I just saw a new product on the market. Dual currency FD. Interesting....I wonder whats the actual risk-adjusted return should one anticipate from these products ?

Can't say which one is better...it's like comparing a green apple to a red apple.

Local FD = no risk, you place a 1 year 3.7% FD and you get 3.7% interest at the end of 1 year.

Foreign FD = expose to currency risk, you place a 1 year 5% FD and you get 5% interest +/- x% forex gain(or loss).

In other words, foreign FDs are more risky because of the uncertainty on the absolute return you could obtain.