Quote:
Originally Posted by Sansa
It's no secret that things aren't peachy for the US economy. With the dollar tanking and Bernanke lowering interest rates even more... how are you protecting your investment? I'd like to hear as many opinions as possible.
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Where are you based Sansa?
Really depends where your investments are. If in the US there already is a hit on real estate and will prob last a few years. Same with the UK - it has started, but probably show more next year in a downturn.
Elsewhere, it's not really a problem. That is a scenario if you are in the US, there are excellent opportunities in other markets and where the expected further reduction in the value of the dollar can be a great advantage if you are eg - investing in the Canadian or Euro markets.
Example... you gain from the investment itself and also protecting your dollar investment from depreciation - it's a win win and can be a serious money difference. Further example - an investment of eg US$100,000 in the Canadian market during the last five years would now be US$160,000 but, after adding on the dollar reduction, that becomes $220,000 in real terms - and those figures are net after deducting respective inflation rates - so, not bad.
There are all kinds of possibilities and vary depending on country - some are excellent at the moment with a good revenue earning level - not just keeping up with inflation.