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Spanish in Cuernavaca - Mexico
Investment

Just as the amount of direct foreign investment has mushroomed in recent years,  so has the amount of foreign investment in Mexican stocks, bonds and deposits.
 
A large number of Mexican stocks are traded as ADRs on the New York Stock  Exchange and many of the larger U.S. brokers and funds now have direct Mexican representation. Most larger Mexican companies are registered for trading on the  Mexico City Stock Exchange (Bolsa de Valores) and trading volumes have increased  dramatically during recent years.

A few foreign mutual funds operate almost  exclusively in Mexican securities and there are hundreds of local mutual funds catering to the desires of both speculative and conservative investors.

Money market accounts, time deposits and income oriented mutual  funds offered by Mexican banks and brokerage houses are perhaps the country's most trusted and widely used form of investment. Interest rates offered are normally double those offered in the United States and Europe, however, all  deposits are of course denominated in Mexican pesos, so investors must carefully consider exchange risks before making a commitment to local markets.

Risks  and rewards can be determined by comparing the U.S. dollar returns earned during the last five years from a relatively small peso bank deposit. The dollar  returns are based on a 50,000 peso deposit (roughly 5,000 dollars) made for 28 days at a time with interest compounded and taking the exchange rate into consideration.