Sunday, February 5, 2012

Swiss francs as a hedge against a financial crisis?

does anyone recommend buying the Swiss Franc as 'crash protection'? why so?



or is this just an old-fashioned theory based on investor sentiment?Swiss francs as a hedge against a financial crisis?Currencies in themselves won't provide a hedge against credit risk, but you might be able to mitigate some of the risk in dollar-denominated securities by buying currencies such as the Swiss franc. Switzerland last week raised its interest rates, but they are still below those in the rest of Europe and in the U.S. Despite the plethora of online currency trading sites that have appeared recently, neither spot nor options currency trading is for the faint hearted.Swiss francs as a hedge against a financial crisis?The best protection is shares in major companies such as GE, Citibank, etc. they do not only protect your money but pay you dividends as well.



There is a theoretical possibility that they will crush in a crisis. The same as that a meteor will strike the Earth and we shall all perish.

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