Not sue if this is the right place to post but anyway …
After Brexit vote I panicked and sent all my savings in GBP UK bank to a foreign bank 50K with a 6 % a year fixed .
Now it seems the pound is recovering and wonder should I send it back to the UK . I really need GBP not USD . I know it was a foolish move and Ive lost 5k pounds already .I have little idea about money markets but should I accept my mistake and hold out for a year hoping the pound will lose value to the dollar or get it back into a UK bank now .?
Thank you for your advice .
Its my life savings and my job is low earning so its already a massive blow to me .
Regards
There are a couple of things to learn in business, never make panic decisions, never make a panic decision to attempt to undo a panic decision already made and thirdly, never freeze due to indecision.
The first one is done, the second and third now apply.
The best you will get is 1.2% in the UK, that is with a FSCS account and fixed for 2 years.
Determine the probabilities - is it probable that after 12 months Gbp will have fallen more, or be around current levels. Think out an action plan, maybe decide to take the funds back in say 4 equal amounts after a positive move for you on fx, look at specific rates that providers are offering and determine specific levels that you will act on.
To act rather than react is the way forward.
You are asking this kind of question about your life savings on a site that is described and designed as:
“BabyPips.com: The Beginner’s Guide to Forex Trading”
may i comment as a master of science in business administration now and company owner - and not as trader:
the swiss desaster showed in eastern europe that holding money in a currency that is not your own home currency in which you live and soend money can be very dangerous. people took loans for cheap interest rates and when the CHF went up a lot against the euro, all the currencies of eastern europe which are backed to the EURO went down. so a loan that costed lets say 500/month of payback went to 900 or even 1200 and people could not pay back their loans.
this example shows that it is very important to keep your savings in your home currency as you live and breath with the currency of your country. if it looses value or gains value you do not feel any positive or negative effects (you dont loose or win anything of your purchasing power) and you have a -thing to worry about- less in your life.