Is it possible to sell, for example, USD for South African Rand, collect the higher interest rate for say 2 years, and then buy the USD back at the same price it as it was sold for? If the Rand has appreciated after two years, you give up on the upside. If it is lower than the USD, you are saved from the loss.
What are the problems if any with this trade?
What are the problems if any with this trade?