Thursday, July 01, 2010

Economic uncertainties

I read in the paper today that many are protesting against their governments decision on austerity spending. France, Greece, Italy and a few other countries are facing economic uncertainties. Greece is already a "bankrupt" country. It makes one wonder on how solid one own country economy is. One thing for sure, investing in currency is very risky. The value of my country currency is definitely very "yo yo". I guess that's why those who play Forex trading make gains and losses everyday.

I would prefer to have a more certain increase of value in my investments. Instead of keeping your money in fixed deposits or buying shares, I would prefer to buy gold coins as an investment. Gold prices increased an average of 20% per year. That is basically 20% of interest for your investment which is more that your FD or shares dividend. Well, if you do not want to hold the actual gold coins, then go for gold saving accounts. That would serve the same purpose.

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