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Investing In Europe – Now the Risk/Reward Is Attractive
I suspect a major consideration is "who" will support the euro currency value? The article noted the Swiss; and one may presume support from our Federal Reserve; and likely there are other entities. I note this, as not only the reduced current values of Euro Zone indexes and markets; but also the "play" of the value of how many $U.S. will purchase how many Euro's of value in whatever one chooses to invest. Although I do not have numbers at hand; a portion of the profits from Latin American (more Brazil than other countries) investments in selected periods going back 5 years or so; was from the fact of buying a cheaper "real" currency with $US and having part of the appreciation of one's holdings in this area come from the appreciation of the Brazilian currency against the dollar. The future currency valuations between the $ and Euro will have some effect on profits from investing in the Euro Zone; whether with mutual funds or etf's. Is it possilbe that the Euro would be allowed to move downward in a significant amount against the dollar? This is also a big question regarding future investments in the Euro area. Regards, Catch
Comments
I suspect a major consideration is "who" will support the euro currency value? The article noted the Swiss; and one may presume support from our Federal Reserve; and likely there are other entities.
I note this, as not only the reduced current values of Euro Zone indexes and markets; but also the "play" of the value of how many $U.S. will purchase how many Euro's of value in whatever one chooses to invest.
Although I do not have numbers at hand; a portion of the profits from Latin American (more Brazil than other countries) investments in selected periods going back 5 years or so; was from the fact of buying a cheaper "real" currency with $US and having part of the appreciation of one's holdings in this area come from the appreciation of the Brazilian currency against the dollar.
The future currency valuations between the $ and Euro will have some effect on profits from investing in the Euro Zone; whether with mutual funds or etf's.
Is it possilbe that the Euro would be allowed to move downward in a significant amount against the dollar? This is also a big question regarding future investments in the Euro area.
Regards,
Catch