Dual Currency Investments

Dual Currency Investments

Earn potentially higher returns than a traditional time deposit through your Citibank Premium Account

Start your wealth journey with Citigold and receive exclusive welcome rewards

Find out more >

Bank internationally with Citigold and enjoy exclusive welcome rewards

Find out more >

Everything you need to know

What is a Citibank Dual Currency Premium Account?

Citibank Premium Account is in substance an investment in one or more foreign currencies. It is subject to foreign exchange rate fluctuations, which may provide opportunities and risks. 

 

Dual currency investment involves a currency option which gives the bank the right to repay your principal and interest earned in either the base currency or the alternate currency. A part or all of the interest that you earn on the Citibank Premium Account represents the premium that the bank pays you for the currency option.

 

Benefits:

  • Opportunity to diversify into a second currency of your choice at your pre-agreed exchange rate
  • Earn a potentially higher interest rate than a traditional time deposit.
  • Free access to the latest market information through our team of experienced and multi-lingual Treasury Services Managers
  • You can make decisions that best suit your investment needs.
  • Wide selection of currencies with flexibility to invest in different tenures
  • Flexible choice of tenures from 1 week to 6 months
  • Select from an extensive range of currencies: USD, JPY, AUD, NZD, EUR, GBP, HKD, CAD, CHF, SGD, CNH and XAU (Gold).

How does the investment returns work with Citibank Premium Account?

Step 1:

Place your principal in the base currency of your choice.

Currencies available: SGD, USD, AUD, NZD, EUR, GBP, CAD, JPY, CHF,  and *HKD, CNH (Offline only) and XAU (Gold) (Offline only).

Step 2:

Choose a second currency as your alternate currency and decide on the tenure of your investment.

Currencies available: SGD, USD, AUD, NZD, EUR, GBP, CAD, JPY, CHF and *HKD, CNH (Offline only) and XAU (Gold) (Offline only)

Tenures available: 1 week to 6 months. Depending on your investment strategy and market conditions, select the preferred exchange rate between these two currencies as your pre-agreed exchange rate. You will then be quoted the interest rate for your Citibank Premium Account.

Step 3:

On maturity, you will receive the principal plus interest earned in either the base currency or the alternate currency - whichever is the weaker currency.

This is decided by comparing the pre-agreed exchange rate with the prevailing exchange rate two business days before maturity. The pre-agreed exchange rate will be applied should your base currency be converted to the alternate currency.

 

Here's an example:

Assuming that you have invested Singapore Dollar 100,000 in a one-month Citibank Premium Account, with Singapore Dollar as your base currency and Australian Dollar as your alternate currency1.

Pre-agreed exchange rate: AUD/SGD 0.980

Interest rate: 6% p.a.

Current exchange rate: AUD/SGD 1.000

At maturity, you will be paid on the weaker of the two currencies.

 

There are three possible scenarios:

  Scenario 1 Scenario 2 Scenario 3
At Expiry AUD strengthens against SGD (e.g., AUD/SGD exchange rate moves up from 1.000 to 1.020) AUD weakens against SGD (e.g., AUD/SGD exchange rate moves down from 1.000 to 0.960) AUD/SGD weakens exchange rate is the same as the pre-agreed exchange rate of 0.980
Currency of Principle returned SGD AUD SGD or AUD as determined by Citibank
Amount returned SGD 100,000 + (SGD 100,000 * 6% * 30/365) = SGD 100,493.15 [SGD 100,000 + (SGD 100,000 * 6% * 30/365)] / 0.980 = AUD 102,544.03 SGD 100,493.15 or AUD 102,544.03
Gain or Loss Gain of SGD 493.15 SGD 100,000 - [AUD 102,544.03 * 0.960] = Loss of SGD 1,557.73 Gain of SGD 493.15

1 The hypothetical gains and losses shown in the above 3 scenarios are meant for illustrative purposes only.

Eligibility and pre-requisites to establish an online Citibank Premium Account to trade:

  • Minimum US$50,000 (or equivalent)
  • Minimum US$5,000 (or equivalent) for Premium Accounts established on Citibank Online
  • Sign a Citibank Premium Account Agreement, Risk Disclosure and complete the investment risk profile.

Trade on our Citi Mobile ®App now:

For Singapore Clients, click here.

For International Personal Bank Clients, click here.

 

Already have an account with us?

Trade on Citibank Online now:

For Singapore Clients, here. Alternatively, contact your Relationship Manager or our 24-hour Citiphone Banking at +65 6225 5225.

For International Personal Bank Clients, click here. Alternatively, contact your Relationship Manager or our 24-hour Citiphone Banking at +65 6224 5757.

 

Don’t have a Citibank account yet?

For Singapore Clients, begin your wealth journey here.

For International Personal Bank Clients, apply now.

