Brits Cash Before Aussie Bubble Bursts
Wednesday, 24 November 2010
Currency UK is reporting a growing trend for Australian Dollars being converted into Sterling as businesses and expats cash in before the Aussie bubble bursts.
Brits who invested in Australia in the last few years will have doubled any income they are bringing back to the UK. Those who invested in property will have quadrupled their cash.
Rapid growth in both exports and the energy sector - particularly the mining industry - has seen the Australian Dollar vastly appreciate. Investors, confident in the state of the Aussie economy, sought to quickly buy up the high yield currency which added to the rise in its value.
However, the Australian Government recently published a report revealing that despite stability within the economy, exports have in fact fallen to a level almost half of what had been predicted by the economic forecast.
The trade surplus fell from a high of A$ 3.44 billion in June to just A$1.89 in July and the rapid growth of the US manufacturing sector and the unexpected rise in Chinese factory production levels have both been to blame for this.
Adrian Jacob from Currency UK comments "The Australian housing market has been growing at an unprecedented rate since the start of the year and it's just a matter of time before it crashes.
"Many people who bought houses 'down under' have seen the value of their property more than quadruple in the last few years. However the market is currently a bubble just waiting to burst, meaning now may be the perfect time to sell up and cash in your winnings.
"We've seen a 20 per cent increase in expats seeking to transfer their Australian dollars into sterling over the last three months. We've also seen a growing trend for importers seeking to fix the rate of their currency for the next year in order to remove the risk of a currency crash from their business."
Currency UK is a specialist company which provides a bespoke service to companies and individuals who need to make foreign currency transactions. Set up to ensure small to medium sized enterprises have access to the same currency tools as major corporates, Currency UK undertakes all transactions at no fee.
Notes to Editors
Regulated by the FSA, Currency UK is one of the UK's leading foreign exchange brokers, ensuring individuals and companies can access the best rate for currency transfers across FX markets.
A major participant on the foreign exchange market, Currency UK regularly offers the most competitive rate on currency exchange and has moved millions of pounds around the globe for its clients.
Currency UK is a member of the Association of International Property Professionals (AIPP) and is the preferred foreign exchange partner of the Offshore Financial Trade Association (0FTA).