Tuesday, 5 January 2016
What currency is the best to invest in for 2016
If you are someone that travels a lot or would like to travel frequently, you know that flight tickets, and travel expenses can be quite high.
To help, currencies and economies fluctuate so much that when you thought you had enough money for a trip, you realise is not enough anymore.
With all my travel experience as a tourist and working I have realised that having a amount of foreign money saved up is a good thing to do.
Why save foreign money?
There are quite a few reasons:
- Choosing the right currency will mean that you can make that little bit of money you saved earlier buy a lot more within a few months because that currency has grown.
- Choosing the right currency will also mean that whatever money you have in that currency it will not loose value with time - at least it will be stable.
- For me the most important reason - because when you have foreign currency you can't easily pick it up and expend it when you see laying around that will give your rationality time to quick in and stop you from expending it without motive.
What foreign money is good to save?
Funny enough it is not the American Dollar, or the Euro. It is the currencies that we don't tend to think of at first.
Number 1 best currency:
New Zealand Dollar - why? Well it is the safest and most stable economy. They are the only ones that plan raising interest rates and lower tax rates.
Number 2 best currency:
Singapore Dollar - why? Singapore has become the new global centre of hidden money and favoured tax haven. It also has one of the most stable paths against U.S. Dollar.
My personal recommendation:
1. Get yourself a nice little piggy bank, no jokes, somewhere physical to keep your money in.
If you don't live in a safe place that you are comfortable to leave your money in the house, get yourself a safe, or like a security deposit box.
2. Check the market for the currency you want to buy in, and choose months that are not high travel seasons to exchange your money. Also keep a look out on the days to see which day is higher in the exchange for you to get more foreign money out of it.
3. Put away that money and if you can add more every so often, please do.
4. Keep tabs of how much money you have.
5. Wait for about 1 year of saving that money before you use it, this way you also know what time of the year is best to travel, in which you will expend less money.
6. When you take the money out for usage, remember to check how the currency that you need it in is doing so you won't loose a lot of it.
Where do you plan travelling to?
Do you save up in foreign currency already?
Leave me a comment letting me know.