50. Remind me to check outbound TT later on, as the TT service is only available 9:30am to 4:15pm.

PS: PSA to others on this thread of foreign FD - the hottest two countries with interest rates close to 10% are India and Vietnam...

And hungarian forint is 15.86%

That is nothing try comparing it with Zimbabwe over 90% Argentina over 70% and Venezuela over 30% which makes Hungary like a step child

Err, I can park forint FD for a year from MY. Not sure those hyper inflation countries able to do it or not

Probably can and if you got any banking account on those countries no issue then

Why forint in the 1st place? And not Polish Zloty or Czech Koruna

Hmmm, polish zolty is not bad also at 7.61% but czech not supported.

Your money masuk already...can keluar or not? later kena tax 110% for withdrawing...lol

Zimbabwe and Venezuela I wouldn’t vouch for it as those despot regimes and sanctioned by many countries

Argentina definitely can take out and no tax but you have to beware as it is hyperinflation country 🤦‍♀️