Note: Wealth management privileges, services, products and pricing offered may vary depending on your country of residence and type of account

How to Establish your Premium Account Currency Investment on the Citi Mobile® App

Getting Started with Premium Account

test
1

Login to Citi Mobile® App and click on “Wealth”

tes-1
2

Tap on “Premium Account”

test-2
3

Tap on “Set up a Premium Account”

test-2
3

Choose your funding account

test-2
3

Choose your investment amount, currency and tenor

test-2
5

Review and confirm your order

test-2
3

Trade successfully placed

  • Enjoy bonus rates when you book online
  • More information on the different currency pair is available for comparison

When a Citibank Premium Account expires, the system will determine whether the Citibank Premium Account deal is lapsed or exercised by comparing the pre-agreed strike rate of the currency pair against the prevailing exchange rate of the pair.

E.g. SGD Base against AUD Alternate at the pre-agreed exchange rate of AUD/SGD 1.251

If the base currency weakens against the alternate currency (from AUD/SGD 1.266 to 1.270), the deal is determined as "Lapsed". You will then receive the principal and interest earned in the base currency (SGD).

If the base currency strengthens against the alternate currency (from AUD/SGD 1.266 to 1.243), the deal is determined as "Exercised". You will then receive the principal and interest earned converted to the alternate currency (AUD) at the pre-agreed exchange rate of 1.251 (i.e., P+I computed in SGD and converted to AUD).

There are a few scenarios for this phenomenon:

Scenario 1: The Citibank Premium Account is converted and it is below the minimum principal amount of USD10,000 (or equivalent at the prevailing foreign exchange rates).

Scenario 2: You tried to renew your deal before 10.30am or after 10.30pm on the expiry day. Renewal can only be done from 10.30am to 10.30pm on the day your deal expires.

Scenario 3: One of your deals have been renewed offline, consequently all other expired deals has been removed as a source of fund to prevent double-booking.

Scenario 4: You went into the "Historical Transaction Summary" when you clicked on the "Your Citibank Premium Account" link in "Account Summary". You will then need to click on the "Open a Citibank Premium Account" tab to view your available Citibank Premium Accounts as a Source of fund.

You can establish a maximum of USD 500,000 (or equivalent) for a Citibank Premium Account online deal.

Yes, you can view all existing Citibank Premium Accounts deals that have not reached maturity, including online deals, under Citibank Premium Account "Current Holdings". Existing deals that are valued will be displayed under "Current PA" and pending deals that have not been valued will be displayed under "Pending PA".

 

Yes, you will be able to see all your Citibank Premium Account deals that are expired, including expired online deals, under Citibank Premium Account "Transaction History".

Note: Citibank Premium Account "Transaction History" will not show pending Citibank Premium Account deals that have not been valued.

For "Exercised" deals, the "Converted Amount", "Current Market Rate", "Marked to Market P & L" will be populated with amounts associated to the foreign exchange done as a result of conversion to the alternate currency.

 

For "Lapsed" deals, the above-mentioned deals will be displayed as "N.A.".

It refers to the time on the expiry date that our system determines whether the Citibank Premium Account is exercised or lapsed, given the rate at that time.The Citibank Premium Account expiry process takes place from 10.00 a.m. to 10.30 a.m.

If your deal has lapsed, you have the option to change the base currency when you book a new Citibank Premium Account deal. On the other hand, if your Citibank Premium Account is exercised, i.e. your fund is converted to the alternate currency, you can only use the currency which the previous Citibank Premium Account deal had exercised into, as the base currency of the new Citibank Premium Account.

For Citibank Singapore customers, you can contact us at +65 6333 3223 to request for assistance.

 

For Citibank International Personal Bank customers, you can contact your Relationship Manager or our 24-hour CitiPhone Banking at +65 6224 5757.

Start your wealth journey with a Citi account.

At Citi, we understand your aspirations and wealth goals evolve over time. That is why we offer a range of wealth advisory as well as products and solutions to suit your changing needs.

Citigold

Singapore Clients: AUM S$250,000 to < S$1.5 Million

IPB Clients: AUM US $200,000 to < US $1 Million

  • Be supported by a dedicated Relationship Manager and team of specialists
  • Set, track and modify your goals with the Total Wealth Advisor tool
  • Manage your wealth on-the-go with the Citi Mobile® App
  • Enjoy preferential rates and lifestyle privileges curated for you
  • Be invited to market outlook and bespoke lifestyle events
Find out more
For Singapore Clients >
For International Personal Bank Clients >

