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Dual Currency Investment


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 Investment?

  • A Dual Currency Investment (‘DCI’) is an investment that allows you to earn potentially higher interest rates through exposure to foreign currency.
  • A DCI involves a currency option that gives us the choice to repay the principal sum at maturity in either the base or alternate currency. Part or all of the interest earned on this investment represents the premium on this option.

Your currency choices

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

 Singapore Dollar (SGD)

Hong Kong Dollar (HKD)

 US Dollar (USD)

 Australian Dollar (AUD)

New Zealand (NZD)

 Great Britain Pound (GBP)

 Euro (EUR)

Canadian Dollar (CAD)

Japanese Yen (JPY)

 Swiss Franc (CHF)

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 returns 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:

(450 kb) Dual Currency Investment Agreement

(79.8 kb) Dual Currency Investment Terms & Conditions

(235 kb) Risk Disclosure Statement

(114 kb) Dual Currency Investment Brochure

(134 kb) Declaration of Accredited Investor Status


Important information:

  • Foreign currency exchange rate movements may be sudden and drastic, and may be affected by many complex factors.
  • A DCI is not equivalent to a term deposit.
  • This is a structured investment product involving derivatives. A DCI 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

Singapore Branch

12 Marina View
#20-02 Asia Square Tower 2
Singapore 018961

Tel: +65 6419 7000
Fax: +65 6336 0067

General Enquiry Email:

Service Hours: 9:00 a.m. - 4:30 p.m. (Monday to Friday)