Zero Interest Rate

I realize that it is around 1 / 2 percent or now, but what does it mean that loans are granted to people known to 1% interest and get almost nothing for filing the money in the bank? In addition, it will not be profitable to take a loan from Japan and then use that money to invest in fixed deposits, even in another country?

But then you'd taken the risk of exchange when you had to convert back to yen to repay the loan. If the yen suddenly appreciated (if you bought less foreign currency to Yen at the time of repayment of the loan), you lose.

What would be a trick would be to borrow in yen, convert it to an investment in a foreign fixed deposit and be able to buy a blanket to cover the exchange risk and credit risk each time you deposit, c is to say. the risk of non-refund. If you could do all that and still make a profit, I'd be seriously impressed.

If I thought about it, I could probably think of a bunch of other risks to consider in such a structure. There are lots of incidentals ceratinly allegedly involved also reduce yields, for example allocating the buying and selling on the conversion of yen on the way out of yen and the way back.