Pound could fall to parity with Euro

[Sombrero]

sounds scary, but what if we changed the name of the pound to 10,000 finkles? the euro and the finkle are nowhere near parity, and all is ok? isn't it?

it's all meaningless....

 

[chapeau]

Yep, just a psychological "barrier", but important nonetheless. To the man on the street it means prices are going up faster than wages.

 

[joe-90]

What it really means is that we've lost almost half the value of the pound. If we'd joined the Euro way back when the Euro was worth 65p we'd have got a heck of a lot more Euros than pounds.

 

[JBR]

The way things are going, I wouldn't invest in pounds, dollars or euros. Gold and diamonds are the way to go.

 

[joe-90]

Not all those cash for gold ads again.

 

[Whitespirit66]

Has everyone sold all of their old jewellery? Haven't seen Dale Winton's ads for a while.

 

[chapeau]

The way things are going, I wouldn't invest in pounds, dollars or euros. Gold and diamonds are the way to go.

You could invest in currencies like Norwegian Kroner. Another good way to invest in these foreign currencies is to purchase stocks which are traded on foreign exchanges eg Chinese stocks. Problem is there is still too much corruption over there.

As for diamonds, I've been watching the prices of top quality D/IF stones over the past years, and the prices are very stable. They haven't gone up with inflation much at all. I understand this is because the price is controlled by the miners who have massive stocks of these stones and only release enough to keep the market where they want it. Diamonds per se are easy to make nowadays and there is a large stockpile which would cause values to crash if released.

However if you want to shift a load of 'cash' across a border then a pocket full of perfect diamonds is a good way to do it. Though you will still have to sell them again and money-laundering problems will kill the price.

The problem we face in the UK is most of our assets are in property which we cannot shift, and the value of property in the UK is only going to go down. I think you could well be right with gold though, I wish I knew.