Storing savings in foreign currency:
what do you need to know?

Storing savings in foreign currency is one of the common ways to protect capital from inflation and economic risks. In order to save and increase your money, you need to approach the choice of currency and methods of storing it wisely. Let’s consider the basic principles and recommendations for storing currency savings, as well as advice on choosing a currency taking into account current rates and forecasts.

Principles of proper storage of savings in foreign currency

Allocation of assets between different currencies

One of the basic principles is to distribute funds between several currencies. This approach reduces the risks associated with fluctuations in the exchange rate of one particular currency. For example, you can divide your savings as follows: keep about half of your funds in US dollars, about a third in euros, and the rest in other currencies, such as the Swiss franc, British pound, or Chinese yuan.

Choosing Reliable Storage Methods

There are several options for storing foreign currency savings:

• Cash - convenient for quick access, but requires a secure storage location (e.g. safe). Cash is subject to the risk of theft or damage.
• Currency bank deposits - provide security and a small income due to accrued interest. However, the rates on such deposits are usually low, and access to money may be limited by the terms of the agreement.
• Accounts in foreign banks or international payment systems (Wise, Revolut, Payoneer) allow you to freely manage funds abroad and minimize the risks of sanctions.
• Investment instruments - bonds in dollars or euros, investments in precious metals or shares of foreign companies provide an opportunity not only to preserve, but also to increase capital.

Regular monitoring of the state of banknotes

When storing cash, it is important to check its condition periodically. Damaged bills may lose their liquidity and become unsuitable for exchange.

Using bank deposits

Keeping money in a foreign currency deposit at a bank provides protection against theft and damage. Such deposits usually bring a small interest income. However, rates on deposits in foreign currency are usually low. It is also worth considering possible restrictions on withdrawal of funds or freezing of deposits in an unstable economic situation.

Tips on choosing a currency for savings, taking into account current rates and forecasts

Choosing the right currency to store your savings in depends on many factors: the current economic situation, analyst forecasts, geopolitical conditions, and personal financial goals.

US Dollar (USD)

The dollar is traditionally considered one of the most reliable reserve currencies in the world. It is widely used for international settlements and investments. For Russians, the dollar remains a popular instrument of protection against ruble inflation. However, due to sanctions, keeping dollars in Russian bank accounts is associated with the risk of additional restrictions or account servicing fees.

According to analysts’ forecasts for 2025, the dollar to ruble exchange rate will fluctuate in the range from 90 rubles in the first quarter to 105 rubles by the end of the year. The average annual rate is expected to be around 98-100 rubles per dollar.

Euro (EUR)

The euro is the second most popular reserve currency after the US dollar. It is a good choice for those who travel frequently or do business with European countries. The euro is less prone to sharp fluctuations than other less common currencies.

Today, the euro exchange rate is stable against the ruble. If you look at the euro exchange rate today , you can see moderate fluctuations around the 100-102 ruble per euro mark. According to analysts’ forecasts for 2025, the average euro exchange rate will vary from 100 to 110 rubles per unit of European currency.

Other promising currencies

Besides the dollar and euro, there are other interesting options:

• The Chinese Yuan (CNY) is a stable currency of a country with a strong economy and high growth potential. The Yuan is gradually strengthening its position in the international market.
• The Swiss franc (CHF) is traditionally considered a safe haven asset due to the stability of the Swiss economy.
• Japanese Yen (JPY) – suitable for portfolio diversification due to its low correlation with the dollar and euro.
• The Swiss franc (CHF) is one of the most stable world currencies with low inflation.

Tips for choosing a currency for savings

When choosing the right currency, it is important to consider the following factors:

• Current rates and analyst forecasts : Study the current market situation and compare expert forecasts on rate dynamics.
• Liquidity of the chosen currency : the ability to quickly exchange money without significant losses.
• Geopolitical risks : Avoid investing in currencies of countries that may be subject to sanctions or restrictions.
• Availability of financial instruments : availability of deposits, bonds or other investment products in the currency of your choice.

Example of optimal allocation of funds

Experts recommend the following approximate option for distributing savings:

• US dollars - about half of savings;
• Euros account for about a third of the funds;
• The remaining funds should be distributed between the yuan, franc or other stable world currencies.

Ways to Minimize Risks When Storing Money

To ensure maximum security for your savings:

• Keep cash only in secure places (home safe or bank safe).
• Use multiple bank accounts in different countries to diversify risks.
• Check the condition of your banknotes regularly and replace damaged banknotes promptly.
• Follow the news about sanctions and changes in the legislation of the countries issuing the currencies you have chosen.
• Consult with experts before making large investments.

Factors influencing the rates of major world currencies

Foreign exchange rates depend on many factors:

• Economic indicators of the country (GDP, inflation).
• Political stability of the region.
• Geopolitical events (conflicts, sanctions).
• Actions of central banks (changes in key rates).
• Demand for the country’s export goods.
• Global financial crises.

For example, SberCIB analysts believe that the ruble to dollar exchange rate is fair at around 105 rubles per dollar given the current state of the Russian economy.

Relevance of course monitoring

Regularly monitor the changes in the exchange rate of your chosen currency. For example, if you are interested in the euro, do not forget to check the euro exchange rate today to make timely decisions about buying or selling this currency.

Recommendations from leading experts

Analysts advise choosing those foreign currencies that correspond to your personal goals:

• If you travel around Europe frequently, choose the euro.
• If your expenses are primarily related to the US or Asian countries, the US dollar is a better choice.
• For maximum security, choose the Swiss franc or Chinese yuan as alternatives to major reserve assets.

Keeping money in foreign currency requires a careful approach to choosing methods of investing funds and constant monitoring of the market situation. Consider the current forecasts of analysts on the rates of the main world currencies in order to effectively protect your savings from inflation and other economic risks.