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Phaedrus

Swiss Franc Account?

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Hi,

I've done a search but not a lot on this topic came up.

Would opening a Swiss Franc account be a good way of protecting my money against a fall in the value of GBP? Swiss banks back their currency up with gold reserves, don't they?

What is the best way of going about doing this?

I have done a google search and there seem to be a number of companies out there providing this sevice for a one off fee. Some of the accounts also allow you to buy physical gold and keep it in their vaults. are there any pitfalls in going through one of these companies?

What about UK Euro denominated accounts?

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Guest Bart of Darkness

There's a thread here that might be helpful.

As shown here

Perhaps one of the more interesting developments in 2005 though one not widely covered by the financial press was the fact that the Swiss franc has officially decoupled from gold. At one time the currency was 40% backed by the yellow metal but in 2005, the Swiss government sold the nation’s vast inventory of gold and returned the funds to the country’s cantons. As a result the Swissie did not benefit from gold’s strong rise as it posted a 24% gain while the currency declined 13% on a year to date basis.

You may also find this thread useful regarding allocated gold accounts (paying someone to store your gold for you in their vaults).

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I thought the Swiss Franc was now not back by gold? Isn't it just like every other fiat currency now?

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Guest Bart of Darkness

I thought the Swiss Franc was now not back by gold? Isn't it just like every other fiat currency now?

Pretty much so I'd say.

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Hi,

I've done a search but not a lot on this topic came up.

Would opening a Swiss Franc account be a good way of protecting my money against a fall in the value of GBP? Swiss banks back their currency up with gold reserves, don't they?

What is the best way of going about doing this?

I have done a google search and there seem to be a number of companies out there providing this sevice for a one off fee. Some of the accounts also allow you to buy physical gold and keep it in their vaults. are there any pitfalls in going through one of these companies?

What about UK Euro denominated accounts?

Do you live in the UK? If so how are you going to protect the value of your money by buying of holding different currencies?

G-Man

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Do you live in the UK? If so how are you going to protect the value of your money by buying of holding different currencies?

G-Man

My two main worries are the real rate of inflation eroding the value of my savings and the devaluation of GBP. My thinking is that if I convert my money into another currency and this strengthens relative to the pound, then I have protected the capital sum. There may be flaws in this. The pound may not devalue. I'm interested in alternative views and any constructive criticism from people who know more than me about this sort of thing.

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  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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