newbie question/insight

[FLYGAL]

I have been I suppose, as my husband says a "Voyer" on this site for the past month or so. I have learned quite a bit just absorbing all the rumors and intel, and the comments that go along with them. Then I try to figure out what makes sense in my own mind. I invested a small amount that I felt comfortable losing, (uh investing) because "time was of the essense" the RV was going to happen on April 1, and I had to have the dinar in hand before it happened. My tiny investment was supposed to bring in over a million USD. Sounded too good to be true, but what the heck. I AM IN!!! I have tried to remain open minded and hopeful, at the same time a bit skeptical for sanity purposes. It is hard for me to believe that I can become a millionaire overnight, will take it if it happens. After reading a post on the Swiss bank earlier I did a search for a currency converter and came to XE.com site. I entered how much dinar I bought and did the conversion. There was a news tab so I clicked it. What came up was a red warning message saying that if you buy dinar that it was possible that it would be redenominated. It stated that

"In 2010 the central Bank of Iraq announced their plans to redenominate the Iraqi Dinar to ease cash transactions.The intention would be to drop three zeros from the nominal value of bank notes; but the actual value of the dinar would remain unchanged. That would mean that 1,000 IQD (pre-denomination) and 1 Dinar (post-denomination) would both be worth the same amount in US Dollars. Although the announcement stated that the change would take place by the end of 2010, there has been no redenominationas of January 2011 and no further announcements hace been made. As stated by the Central Bank of Iraq, their mandate is to "ensure domestic price stability and foster a stable competitive market based financial system." ( I would copy the link, but I don't know how and I am afraid I will lose what I have written thus far if I tried).

This kind of disappointed me, but at the same time is more towards what my brain was grasping towards. Now they are talking about a revalue as well as the redenomination. So if they do revalue at the $4 "rumor" level and you purchased one million dinar, you could expect $4000.

1,000,000 minus the zeros is 1,000 IQD. Revalued at equivilant to $4.00 USD equalling $4000.

Does this make any sense or am I completely way off base in this assumption? I have never invested in anything before and I would love some input. Thank you.

[Riley]

I will let others respond to your questions - but wanted to say welcome to DV and first advice is stay out of the Rumors Forum and review "investing" forums and "questions" and it would benefit you greatly to read Adam's book - it sure helped me back in 2009....best of luck and again WELCOME.....

[blue horseshoe]

You bring up some good points. First, welcome. Be careful - there are a lot of nuts who are "gurus".

You are talking about a "LOP" - removing the zeros from the currency. Probably will not happen, but you will learn one thing for sure - anything is possible. This country is a different bird all together. If they LOP, then what you stated is correct. But they may LOP then revalue. Then, you may have something. No, it does not make any sense, but welcome in dealing with Iraq!!! I have had dinar since 2004, trust me, the ride is way overdue to end...

They may straight up revalue - meaning they will pick a number and that is what the dinar is worth. How do they pick that number? Don't even go there...

What you put in quotes is old news, it has been around for years. Iraq seems to circulate old news. They put out the same thing and change the date on it. When you read around this site, you will see that yoou will read the same exact thing a coupe of times.

These answers may seem vague to you , but no one has the answers as to how they come up with the revalue number; what the rate will be; when it will revalue; do they take the zeros off the currency or off the rate... All of these are topics in and of themselves and you will get many different answers, but no one knows for sure.

Your best weapon is common sense, so use it. When you start reading people's resposes, remember their names. you will know who has been here a while and who is a BS artist. You will pick that up fairly quickly. Some people have straight up common sense views; some people have good explanations; some people are here just to piss people off and\or pump you - to sell you dinar.

Jump around the site and read topics. I think all of us had done that and thats how we learned. We used our common sense {some of us} and did our own research as well. Some people here {DOC31; K98; Sara; Adam;} You WANT to read their stuff!!!

Anyway - welcome and happy reading. I hope this helped a little...

Blue Horseshoe

[FLYGAL]

Thank you for the welcome Riley and blue horseshoe!!! It does help sitting back and reading anonomously....LOL. Thanks for the advise. I will continue to attempt to educate myself, hopefully for not much longer!!!

[kr88zy]

very well put horseshoe!!!bravo bravo

[DaveH]

Welcome to DV

And i say this not only to you , but to everyone here, did you really expect to read an article that said you made the right investment choice and you were in a no lose situation? I know you did not, and my point is, you have made a good choice and while you might not become a millionaire over night, you will do well with this investment. Believe little of what you read, ignore the rumor section, and understand the more negative articles you see, the closer we are(IMO).

While a LOP is possible, it is not likely, because a lop only makes sense during an economy that is hyper inflated. Iraq is at 5% inflation and sitting on an oil gold mine

Be patient and you will see a return on your investment.

Again, welcome to DV

[haymon]

WELCOME!!!

WARNING THIS IS AN INVESTMENT!! IT CAN GO UP AND IT CAN STRAIGHT TO THE TOILET. ONE LEARNS TO ENJOY THE RIDE AND WELL AS THE LANDING.

[kinglizzy99]

Welcome FLYGAL!

The best decision you made was to invest what you could afford to lose...that gets your "skin in the game" so you "don't miss out"...(I have been cautious in telling people because you're basically handing them a ticking time bomb...you'd hate to tell someone, and then it RVs before they can buy some currency...I would feel horrible and so would they!)

Step 2 is to read as much as possible and treat the rumors strictly as entertainment...

No one knows what the outcome will be...there are some good educated guesses, but no one knows...it's all speculation based on their individual sets of assumptions...

Good luck and Go RV!

[DeadGuy]

Welcome FlyGal;

I am like everyone else. Hoping for the best and trying to make sense out of what little information (TRUE INFORMATION) that sometimes trickles out of Iraq.

What I can say for certain, because I heard it straight from the main man Shabibbi is that they plan to remove three zeros from the currency. NO ONE on this board can deny that. We can try to run spin circles around it and try to explain it to mean the exchange rate but at this moment that is what I have heard are their plans.

No rumor, no guru intel and from the man that is in charge.

With that being said, I am turning my hopes EXACTLY like you into believing that soon we will see new currency from Iraq and the new currency will be revalued at a higher rate. Like you, I am hoping now from anything between a 2 to 4 times profit on my investment and will take that with a smile.

Keep the faith and let's hope plans change, but as of today this looks like what they plan to do.

best

Chuck

Edited April 25, 2011 by DeadGuy

[umbertino]

DeadGuy. I see you are not superstitious with a name like that......Try and hold on till the RV and longer in order to enjoy it.....smile....

[DeadGuy]

Oh I plan on it. I'm not rushing to the bank on RV day.

I want to see how this all plays out.

We will see that everyone was a little bit right and no one was completely right or wrong.

It will a combination of everything said on here in one way or another.

Of course, EVERYONE will say "See I told you!" LOL

buds

chuck

PS: I have already been blessed and very fortunate in my life. I'm living out my dream.