"Safe" Currency?

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mhs999's picture
mhs999
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"Safe" Currency?

Are there any currencies that are relatively less exposed compared to the USD?  I had been thinking of the Swiss Franc but have been reading on the site that even the Swiss Franc has a large exposure to emerging market currencies.  I had been considering using the FXF (Swiss Franc ETF) as a sort of "savings account" but now am thinking that is not wise.

Thoughts?

Thanks,

Mark

pov56's picture
pov56
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Re: "Safe" Currency?

Jim Rogers recommended Yen and Swiss Francs. http://greenlightadvisor.com/glablog/2008/10/10/jim-rogers-buying-commod...

John Williams (Shadow Stats) recommended Swiss Francs and Canadian Dollars.

krogoth's picture
krogoth
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Blame Canada

I am leaning towards Canadian dollars. I have a lot of Canadian friends over here in Taiwan, ex-pat workers, who seem pretty confident in the Canadian banks getting through this. I am always wary converting to a dollar called a loonie, that makes me a bit nervous (joking for all you Canadians)

 Comments?

 

 

 

 

 

 

pov56's picture
pov56
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Re: "Safe" Currency?

I was leaning towards the asian (yen and yuan) since japan and china have large foreign reserves and less exposure to our mess.  Then there is BRIC - Brazil, Russia, India, and China but it is harder to buy those currencies (except Brazil).

switters's picture
switters
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Re: "Safe" Currency?

My wife is Canadian and we own some land up there (we're in CA now).  We're selling that land (not in the right place), and we plan to keep it in Canadian dollars.  I think there's going to be pain in Canada but overall their banks are far less exposed and they've got a lot of natural resources that are going to be in high demand - if the US doesn't invade and take them over, that is.

krogoth's picture
krogoth
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Amero

Or if the rumors of the AMERO become true, basically Canada will be a goner, Mexico will be celebrating in the streets, and America will be in the middle sucking on it.

 

 

 

 

 

Ray Hewitt's picture
Ray Hewitt
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Posts: 458
Re: "Safe" Currency?

Gold and silver. That's it.

mhs999's picture
mhs999
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Re: "Safe" Currency?

My thoughts on the C$ is that their economy is 90% intertwined with ours.  I'm doubtful that their banks will be able to maintain independence.

 So in terms of gold and silver, actual physical metal?  Gold coins and such?

pkurys27's picture
pkurys27
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Joined: Sep 29 2008
Posts: 2
WisdomTree Chinese Yuan Fund”, Symbol - CYB.


Jim Rogers, the famous hedge fundinvestor and author, who has ditched life in Americato raise his young daughter in Shanghaiso she can learn Chinese. 

Jim Rogers said once in a Bloomberg interview that "he isshifting all his assets out of the dollar and buying Chinese Yuan because theFederal Reserve has eroded the value of the U.S. currency."

“I’m in the process of — I hope in the next few months — gettingall of my assets out of U.S. dollars,” said Rogers, 65, who correctly predictedthe commodities rally in 1999. “I’m that pessimistic about what’s happening inthe U.S.” Oct. 07...

So that begets the question: how do youinvest in the Yuan?

                Take a look atWisdomTree's Currency Income ETFs. In May 2008 they launched the WisdomTree Chinese Yuan Fund”, under the ticker symbol CYB. 

pov56's picture
pov56
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Posts: 14
Re: "Safe" Currency?
hewittr wrote:

Gold and silver. That's it.

Gold and silver are the last things that I'd want to part with.  Having
another way to preserve wealth seems like the right thing to do. 
Besides, the spread of currencies is far smaller than precious metals.  

steve1234's picture
steve1234
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Re: "Safe" Currency?

how muc u r looking 4wd to invest? if the amount is in billion then go with the "gold" thats the best option and alternate to any of the currency available or some of the currencies like Euro, AUS$...... but GOLD is the best option

Jager06's picture
Jager06
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Joined: Dec 2 2009
Posts: 395
Re: "Safe" Currency?

I'm with Ray. Gold and Silver in recognizable 1 ounce coins, kept in a safe location.

Not too many folks are going to be willing to part with their hard won items for Yuan or Loonies around here. As for stability, I cannot think of one currency that cannot be printed at the will of the Government right now....? Anyone?

So if your money is in paper (any paper right now) it will depreciate against the purchasing power of gold and silver. An example is that a pistol, holster and two boxes of ammunition could be had for $20 or 1 oz. of gold. Today one ounce of gold is still worth a good pistol, holster and two boxes of ammunition. What will $20 buy you? Not even a box of ammunition in most places.

So if my true costs for living are safely stored in gold and silver, why would I force myself to risk my earnings and invest or chase interest rates to keep my money amounts growing with the pace of the government and central banks devaluation? It grows anyway when you hold the physical metals.

Best Wishes,

Jager06

 

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