admon

Ok peeps, the dollar is weakening..
1.5320 as we speak to the £.

I was expecting some dollar weakness, but hoping it wouldn't happen until after the summer.

Anyone still think the dollar is going to bounce back to 1.35?

Ethos83

There's a strong chance of significant inflation happening in the US at some point in the next year. The Obama administration is going to spend its way out of the recession and that requires printing something like 35% more money than currently exists in circulation in the US.

So, no. If you have any savings here, send them home ASAP.

admon

I've been suspecting the same thing since the new year, but international banker buddies keep maintaining that the dollar will remain strong and the first in, first out of recession theory will apply..

bankers eh?

klaus3974

I kind of expected this... country where I move the currency collapses. This has been my sad story for the last five years (dollar, euro, pound, you name it). Every increase I get in my salary is wiped out by exchange rate fluctuations.

commander

hehehe me too, ive just transferred from GBP to USD...

i am one of lifes financial looooosers

Meow

Can you give us warning when you next move, so we can plan? Thanks


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Norm_uk

Yup send them home to be taxed...

...or you could just put them in an offshore account?

N.

still.unsure

get an offshore acct in two currencies that are linked. you can move your dosh back and forth leveraging the currencies on a daily (or hourly!) basis. hsbc offshore has an account setup like this in jersey.

rowell

Are monies sent back to the uk to pay mortgage etc taxed? Obviously over and above what your taxable allowance would be?

commander

how do you mean?

i have a USD and a GBP offshore account set up with HSBC in Jersey??

still.unsure

well, when the currency is in favour of another, move between the two accounts.

for instance, when GBP1 = USD2, move your GBP to USD. then, when it heads the other way (GBP1 = USD1.5) move it back and you've made about 33% on the currencies. all the while, the money stays in your account and is available immediately. you do lose money on the rates with HSBC, but maybe 1 - 2%. (so you've made 25+% rather than 30%)

that's an extreme example, but that's basically what happened from June to Dec last year...

note: - i've no idea what i'm doing!

admon

moving currencies is just like playing the stock market - very easy to do in hindsight, a little trickier in reality.

How do you know when a 'strong currency' is at its strongest?
Likewise with a weak currency.

commander

see my earlier post...i am a financial loser so ill not bother...

still.unsure

absolutely, the same as taking a punt on the horses, the football, roulette, two flys crawling up a wall, you name it. in terms of the currencies, you're probably going to make far less than basic gambling, but if you play around with it a little, you can make more money than if it was just sitting in an account earning f-all-and-none interest.

but, each to their own!

Meow

I see no one else has bothered to respond...


If you are UK non-resident for tax purposes in the current year, any overseas income (from a jurisdication where there is no income tax) remitted to the UK will not be taxable.

Different rules apply regarding capital.

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