Working abroad - saving in UK

rich68

I am in a similar position so I find this topic interesting. The difference is that although I work in Switzerland (Basel) I am living in France.

Around here the Euro is considered strong and has been getting stronger for the last 5 years. So on that basis I've been keeping as much as I can in CHF with a very poor interest rate. If you can get 2% that's not as bad as I thought though, especially given that Euro savings accounts only pay 3% as I understand it, that's after tax mind (except for introductory rates for 3 months offered by ING for example).

From the advice given in the previous posts it looks like keeping the money in CHF is the way to go for sure. I've been wondering if the Swiss have any unit trust type investment or any trackers that would be relatively safe as an alternative. But if the OP's daughter will need the money in a few years she can probably only stay with cash.

egamar

rich68 wrote: »

From the advice given in the previous posts it looks like keeping the money in CHF is the way to go for sure.

I don't know if 'for sure' is the right phrase in your circumstances!

You earn (presumably) in CHF but you spend (mortgage if any, property taxes, utilities etc etc) in Euros, and I think that makes things much less clear than it would if you earned and spent in the same currency.

I have no idea what is best for you in your circumstances but I'm sure there will be the opportunity to invest in 'funds' (the Swiss equivalent thereof) in CHF which would, one hopes, give a much better return than savings accounts albeit for more risk.

There might be some limitations given you are a resident of France and an EU national, but that's where I'm reaching waaaaay beyond any sphere of competence!

purch

Around here the Euro is considered strong and has been getting stronger for the last 5 years. So on that basis I've been keeping as much as I can in CHF with a very poor interest rate

....if you expect the Euro to get stronger then you should really be selling the Wussy and buying Euro's

The only reason I can think of for keeping your funds in CHF and earning a lower interest rate would be if you expect to gain from a CHF appreciation.

rich68

egamar wrote: »

You earn (presumably) in CHF but you spend (mortgage if any, property taxes, utilities etc etc) in Euros, and I think that makes things much less clear than it would if you earned and spent in the same currency.

I think I see what you mean. I don't have a mortgage but if I did I may be better changing the money into Euros now in order to pay the mortgage off quicker.

It is true that I don't spend much in CHF (mostly petrol because it's a lot cheaper in CH!). As purch suggests, I am hoping that the CHF will start rising against the Euro. If it doesn't, I'm going to have to move to Switzerland. At the moment I have made no long term plans at all so I have no idea when (if at all) I'll be returning to the UK. So I suppose I don't want to have to transfer money to Euros only to transfer it later to GBP.

Thanks for your opinions.