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Dual Currency Deposit

An alternative to traditional term deposits - Optimising your investment

If you would like to take advantage of foreign exchange movements and potentially earn a higher rate of interest when compared to a conventional term deposit, you may wish to consider investing in a Dual Currency Investment.

What is a Dual Currency Deposit?

  • A Dual Currency Deposit (DCD) is a foreign exchange-linked term deposit. The principal of the DCD is paid on its maturity date in either the deposit currency or the alternative currency, depending on the exchange rate movements of the two currencies and their levels at or about the payment currency fixing time. Your Banking Partner will provide you with details of the payment currency fixing time.
  • Interest on the DCD will always be paid on the maturity date in the deposit currency.

Your currency choices

You can choose a currency pair from a range of currencies:

 Hong Kong Dollar (HKD)

 US Dollar (USD)

 Australian Dollar (AUD)

 New Zealand (NZD)

 Great British Pound (GBP)


Other currencies are available upon request.

Maximise your potential returns

  • Placing your DCI is easy! The minimum principal amount is USD 50,000 (or its equivalent in other currencies), or SGD 250,000 when investing in SGD. You can select from a range of investment periods from 7 days to 12 months. Based on your selection of investment period and currency pair, NAB will quote an applicable interest rate and pre-determined exchange rate.

How does it work?

Illustration for Dual Currency Investments

Investment Currency
Alternative Currency
Principal Amount
Investment Period
30 days
Pre-determined Exchange Rate
AUD/USD 0.7780^
Interest Rate
10% p.a.
Traditional Term Deposit Interest
3% p.a.
Calendar Year Days
360 days

^ AUD/USD refers to 1 Australian Dollar to the equivalent amount of US Dollar.



The illustration below shows the possible return in three different scenarios:

Scenario 1:
Invest in Dual Currency Investment

If Spot Rate is equal to or above the Pre-determined Exchange Rate at the Payment Currency Fixing Time
Settlement Amount
= Principal Amount + (Principal Amount x Interest Rate x Investment Period / Calendar Year Days)
= USD50,000 + (USD50,000 x 10% x 30 / 360)
= USD50,000 + USD416.67
= USD50,416.67

= USD50,416.67 - USD50,000
= USD416.67 (gain)
Scenario 2:
Invest in Dual Currency Investment

The Spot Rate on the Maturity Date is below the Pre-determined Exchange Rate at the Payment Currency Fixing Time.
Settlement Amount
= Principal Amount / Pre-determined Exchange Rate + (Principal Amount x Interest Rate x Investment Period / Calendar Year Days)
= USD50,000 / 0.7780 + (USD50,000 x 10% x 30 / 360)
= AUD64,267.35 + USD416.67

If the AUD amount is converted back to USD immediately at the market Exchange Rate (0.6500 in this scenario) on the maturity date, a loss on Principal Amount will be incurred.

= USD50,000 - AUD64,267.35 x 0.6500
= USD50,000 - USD 41,773.78
= USD 8,226.22 (loss)
Scenario 3:
Start a fixed deposit
Principal Amount + Interest
= USD50,000 + (USD50,000 x 3.00% x 30 / 360)
= USD50,000 + USD125
= USD50,125

= USD50,125 – USD50,000
= USD 125(gain)

Click to view:

Risk Disclosure Statement

(101 kb) Terms and Conditions


Important information:

  • Foreign currency exchange rate movements may be sudden and drastic, and may be affected by many complex factors.
  • A DCD is not equivalent to a term deposit. It is NOT a protected deposit under the Deposit Protection Scheme of Hong Kong
  • This is a structured investment product involving derivatives. A DCD may or may not be principal protected; where it is not principal protected, you may lose part or all of your deposit/investment amount.

Contact us


Pacific Place Branch

Level 27, One Pacific Place
88 Queensway
Hong Kong

Tel: +852 2826 8111
Fax: +852 2845 9251

Service Hours: 9:00 a.m. – 6:00 p.m. (Monday to Friday)


Hysan Place Branch

For NAB Private Wealth Customers

32/F, Hysan Place
500 Hennessy Road,
Causeway Bay
Hong Kong

Tel: +852 2822 5342
Fax: +852 2822 9704 / 9706

Service Hours: 9:00 a.m. – 6:00 p.m. (Monday to Friday)