Vercingetorix

I plan to save to purchase property in France - a few thousand US$ to start. What would be to most advantageous currency to save in at the present time?

Any suggestions?

Thanks.

Tweedpipe

A difficult one this.
Firstly I hesitate to say US$ or euros. This time last year I might have said the Yen, but now?
Many analysts assert that China is now one of the leading examples of state capitalism in the 21st century, but as for investing there for capital gain.....??
The Swiss Franc is strong, and gold prices have never been higher, but for the future?
As we know even the 'experts' often get it wrong.
Unfortunately I believe there is no simple answer to your question. If there was and with certainty, we could all start to make a little money.
Now let's hear from the experts. As you can tell, I aint one - although I frequently get my personal investments right.

Vercingetorix

Thanks Tweedpipe. I ain't no expert either. I was hoping someone out there could predict the rates for the next few months for me. Guess I'm out of luck.

I do see though, that the dollar was quite strong against the pound, the euro and the swiss franc back in May of 2010. Dollars are not so hot right now so it's possibly a good time to wait for the market to swing back before converting.

cyrian

What is your base currency? £s?
Are you thinking of converting £s into US$ then into €?
If so then you will be paying fees to do each conversion.
Where will you store the money? Will you lose out on any interest that you will otherwise get?
Do you have a $ or € account?
This is not the best time to be exchanging £s into €s.
Have you consider fx futures where you agree to purchase the €s at a fixed price for a specific future date?
Most currency dealers will offer this. Check the expats magazines - there are loads of adverts.
With the volatility in the stock markets and the fx markets you would need a crystal ball to try to 2nd guess the markets at this time.
Probably better to drip-feed savings into €s regularly over a long period to get the benefit of any rises or perhaps protect against future drops.
You could use a € account with Lloyds or Barclays or HSBC or a french bank.
Think that you have asked an impossible question but I hope that you get it right.
Good luck

Vercingetorix

Thanks Cyrian. My base is US$ and I have a UK account. I plan to buy sometime mid-2012 so FX futures may be a good option. I appreciate the advice as trading at the wrong time is very expensive. Making money on an exchange is fine but I'm more concerned about not loosing any of what I already have. I think I'll keep the account in US$ for the near present, until I know better how to and when to trade.