One of the things that’s inevitable when it comes to our economy is a recession. It could be a particular country’s economic recession, or it could be a massive global recession. Now, when these things happen, do you know which of the most stable currencies you’re supposed to invest in?
Reid Kirchenbauer of InvestAsian will share his thoughts on which global currencies are considered to be some of the most stable currencies to hold.
This is an exceptionally important thing to know because a recession will happen sooner or later. Typically, a recession occurs once every seven to eight years. So the only question now is when?
In this article, we will share with you some of the information that Reid talked about. This will surely help you decide on your next recession power move.
Investing in the World’s Most Stable Currencies
When it comes to a global or an economic recession, it’s important to know which moves or which investments you will take.
If you decide that you’ll be investing in the world’s most stable currencies, it’s important to know the value of currency you’ll be investing in. That’s normal.
Whether you’re investing in a safe currency, a national currency, or even a safe haven currency. Knowing these currencies’ value will help you decide on your next powerful investment. Plus, these are things that you have to know to use these currencies as a hedge against recession.
Each investor needs to be smart, but most importantly, they need to be practical.
Here at Nomad Capitalist, we’re a firm believer in our five magic words. We always encourage our readers to go where you’re treated best, and frankly, that’s probably why we’re in our line of business.
So investing in the world’s most stable currencies is a step towards the right direction of going where you’re treated best
Looking at the Thai Baht as One of the World’s Most Stable Currencies
When you look at the world’s most stable currencies, there’s a certain stigma that revolves around the Thai Baht. Frankly, most people wouldn’t even consider this currency as a powerful one.
So why do we think that looking at the Thai Baht as one of your hedge against inflation is essential?
Truthfully, this currency was one of the lowest-performing currencies among Asian countries during the 1997 Asian Financial Crisis. This has led people to believe that Thailand has a currency that’s basically “useless,” to say the least.
However, Thailand has learned its lessons, and it’s performing so much better than most of its counterparts. Plus, it doesn’t hurt that the country’s boosting tourism has helped its currency status to skyrocket. This is all thanks to the tourists from legacy brand countries who are bringing in their currencies like GBP, USD, EUR in favor of the Thai Baht.
We might even go as far as to say that the Thai Baht might be performing better than the Singapore Dollar. So that’s saying a lot when it comes to its claim as one of the world’s most stable currencies.
Investing in Korean Won in the Next Recession
Another of the world’s most stable currencies is none other than the Korean Won.
You might be noticing how some of the world’s best technologies have come from Korea. Not only that, but its pop culture is sweeping through the world and breaking cultural barriers.
For this reason alone, now is a great time to invest in Korean Won.
Plus, you don’t even need a recession to invest in this currency – that’s how stable it is.
Those who have a knack for investing in emerging market currencies should definitely look at the Korean Won.
The Singapore Dollar as One of the World’s Most Stable Currencies
Undoubtedly, one of the world’s most stable currencies is none other than the Singapore Dollar.
A lot of people, even those from the west, have increasingly invested in this country’s currency. Maybe it’s because Singapore is continually seen as Asia’s financial center, or maybe simply due to its currency standing. It doesn’t matter.
The Singapore Dollar is one of the most powerful currencies, not only in the region. Plus, it’s one of the reasons that make Singapore great.
Over the years, more and more entrepreneurs and investors have moved to Singapore. It’s one of the most popular places in Asia where you can learn more about finance and do business. In Singapore, you can open a bank or maybe a brokerage account if you want to trade stocks around the region.
There are so many great things about this country. Plus, the Singapore Dollars have increasingly appreciated over the United States Dollar by 20% to 30% in the last decade or so. This makes this currency one of the most stable currencies that you can hold during a recession.
Choosing the Most Stable Currencies to Invest In
We know how choosing the most stable currencies to invest in is not something you can do on a whim. There are so many things to consider, and there are so many factors that you have to look into.
Frankly, these three currencies are the top currencies that we’ll look into as soon as the recession strikes. The Thai Bat, Korean Won, and the Singapore Dollar are all great currencies. Not only that, but these are currencies that can make you a steady force when it comes to diversifying your currency and investment portfolio.
To know more about these currencies, you can watch Reid Kirchenbauer’s interview. It’s a great short interview to watch to learn more about the investment possibilities when it comes to the world’s most stable currencies.
Remember, going where you’re treated best can also mean that you’re well-prepared when the next recession hits the global economy.