Credit Suisse's Rich Clients Sell Euros for High-Yielding Assets
- Carry trades seen offering decent yields, minimal volatility
- Draghi's QE is key to euro's attraction as a funding currency
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Credit Suisse Group AG’s wealthy clients are seeking to exploit differences in global borrowing costs by using euros to buy the currencies of China, India and Mexico, according to the private bank’s strategist.
The Chinese yuan traded offshore, the Indian rupee and Mexico’s peso offer “reasonable” yields with minimal volatility, said Koon How Heng, senior foreign-exchange strategist at Credit Suisse’s private banking and wealth management unit in Singapore.