Citigold Private Client

Singapore Clients: AUM S$1.5 Million and above

IPB Clients: AUM US $1 Million and above

  • Be supported by a dedicated Senior Relationship Manager and team of senior specialists
  • Gain access to a range of portfolio management and digital wealth tools, and enjoy preferential rates
  • Manage your wealth on-the-go with the Citi Mobile® App
  • Relish in a broad range of travel and lifestyle privileges
  • Be invited to market outlook and bespoke lifestyle events
Find out more
For Singapore Clients >
For International Personal Bank Clients >

For Singapore Clients:

By investing in a Citibank Premium Account, you are allowing the bank to repay you at a future date in an alternate currency that is different from the currency in which your initial investment was made, regardless of whether you wish to be repaid in this currency at that time. A Premium Account is unlike a traditional bank account as it is an investment and returns may vary. Premium Account is subject to a number of risks. A Premium Account is an investment in one or more foreign currencies. It is subject to foreign exchange rate fluctuations, which may provide both opportunities and risks. You may experience a loss when you convert any alternate currency into the base currency. The higher rate of interest you may earn in the Premium Account as compared to a traditional time deposit may not compensate you for the foreign exchange loss. The Premium Account is not subject to the provisions of the Deposit Insurance and Policy Owners' Protection Schemes Act 2011 of Singapore and is not eligible for deposit insurance coverage under the Deposit Insurance Scheme. Exchange controls may apply from time to time to certain foreign currencies. Our Treasury Services Managers and Relationship Managers may assist you with information on any exchange controls that are relevant to the currencies in which you invest. You should note that a Premium Account is an investment product that should be held to maturity. Early withdrawal of a part of a Premium Account prior to the maturity date is not permitted. Early withdrawal of the whole of a Premium Account is permitted but strongly discouraged, because you will have to pay early termination charges and these charges will be deducted from the amount repaid under the Premium Account. As a result, the amount repaid to you may be less than the principal amount. If you wish to terminate your Premium Account prior to maturity, please contact the Bank. The Bank may, at any time at its discretion, terminate the Premium Account. This may happen, for example, if restrictions on convertibility and transferability become applicable to any of the currency in your Premium Account. In such cases, payment to you may be made in the alternate currency or another currency chosen by the Bank. You may incur a loss on the principal amount in such cases. You should obtain the advice of a licensed or an exempt financial advisor before making a commitment to enter into a Premium Account transaction. In the event that you choose not to seek advice from a financial adviser, you should carefully consider whether a Premium Account is suitable for you in light of your investment objectives, your financial means and your risk profile. For more information on a Premium Account, you should also carefully read the terms and conditions of the Premium Account. Premium Account is not available to U.S. persons and may not be available in all jurisdictions. Citibank's full disclaimers, terms and conditions apply to individual products and banking services.

The products and services mentioned above are not offered to individuals resident in the European Union, European Economic Area, Switzerland, Guernsey, Jersey, Monaco, San Marino, Vatican, The Isle of Man. the UK, Jamaica, Ecuador or Sri Lanka. This website is not, and should not be construed as, an offer, invitation or solicitation to buy or sell any of the products and services mentioned herein to such individuals.

This advertisement has not been reviewed by the Monetary Authority of Singapore.

For International Personal Bank Clients:

The contents in this webpage do not constitute the distribution of any information or the making of any offer or solicitation by anyone in any jurisdiction in which such distribution or offer is not authorized or to any person to whom it is unlawful to distribute such contents or make such an offer or solicitation.

Investments are: Not Bank Deposits • Not Bank Guaranteed • May Lose Value • Not FDIC Insured • Not Offered to US Persons • Subject to investment risks, including the possible loss of the principal amount invested

Deposit Insurance Scheme - Singapore dollar deposits of non-bank depositors are insured by the Singapore Deposit Insurance Corporation, for up to S$100,000 in aggregate per depositor per Scheme member by law. Foreign currency deposits, dual currency investments, structured deposits and other investment products are not insured.

The information provided on this website does not constitute the marketing or offering of any products or services to individuals resident in the European Union, European Economic Area, Switzerland, Guernsey, Jersey, Monaco, San Marino, The Vatican, The Isle of Man, the UK, Brazil, New Zealand, Jamaica, Ecuador or Sri Lanka. The content on this website is not, and should not be construed as, an offer, invitation or solicitation to buy or sell any of the products and services mentioned herein to such individuals.

This website is registered and physically located outside of Kazakhstan. All products and services, as may be described in the marketing materials published on the website, will be offered, negotiated and rendered by the offshore bank (Citibank International Personal Bank Singapore) from outside Kazakhstan.

This advertisement has not been reviewed by the Monetary Authority of Singapore.

 

Important Information

You are leaving a Citi Website and going to a third party site. That site may have a privacy policy different from Citi and may provide less security than this Citi site. Citi and its affiliates are not responsible for the products, services, and content on the third party website. Do you want to go to the third party site?
Citi is not responsible for the products, services or facilities provided and/or owned by other companies.