Tips from market analysts
For the time being, a saving basket with deposits both in euro and lei seems to be the best way to go, according to Radu Craciun (photo), investment director at Eureko.
“A mixture of savings in lei and euro is the best option at the moment, and the share of each currency depends on the savers’ tolerance to risk. A saver who is not willing to take any currency devaluation risk and wants to play safe, he will go with the euro. If he wants higher returns, he will go with the leu, as deposits in local currency returns higher yields”, Radu Craciun told Wall-Street.
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Dragos Cabat (photo left), managing partner at Financial View says savers must decide for how long they will be saving firstly and then choose the currency.
“For a month, deposits in lei are a good option but for a 3 to 6-month time horizon, it would be better for savers to choose euro. For one to three years, the local currency remains top of the list, but for any time horizon longer than 3 years, foreign currency is the best option. Only that in Romania, term deposits with more than 5-year maturity don’t exist”, Dragos Cabat added.
“A mixture of savings in lei and euro is the best option at the moment, and the share of each currency depends on the savers’ tolerance to risk. A saver who is not willing to take any currency devaluation risk and wants to play safe, he will go with the euro. If he wants higher returns, he will go with the leu, as deposits in local currency returns higher yields”, Radu Craciun told Wall-Street.
Dragos Cabat (photo left), managing partner at Financial View says savers must decide for how long they will be saving firstly and then choose the currency.“For a month, deposits in lei are a good option but for a 3 to 6-month time horizon, it would be better for savers to choose euro. For one to three years, the local currency remains top of the list, but for any time horizon longer than 3 years, foreign currency is the best option. Only that in Romania, term deposits with more than 5-year maturity don’t exist”, Dragos Cabat added.