I moved to the US a couple of years ago, and took advantage of the weak dollar, by exchanging about two thirds of my portfolio. I had hoped that the gains would offset the house price inflation. However, house prices have continued to climb and the current dollar rate would prevent me from returning to Europe. I am glad that I saw wise to keep a chunk in other denominations. Your 20% exposure is hopefully going to serve you.
Regarding Swiss banking, I cannot recommend it. Things have changed since 9/11. For example, Credit Suisse, the second biggest bank in Switzerland, can no longer take intructions from US residents. You would have to fly to Canada or Mexico every time you wanted them to do something. I was also grilled in Zurich airport by an US airline (much to my chagrin), as to what I was doing there. Other people’s experience may be different, but my experience of banks in Europe (I am European) over the last few years, is not good.
Banks in the US seem much less flustered and less paranoid.
Account opening formalities in Europe have become quite vigourous and intrusive. Switzerland has also had to bow down to pressure to accept the EU Savings Directive. Mr Bush also issues administrative subpeona’s to collect huge swathes of swift transfers (international wires), in an attempt to capture terrorists’ movement of funds. I believe this is illegal, and it has had the unfortunate effect of making banks naturally rather jumpy. The new climate of coercive openess has, in my view, resulted in a little retaliatory attitude.
You don’t need a foreign bank account to get foreign currency exposure. Buy if you want one, then avoid HSBC, the new kid on the block. They promote easy foreign account opening procedures if you open an account with them in the US. I tried them but after six months nothing happened. Citibank took just two weeks, and no complaints so far.
