Carry Trade - Big Business or Open to Small Timers?

    
    
Carry Trade - Big Business or Open to Small Timers? How does a small person or business capitalize on the Carry Trade with currencies like the Japanese Yen? In which you can borrow Yen from Japanese Banks at 1% Interest and Reinvest it into say US Treasuries yielding 5% Interest? How can I get in on such an easy money making swap? I know its done, but is this field only open to the rich and/or big business?
  • Other Answers (3)

    • Easy and money making generally dont go together. What happens when the yen gains in value against the dollar like it has been doing for the past year? All of the sudden the 4% T bill gain turns into a -50 percent loss and exposes the true risk to reward of that trade for the crap that it is.
    • Need Billions to do this my friend. Only for the Generals!
    Answer Over!
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