Japanese interest rate?? they are lucky right??

ok from http://www.money-rates.com/keyrates.htm... japanese interest rate is 1.88% so that penny-pinching when u borrow u retribution that rate hindmost. So do you come up with adjectives the japanese race should a moment ago borrow lots of money $400,000 or so and deposit it into influence honkong bank which rate 8% interest for similar to couple months, they will produce big profits!! they borrow at 1.88% and earn 8%.
and another cross-question why is canada and australia interest rate are like? thanx alot

Foreign Prime Rates
European Central Bank 2.00%
Canada 6.25%
Japan 1.88%
Germany 4.00%
Switzerland 4.12%
Britian 5.75%
Hong Kong 8.00%
Australia 6.25%

Answers:
You should cart into consideration the fluctuation of exchange rates in your computation. If you've get big money set to play and risk it is thoroughly lucrative, this is how George Soros make his money. There are also different law governing respectively country within deposting, borrowing and investing in their bank so for small time investors the time, risk and challenge is not worth it..

Capital Gains Tax is another factor..
That is exactly what everybody in the World does (By everybody I penny-pinching nation that speaks japanese and hold adequate money to be in motion to Japan)

This is call CARRY TRADE

G00GLE it.
Yes, you are right. Actually lots of Japanese are flocking to Forex trading. But nearby is also a risk of exchange fluctuation.
Ppl don't borrow money for investing. The borrowers are usually investment firms.

Japan own never have hyper inflation similar to Europe after WW2, and is usually afraid of recession of cutback a bit than inflation.


  • How to subtract an overall rate of return?
  • What should I do beside 2,000 Dollars?
  • Dividend stocks?
  • How much interest for fixed deposits in sbi?
  • Investment?