British pound could take another hit

It's been taking a hit since the Brexit vote. When I transferred out to the UAE in August of last year it stood at 5.2 odd Dirhams to the £. It's trundled along at 4.5-6 roughly since January. On a rough estimate I've been better off by 9-12% by just doing nothing. It's been as low as 4.43...but I missed the transfer by a couple of days. 4.48 was the best I've had so far.

I feel sorry for any retired ex pats living on their occupational/state pensions here. I'm not quite sure how long ago it was we were getting P78+ to the £. Some here might remember the days of the P100 odd to the £. What is it now? About P62-64 if we're lucky. That's a massive depreciation by anyone's wallet.

On the other hand my Dirham has bought 3 centavos more as he checks into Cebu later this pm. Cheers. (Or not).

 

hahahaha, sorry, this topic is not funny, the way I read it was though... I saw British Pound CAKE another Hit - and was eager to get some dessert hahahaha

 

I have never trusted this Bank & if today's rate is anything to go by they are wrong

 

I just did a quick check on xe.com and also compared the Aussie Dollar. (which I am paid via my Aussie Pension) If my math is right, it looks like the GBP and AUD are about on par... But; I am still of the opinion that I am a LOT better off (financially) living here than back in Oz...

1 GBP = 62.5962 PHP
1 AUD = 38.2603 PHP

1 AUD = 0.611296 GBP
1 GBP = 1.63583 AUD

1.63583 AUD = 62.5898 PHP

 

I am not sure which direction the pound will take; I accept that it might get hit in the short term but how can it fall much lower in comparison with basket-case currencies such as the Euro! The EU is a doomed institution; the Greece problem has not been sorted after 9 years and many other countries are in the firing line (Italy, France, Portugal, Spain to name but four). The $US seems a bit inflated (sorry US guys!) and may suffer soon from the huge debt burden carried by the US and only to be increased under Trump. I think the pound will eventually recover but how long that will take is anyone's guess. The £ was worth 95 pesos 10 years ago and 80 pesos 8 years ago. I remember seeing once that way back in history it was about 33 pesos! People can 'insure' against future currency risks by either bringing their money to The Philippines now and putting it in banks (500,000 pesos is the guarantee limit per banking organisation ... but there is never any 100% guarantee!) or buying a forward contract (I have never done this but look up Forex). Of course, if the £ soars then it would not look like a good decision.... but if we have 'hindsight in advance' then we would be multi millionaires.

 

Is this the result of Brexit or just normal currency fluctuations?

 

It was the anticipation. Markets are very efficient.