Group: Members Posts: 93 Joined: 01-August 10 Posted 29 September 2010 - 03:06 PM
OK, so this is my first post. I fully admit to not knowing much, and not even knowing where to look to educate myself, so I need help from those who know about economic procedures. Honestly, this post frightens me and I would like to hear an educated discussion on the following post. I have had a similar discussion with my bank manager, so I figure it's probably a true story. If you don't have it in you to handle a possible negative about this investment, just skip this and go to the next one. Thanks you in advance for your consideration.
HERE IT IS:
Well - I have been keeping this under my hat - but I spoke with the Senior VP of Wells Fargo Foreign Exchange (FX) a few weeks ago. I was able to speak to a SENIOR person in FX because I am part of the Wells Fargo "Private Banking" Division. He told me that they had a big meeting on IQD and after doing extensive research they decided to advise all of their cliens to turn in their
IQD for USD ASAP and get OUT while we can still recover any of our investment -- that even if one had bought legitimate currency (not the old Saddam currency) it would be DECADES, if ever, before it could become a globally-traded currency. He sent me links to articles about the Chinese Yuan and how the Chinese have been trying for decades to make their currency global but even though they are one of the strongest economies in the world right now - the macro-economic procedures are not in place. He also mentioned Argentina - and their huge oil reserves, but because of instability in the country (not even a shadow of the instability in Iraq) they also have not been able to go global with their currency.
He continued to say that EVEN IF there is a revaluation to the former rate (where it was under Saddam) - it will be an INTERNAL RV, and none of us outside of Iraq will be able to benefit from it.
I was quite upset and disappointed after the call but I continue to hold my investment - at least until sometime early next year. If nothing happens by then - I think that I will take my losses and convert back to USD. This man was at the top of the FX office and he told me that if there was even a shred of hope for IQD to RV and make WF clients wealthy - they would NEVER tell them all to SELL because they knew they would lose all of their accounts! But after many meetings with multiple banking officials and global financial leaders - they came to the collective expert opinion that it simply cannot happen.
If anyone wants to talk to this person, and is a member of WF Private Banking - ask to speak to the head of the FX office and get ready to be as depressed as i have been since I spoke to him.
Ok here goes nothing,
i am more of a reader than a writer...(i hate to write,plus english is my third language i aquired to learn)
a lil' glimps into my life and how i was introduced to the iraqi dinar......
A friend of mine gave me an interesting tip about the IQD and how much of a longshot and fruitfull investment it could be, so my greedy lil' wheels start spinning:-)
At first i was looking for historical presedence and i came to remember Germany and Japan after the second world war ,look what those two countrys had and have accomplished after they were defeated.....
Japan took western goods and ideas ,reverse engineered and mass produced them and flooded the western market with cheap and good products....(economical power house of the far east)
Germany on the other hand was thinking how can we get out of this mess, we have to pay reparation from the first war we lost(we paid it off this year) our currency is worth nothing(1$=1trillion DM)
on the black market american cigarettes were used as currency so in 1948 the new Deutsche Mark was introduced on a sunday night ,by monday morning each german was entitled to 60 DM each
hardly enough to make a go of it but yet through hard work and enginuity the economy started to blossom (germany was the leading exporting country until this year,NOT CHINA)!
Now, what does Iraq have to offer for me wanting to invest into their currency mmmmmh......
Black gold and natural gas, something the rest of the world wants and needs!
what about the political instability?Iraq is hardly a GERMANY or JAPAN...........
The answer is the USA and UNO..most of the violence and wars in the middle east is fought because of sectarian and religious reasons!!!
The US and UN will not allow for another strife to happen in Iraq!
After those conclusions i proceeded to buy a few million dinars (that was back in 2004) and put 'em away.
The worst case scenario i have expensive toilet paper....
Fast foward august 2010....
american combat troops leaving Iraq MMMMMH let me check on my dinars, after browsing online i happend to stumble on this site what a wealth of information!
Now the real reason i am on here is....
Loping is not likely to happen 'cause the IQD is very stable right now and the inflation rate is very low.
Lets say Iraq has 50 Trillion dinars, if they would lop three zeros it would mean they have 54 billion. Its not enough to rebuild a war torn nation not enough liquidity(we have that problem here, banks are too scared to
hand out big loans) in order to controll excess money is to buy it back. The CBI has been doing it all along!
The reason the new Iqd was introduced is for one to get rid of Saddams smug face and his legacy!!!
Secondly the USA and UNO wanted the currency to be low so they would deter the terrrorist to use the new currency and it was easier to monitor larger transactions.
My opinion is that the Iqd will be pegged against a basket of currencies of that region for the time being, if it would be free floating currency it could be musceld around by market movers 'cause the GOI or the CBI
is not organised and strong enough!!!!!!
One more thing the chinese government has been trying to globalise their renminbi(yuan) its not free floating.
The chinese government has been keeping it suppressed same as in Iraq for different reasons though!
Secondly the currency has been kept low so terrorist couldnt make larger transactions without raising any red flags!!!(REITERATION)
MY RV PREDICTION DATE ITS SOONER OR LATER ENSHALLAH!!!!!!!!!!!!
REMEMBER PEOPLE DONT LIKE TO BE PUSHED AROUND ESPECIALLY THE MIDDLE EASTERNERS ITS ALL ABOUT SAVING FACE!!!!
GREED IS THE ONLY COMMONALITY WE CAN BE SURE OF, IT WILL HAPPEN ALL IN DUE TIME