'Cautious approach' recommended for currency exchange

Brits who own property abroad have been urged to take a "cautious approach" to currency exchange due to unpredictable markets.

Mark Bodega, director of currency specialists HiFX, issued the advice after the company's global currency report revealed that 2009 has been a "volatile year for the world's currency markets".

The New Zealand dollar was the only major currency against which sterling rose in the last month; sterling remained weak against both the US dollar and the euro.

At one point in November, the currency exchange rate on GBP/EUR came close to parity due to investor concerns over the UK's economic prospects.

The fall against the euro was linked with the British government's plans to increase quantitative easing to £200 billion which contrasted with the UK's main European competitors which began to pull themselves out of recession.

Currency exchange services, such as HiFX, are becoming more popular as people are keen not to loose out when they move their money abroad in uncertain financial times.

Click here to make an International Money Transfer (www.hifx.co.uk/online)

Posted by Anna Jackson