just buying currencies

I had the bright idea to find a place to just buy foreign currency long term as you would a stock. Seems not that easy, but I must be missing something obvious??? There must be something as easy as buying a treasury note. Thanks for any help for the trading impaired.

 

Bremer, you should be able to use any regular forex broker to buy a currency and hold it long term.

Though just remember if you buy one currency in a pair you automatically open a SELL position on the other.

Example, (if you) BUY EUR/USD you're buying euro but SELLING the dollar.

That also works the other way too, if you open a SELL position on EUR/USD you are selling euro and holding a BUY position on USD.

There IS at least one broker I know of where you can simply convert, for example, USD into another currency and hold your account in that foreign currency.

I do not promote any particular brokers on this site, but if you look around and do some digging you should be able to locate the broker who allows this.

Unless Baron objects, you can email me and I'll be happy to provide you with the name of at least one broker I know of who lets you convert and hold, thus giving you one currency.

regards,

Sam

 

you could also try your state bank. their fees are higher than brokers though.

 

everbank.com...you can get cd's...collect interest

 

www.interactivebrokers.com/en/trading/forex.php

 

what I'd really like to buy and hold is New Turkish Lira.

or open a YTL/JPY long trade.

anyone know a place I could?

I wrote Turkey and they told me to go scratch.

I feel like stuffing them.

 

At Forex it cost 3/4% in and 3/4% out, which seems like a lot, although it was the best I have found. I appreciate everyone's responses.

 

If you sell a EUR/USD position and it tanks 135-points where you close it, the spread was 1-pip wide, maybe 2 or 3-wide with other brokers.

That's no 3/4% in and out, bro.

sKaLpZ

 

Could you restate your last response in simpler language? I'm trying.

 

The only cost for opening and closing a FX position is the spread. The spread on the majors is at most a few pip. If you are in for the longer run and for example gain 10 cents (1000 pip), you pay about 5/1000 of your gains as spread cost.

If you speculate on for example EUR/USD at Oanda your spread cost would only be 1.5 pip. That would make 0.15% of your gains on spread cost.

Another important aspect is the interest your gain or lose when holding positions.