Is it safe to keep Vietnam Dong?

Thats entirely up to you to decide . May i suggest that you consult a Financial Planner or the like

thanks bro
i be moving to hcmc next week
stay in somerset apt
u stay where bro

i ask my banker and he said its good to change all my SGD into VND and put in fix deposit to make interest out of it.
i worry the vnd will drop value

Hi bro

I think its a good idea to change SGD to VND.

Recently, I just brought in SGD$1.5mil. This is because the VND is one of the most stable currencies in the world.

I'm thinking of changing the rest of my money from USD, Yen and Euro into VND! Transferring VND out of Vietnam is also the easiest thing in the world!

Its nice to be a multi-billionaire in VN, as opposed to just a millionaire in SGP! Haha!

@roo77 - what does hi mean ? apart from saying hello ??

Happy8888 wrote:

@roo77 - what does hi mean ? apart from saying hello ??

sorry misclick

Are you trolling ?

Yuli

roo77 wrote:

Hi bro

I think its a good idea to change SGD to VND.

Recently, I just brought in SGD$1.5mil. This is because the VND is one of the most stable currencies in the world.

I'm thinking of changing the rest of my money from USD, Yen and Euro into VND! Transferring VND out of Vietnam is also the easiest thing in the world!

Its nice to be a multi-billionaire in VN, as opposed to just a millionaire in SGP! Haha!

Hi Ngoc,

You look so nice when help him to answer..

Yuli

ngoc91 wrote:

Happy8888 wrote:

@roo77 - what does hi mean ? apart from saying hello ??

sorry misclick

It is easy to transfer money into Vietnam. Not so easy to transfer out though.

No it is not easy to transfer out

roo77 wrote:

Transferring VND out of Vietnam is also the easiest thing in the world!

You're joking, right?

I wish i had that sort of money , then i could sprout to the world how rich i am

Two things to consider:
1) As stated earlier, it is much easier to get money into VN than it is to get it out
2) What you care about is how much interest you can make when you take inflation and risk into consideration. Singapore's inflation rate is much less than Vietnam's. That means that if you were to transfer your SGD to VND with no interest, you would loose money every year. If you factor in the greater risk in holding VND as compared to SGD, the least interest rate you should accept is the difference in inflation rates, plus the interest rate that you could get in SG, plus a premium for accepting the risk of holding VND.

If it was me, I would not transfer the money. International arbitrage transactions will tend to keep the ratio of risk-free deposit rates and change in exchange rates such that you can not make money doing this kind of transaction. If you are investing in equities (not risk-free), that is a different story, but trying to make money by exchanging to a different currency and buying CDs very rarely makes any money because of institutional investors doing the same thing and moving the exchange rates.

nice of  u
thanks bro

BECOS HE IS  MR KUKU

What ?

I personally think if u put it in the Viet banks for interest rates , live here too , spend your money wisely in Vietnam , that's good .
It's not possible to send one large sum of money back to spore again but u can send small amount of money back , to your convenience .

yes i thinking of buying a pte apt in pmh q7area and rent out to expat
i think its a good investment too.
any advise?

Why are you seeking financial advice on an expat forum ? There are professionals who you pay to do this.

he is.
dont worry we share ours...
cheers

thanks
where can i get those pro?

thanks bro
where u staying now?

Sorry , but where can you get what ?? I am not following this

This is a perennial question with no perfect answer.
I think the trick is to keep a balanced mix of currencies at hand.
I have moved into Dong over 18 months and my home currencies A$ and S$ have weakened in this time so I made gains on Dong in the last year or so and it pays 8-9%.
I dont plan on repatriating this.
I look at the country's position and prospects.
Vietnam is slowly travelling towards broader wealth and its debt situation and SOEs seem undervalued.
A$ is ok at US 88 cents and a 4% yield.
SGD$ is a dead cat - nil yield and some downside if the US$ strengthens.
By contrast, I dont like the Thai baht cos I think it has peaked as they toy with civil war??
If you think GFC II is around the corner, grab US$ cos its the retreat currency when it hits the fan.
I have never met a finance adviser who could provide any real help on the issue of foreign currency holdings. Most advisors are one nation centric, perhaps knowing how their currency is trending but with no feel for others.  The good ones work at merchant banks and they will help if you break a min net worth hurdle but in truth, with currency movements, no-one really knows.
So a basket works and you tap the currency which is strongest at the time you need to spend.
Criticism welcomed - armchair advice only ;-)

Every year prices go up 10% after Tết, meaning the value of the VNĐ drops by the reciprocal.  I have my clients deposit to my bank in dollars. 

Consider that only rural areas deal in fractional thousands and that being a billionaire in Vietnam is barely middle class. 

Keep it in Lion City is my advice. 

Disclosure: I'm not an economist.

You would have to be crazy to convert that much money into VND. Vietnam has one of the highest inflation rates in the world. And getting money back out of the country is almost impossible. My language teacher works at HSBC and talks about the hell they must go through for outbound transactions.

pakhai wrote:

Hi all

I from SG and i been staying in DN for 2 yrs. I have converted my SGD450,000 into vietnamese dong

There's your problem.

I was going to ask a similar question today.  I have USD in savings at Techcombank which pays 1.5% APY.  However, they offer savings in VND at 7% APY.  Would I be better to run to the gold shop and exchange my USD to VND (at above the interbank rate) and then take the higher interest, or am I going to lose all the interest I gain trying to get the money back into USD at a later date?

Thanks for the advice.

swendig wrote:

I was going to ask a similar question today.  I have USD in savings at Techcombank which pays 1.5% APY.  However, they offer savings in VND at 7% APY.  Would I be better to run to the gold shop and exchange my USD to VND (at above the interbank rate) and then take the higher interest, or am I going to lose all the interest I gain trying to get the money back into USD at a later date?

Thanks for the advice.

You can still get up to 9.5% on a 12 month deposit at some VN Banks. i.e VietABank
   The only way you can lose interest, is to withdraw your deposit before the maturity date, or you can lose money on conversion back to $US, if the VND takes a big tumble.

"Is it safe to keep Vietnam dong?"
Yes it is.
Although they need to be together and fed regularly.
They don't bite so they should be safe for children too.

It is also safe to keep American dollar too.
They are a bit fussy and must not get wet.
They are not safe for children as they get quite dirty.